Help Secure your future
Maximize Your DROP
The Deferred Retirement Option Program (DROP) is a voluntary retirement program available to FRS Pension Plan members who qualify for normal retirement. It allows you to delay your retirement for up to 96 months from the point where you first reach your normal retirement date or your eligible deferral date.
Once you have entered DROP, you continue to work for an FRS employer and earn a salary while your retirement benefits accumulate in the FRS Trust Fund and earn tax-deferred interest. However, you stop earning retirement service credit due to the fact that you are considered to be retired. Upon exiting DROP, you will receive your accumulated funds and your monthly retirement benefit. You must terminate your FRS employment at that point to avoid forfeiting your DROP benefits.
Before making a major decision with your hard-earned money, it’s important to know what strategic benefits come with the BENCOR Account that you may already own.
Contact us today to learn how to Maximize your DROP.
The benefits of using your BENCOR Account include:
A Lincoln Stable Value Account (LSV) or Guaranteed Fixed Interest Fund (GFIF) that offers guaranteed1 principal and interest on all deposits, including your DROP rollover dollars.
No fees on any transactions2 for the fixed interest rate bucket as long as you maintain a $1,000 account balance.
No restrictions3 on your money through lump sum or direct deposit as soon as you separate from service.
The flexibility to change your withdrawal amount according to your income needs.
1. Guarantees are based upon the claims-paying ability of the custodian
2. Other withdrawals/withdrawals due to Employer-initiated events may be subject to restriction and or 5% charges
3. Internal Revenue Code age-based restrictions do apply
Secure and Steady: Buy Time and Peace of Mind with BENCOR's DROP Rollover Plan
Michael Borgailo, Bencor Managing Partner
- Select the box on the DP Payt form indicating that you want to roll all or part of DROP.
- Sign your form in front of a notary.
- Fax your form to (888) 678-5287 and include your email address for confirmation.
- Take a deep breath and relax! We will send you a completed copy of your DP Payt form and notify you when your funds are safely in your BENCOR account.
Not comfortable with the fax process? Call us directly at (866) 544-0073 and arrangements will be made to meet with you one on one.
