Section ETF 50.62 - Proration of adjustment percentages and monthly benefits(1) ANNUAL ADJUSTMENTS TO BENEFITS. The percentage of the annual adjustment to a recipient's LTDI basic benefits or retirement supplemental benefits under s. ETF 50.52(1) (a) or (2) (b) shall be prorated in the first calendar year after the effective date of the benefits. The applicable adjustment percentage shall be determined by multiplying the percentages as applicable to post-retirement annuity adjustments under s. 40.27, Stats., by the proration factor from Table 1 according to the effective date the benefits began. If the resulting prorated adjustment percentage is less than 0.1%, no increase shall result. - See PDF for table EXAMPLE 1: A recipient begins to receive LTDI benefits effective August 10. The annual adjustment for the following year is an increase of 1%. The recipient would instead receive an increase of 0.33% (1% x 0.333 = 0.33%). The following year the annual adjustment is an increase of 6%. The recipient receives the entire 6% increase.
EXAMPLE 2: A recipient begins to receive LTDI benefits effective November 30. The annual adjustment for the following year is an increase of 1%. The recipient would receive no increase. Although 1% x 0.083 = 0.083%, this is less than 0.1% and therefore no increase results. The following year the annual adjustment is an increase of 6%. The recipient receives the entire 6% increase.
(2) PRORATION OF MONTHLY BENEFITS.(a) The amount of the initial and final monthly LTDI basic benefits and LTDI retirement supplemental benefits paid shall be prorated based on the date in the month on which LTDI benefits begin or end.(b) The first payment of LTDI benefits shall be prorated based on the first date in the month for which benefits are paid and based on the number of days in the month, according to Table 2.(c) The last payment of LTDI benefits due to termination or suspension of benefits or ceasing to qualify for benefits shall be prorated based on the effective date of the action and based on the number of days in the month, according to table 3. - See PDF for table - See PDF for table Wis. Admin. Code Department of Employee Trust Funds ETF 50.62
Emerg. cr. eff. 10-15-92; cr. Register, May, 1993, No. 449, eff. 6-1-93; reprinted to restore dropped copy in Table 3, Register, December, 1999, No. 528.Amended by, CR 19-097: am. (1), Example 1, Example 2 Register May 2021 No. 785, eff. 6/1/2021