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Office of the New York State Comptroller’s Seal

NYS Comptroller

Thomas P. DiNapoli

State Police Plan

For PFRS Tier 2, 5 and 6 Members

(Section 381-b)

Partial Lump Sum Payment (PLS)

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Eligible PFRS members can choose a reduced monthly retirement benefit in exchange for a one-time lump sum payment. The lump sum payment is made when your retirement benefit is finalized.

Eligibility

To be eligible to choose a PLS payment, you must:

  • Retire under a special 20- or 25-year plan;
  • Have been eligible to retire with a service retirement benefit for at least one year before your date of retirement; and
  • Retire with a service retirement benefit (not a disability benefit).*
Choosing a Lump Sum Payment

When we receive your retirement application, we will send you a special Option Election Form so you can choose a PLS payment along with the standard pension payment option.

Lump Sum Payment Amounts

The amount of the PLS payment available to you is a percentage of the actuarial value of your retirement benefit at the time you retire. The available percentages are based on the number of years you have been eligible to retire. The chart below outlines when various percentages become available. Your Single Life Allowance will be reduced by the percentage of the PLS option you have chosen. If you choose a different payment option, it will be calculated based on your reduced Single Life Allowance.

Years You’ve Been Eligible to Retire Available PLS Payment Options *
*A percentage of the value of your retirement benefit.
1 5%
2 5 or 10%
3 5, 10 or 15%
4 5, 10, 15 or 20%
5 or more 5, 10, 15, 20 or 25%
For More Information

For more information, including the taxability of a PLS payment, please refer to our publication, Partial Lump Sum Payment at Retirement (VO1750).

*If you receive a PLS payment under a service retirement benefit and are later approved for a disability retirement benefit, you must repay the PLS payment, plus interest, if you convert to the disability benefit. Severe tax consequences may apply in some situations.