Bill > HB25

This bill amends provisions of the Teachers' Retirement System of Louisiana to ensure compliance with federal tax laws, specifically Section 401(a)(9) of the Internal Revenue Code, which governs the timing of retirement benefit distributions. It clarifies that benefit payments must begin no later than April 1st following the year a member retires or reaches their "required beginning date," which is defined by federal law as the date by which distributions from retirement plans must start, typically April 1st of the year after turning 73. The bill also updates rules for beneficiaries, allowing surviving spouses more flexibility in when distributions must begin, potentially aligning with the deceased member's required beginning date or their own, and provides specific rules for distributions to children, including provisions for disability or full-time student status. These changes are intended to keep the retirement system in good standing with federal regulations and will be funded by additional employer contributions, taking effect on July 1, 2027.

Labor and Employment

https://www.legis.la.gov/legis/BillInfo.aspx?s=26rs&b=HB25&sbi=y