LACERA members and payees can arrange to have money deducted from their monthly benefit checks for certain types of payments to affiliated agencies. A few examples of agency deductions include union or retiree organization dues, payments to credit unions, or premiums for supplemental dental or vision insurance.
In order to initiate an agency deduction from your LACERA benefit payment, you must complete a Deduction Authorization Agreement, which is only available through the agency and must be returned to the agency. At this time, LACERA can only process Deduction Authorization Agreements that are submitted by the agency (not by you directly). The Deduction Authorization Agreement will help LACERA determine if the deduction type meets the requirements set by the California Government Code and LACERA Board of Retirement policy.
There are three categories of deductions based on the County Employees Retirement Law and the Board of Retirement Policy Governing Deductions for Dues and Similar Assessments from Retiree Warrants.
Category 1 Deductions
- Group life insurance or group disability insurance issued by an admitted insurer
- Prepaid group medical or hospital service plan
- Vision care program or dental plan, approved by the Board of Retirement, for the benefit of the retired member or their dependents
- National service life insurance or United States government converted insurance
Category 2 Deductions
- Payment for the purchase of shares in or the payment of money to any regularly chartered credit union
- Payment to a charitable organization or a federally chartered veterans’ organization that is approved by the board
- Payments to a recognized retiree organization
- Payment for the purchase of United States savings bonds
- The payment of personal income taxes to the government of the United States or the State of California
Category 3 Deductions
- Payment for any retiree benefit programs available through the recognized retiree organization. The board may require that this payment be made to a single party designated by the recognized retiree organization, either itself or a third-party administrator. Some of these types of services include:
- Pet insurance
- Legal aid/support services
- Travel insurance
- Any non-healthcare or non-long-term care insurance benefit
Please contact your agency directly to inquire about setting up, changing, or canceling deductions from your LACERA benefit check and for further information regarding alternative payment options.