Refunds
Concept
MFPRSI is authorized by Iowa Code Chapter 411.23 to return a terminated members contributions and interest for the period in which they were employed to the member upon application to the System.
Description
To request a total distribution of your contributions, you must complete an application and submit it to MFPRSI. The form is found by selecting the link at the top of the page. If you have terminated your employment with a participating Chapter 411 employer please complete Parts A and B of the application. Part C must be completed by your employer. Return the completed application to MFPRSI.
Minimum Notice Period
You have the right to consider your decision whether to elect a direct rollover of the eligible portion of your refund for at least 30 days after you receive an application. If you sign and return an application form to the System less than 30 days after you receive an application, the System will treat the receipt of your signed form as a waiver of any unexpired portion of the minimum 30-day period.
Please Note:
- This distribution does not, under any circumstances, include contributions made by the employer on behalf of the member.
- Rather than requesting a distribution you may be eligible to choose to receive a vested retirement benefit MFPRSI. To do so, you must have at least 4 years of credited service or attain the age of 55 while performing membership service and must also leave your contributions with MFPRSI. For more information on vested retirement, please contact MFPRSI.
- An IRS 1099R form for the refund distribution will be mailed to your last known address, on or before January 31 of the year following the year in which the payment was made.
Iowa Code §411.23
- Commencing July 1, 1990, if an active member, in service on or after that date, terminates service, other than by death or disability, the member may elect to withdraw the member's contributions under section 411.8, subsection 1, paragraphs "f" and "h", together with interest thereon at a rate determined by the board of trustees. If a member withdraws contributions as provided in this section, the member shall be deemed to have waived all claims for other benefits from the system for the period of membership service for which the contributions are withdrawn.
- A layoff for an indefinite period of time shall be deemed to be a termination of service for the purposes of this section. A member who withdraws the member's contributions as provided in this section following a layoff for an indefinite period of time and who is subsequently recalled to service may repay the contributions. The contributions repaid by the member for such service shall be equal to the amount of contributions withdrawn, plus interest computed based upon the investment interest rate assumption established by the board of trustees as of the time the contributions are repaid. However, the member must make the contributions within two years of the date of the member's return to service. The period of membership service for which contributions are repaid shall be treated as though the contributions were never withdrawn.