Redeposit Payment Options
Redeposits must be for the entire amount of previous service with post-tax funds. However, you can pay the amount owed in installments. You can redeposit your funds by:
- Lump sum payment
- Payroll deduction
- A trustee-to-trustee transfer (a “rollover”)
- A combination of the above methods
If you are unable to complete your redeposit for any reason (including disability or death), the contributions plus interest you paid into your account will be refunded and service credit will not be reinstated.
The maximum time frame for redeposit contracts is 5 years, regardless of the amount of service to be reinstated. However, your contract cannot extend longer than the time of the original service you are redepositing.
You can decide to redeposit any time up to 120 days past your date of retirement, as long as the redeposit is completed before the 120 day window closes. For more information, refer to the Service Purchase pamphlet.