 |
 |
 |
Employers Manual
Refunds
Application for Withdrawal of STRS Ohio Account
To withdraw an account, the member must request an Application for Withdrawal of STRS Ohio Defined Benefit Plan Account form, Application for Withdrawal of STRS Ohio Defined Contribution Plan Account form or Application for Withdrawal of STRS Ohio Combined Plan Account form from STRS Ohio. The applications include instructions for completing the form and the direct rollover instructions. A withdrawal brochure will be included with the application. Withdrawal applications are also available on the STRS Ohio member Web site:
Account withdrawal information and application
for Defined Benefit Plan participants.
Account withdrawal information and application
for Defined Contribution Plan participants.
Account withdrawal information and application
for Combined Plan participants.
If the member has taught during the last 18 months, the member must submit the application to all current-year employers for certification of contributions before sending the form to STRS Ohio.
The employer should complete the “Employer Certification” section of the withdrawal application as soon as possible after receiving the form. Record the final date of service for which STRS Ohio-contributing compensation was earned and the member’s last payroll date. Also, complete the earnings, member contributions and service credit for the most recent fiscal year during which the member worked. Taxed employee contributions and tax-deferred contributions should be shown separately on the appropriate lines.
If an employer completes an application July through October and the member worked after June 30, report earnings, member contributions and service credit for the prior and current fiscal years.
The amounts recorded on the withdrawal application must agree with the amounts reported on the Annual Report. Contributions and service credit should not be reported to STRS Ohio until the proper amounts can be accurately determined. Employers will be responsible for reimbursing STRS Ohio for any overpayments made to members or beneficiaries as a result of employer reporting errors.
College and university employers are also required to record whether the applicant is currently participating in an alternative retirement plan in an STRS Ohio-covered position, the plan provider and whether the plan can accept a 401(a) transfer.
After completing the employer certification section of the withdrawal application, the employer may return the form directly to STRS Ohio. If the member elects a direct payment of the refund, the payment will be sent to the address shown on the member’s withdrawal application, unless STRS Ohio receives a written, signed notice from the member of an address change. Refund checks should not be expected until 30 days after STRS Ohio receives the completed application or the last payroll date, whichever is later.
If the member selects a direct rollover of the refund, the member should first confirm that the IRA or other eligible retirement plan accepts rollovers. The direct rollover instructions (Part 3, Option 2, of the withdrawal application) should be completed.
Refunds rolled over will be mailed to the eligible retirement plan trustee. The check will be made payable to the eligible retirement plan trustee. If only a partial amount of the refund is rolled over, the remaining portion will be sent directly to the member. Any taxable amounts sent directly to the member will be subject to 20% federal income tax withholding.
Refund checks for college and university faculty who are actively participating in an alternative retirement plan will be made payable to and mailed directly to the plan selected.
