Before you retire
If an active (not retired) member dies: the account balance goes to the beneficiaries as a lump sum; if the member was vested, an individual beneficiary may instead take a lifetime allowance computed as if the member had retired under Option A. If the member was vested and active within 1 year before death, beneficiaries share a $500 lump sum. Each minor child gets $200 a month until 18.
MCA 19-20-1001; Beneficiary Designations for Active Members fact sheet (Nov. 28, 2025), p. 2; Actuarial Valuation (July 1, 2025), p. 49, Appendix B (Death Benefit)After you retire
On a retiree's death: $500 lump sum, $200 a month to each minor child until 18, plus the continuing benefit under the option chosen (joint annuitant for life under A, B or C; rest of the period certain; or, under the Normal Form, any remaining account balance as a lump sum).
MCA 19-20-1002; Designation of and Payment to Joint Annuitants and Beneficiaries of Retired Members fact sheet (Apr. 11, 2019), pp. 1-2The facts
- If you die before retiring, your beneficiaries get your account balance. If you were vested, an individual beneficiary may choose a lifetime monthly benefit instead.MCA 19-20-1001; Beneficiary Designations for Active Members fact sheet (Nov. 28, 2025), p. 2
- A $500 death benefit is paid when a retiree dies, or when a vested member who was active within the past year dies. Each minor child also gets $200 a month until 18.MCA 19-20-1001(1), 19-20-1002(1)
- After retirement, what continues depends on your option: the joint annuitant's lifetime benefit (A, B, C), the rest of the 10 or 20 years, or with the Normal Form any remaining account balance.MCA 19-20-1002(2)-(4)
An example
Our engine on the statute: a vested member, active within the past year, dies leaving two minor children.
- Account balance to the beneficiaries, or a lifetime monthly benefit for an individual beneficiary (the member was vested).
- Death benefit: $500, shared by the beneficiaries.
- Children: $400 a month in all ($200 each) until each turns 18.
Disability retirement
- Vested members who become disabled while working may apply for disability retirement: the higher of 1/4 of AFC or the regular formula. Tier Two members already eligible for service retirement can't.Disability Retirement fact sheet (Aug. 29, 2024), p. 1
Vested members who became incapacitated while active and contributing may apply; the board decides. Benefit: the higher of 1/4 of AFC or 1/60 x AFC x service. Tier Two members eligible for service retirement can't take disability retirement. Disability Retirement fact sheet (Aug. 29, 2024), p. 1; Actuarial Valuation (July 1, 2025), p. 49, Appendix B (Disability Benefit)
| Service | Formula | Disability |
|---|---|---|
| 10 years | $10,000a year | $15,000a year |
| 20 years | $20,000a year | $20,000a year |
Our engine on a $60,000 AFC: one-quarter of AFC is the floor.
How each option protects a survivor: payment options.
Questions
What happens if I die before I retire?
Your beneficiaries get your Montana TRS account balance. If you were vested, an individual beneficiary may take a lifetime monthly benefit instead, figured as if you had retired under Option A.
Is there a death benefit?
Yes: $500, when a retiree dies or a vested member who was active within the past year dies. Each minor child also gets $200 a month until 18.
What about disability?
Vested members who become disabled while working may apply. The benefit is the higher of one-quarter of AFC or the regular formula.
Source: Montana TRS: Understand Your Benefits (web page) and fact sheets, Fetched Nov. 12, 2026; fact sheets revised 2019-2026, fact sheets: Beneficiary Designations for Active Members p. 2; Designation of and Payment to Joint Annuitants and Beneficiaries of Retired Members pp. 1-2; Disability Retirement p. 1. Also: Actuarial Valuation (July 1, 2025); MCA §§ 19-20-1001, 19-20-1002. Last reviewed .