Senate Bill 236 passed the second session of the 149th General Assembly, which concluded on June 30, 2018. It provides for a one-time supplemental payment for retirees whose effective date of retirement was on or prior to July 1, 2018.

As of November 1, 2018, there will be a $400 one-time supplement for retired members of the State Employees’, New State Police, and Judicial Pension Plans (not the Closed State Police plan). This increase will be reflected in the monthly pension benefit payment on November 30, 2018.

The purpose of SB 236 is to provide a one-time supplement to employees and retirees, but the intent of the legislation is that an individual should not receive more than one supplement payment. So if you are an active employee that receives a supplement payment you will not receive the retiree supplement, unless you are receiving a survivor pension.

The Closed State Police Plan Post Retirement Increase is 2.15% and will be included in the July 31, 2018 benefit payment.

Retiree Annual Statements will be mailed mid-January to retirees who received a pension benefit during 2017. Please check your statement carefully and follow the directions for updating your address or beneficiary designation.

Affordable Care Act Reporting:
The IRS Form 1095-C will be available by January 31, 2018 to retirees who retired from a State position during 2017. This form reflects your health coverage for the part of the year you were employed. The form will also be available to retirees who worked full-time hours as a casual/seasonal employee during Calendar Year 2017. Full-time hours is defined as on average 30 or more hours per week.

By January 31st, IRS Form 1095-B will be mailed by the Pension Office to retirees who were enrolled during 2017 in a State of Delaware Group Health Insurance plan for themselves and dependents, if any. If a covered dependent does not live with the retiree, the retiree is responsible for providing a copy of the 1095-B to that dependent. As part of the Affordable Care Act requirements, you will use this form when filing your 2017 federal tax return to verify your health coverage. While the information on the form may assist you in preparing a return, the form is not required to complete your return. It does not need to be attached to your tax return.

Retirees and their covered dependents who are enrolled in Medicare as their primary insurance will not receive a form from the Pension System. Medicare Part A is a government-sponsored program that provides the minimum essential coverage. It is exempt from this new reporting.

Tax Withholding Election Form:
Please review your State of Delaware pension benefit tax withholding election. In the event that you wish to change your current tax withholding, you may print from our website the Tax Withholding Election (TWE) form for submission to our office.

* Only submit this form if you wish to make a change.