SACRAMENTO, CA – Assembly Bill 1246, authored by Assemblymember Stephanie Nguyen (D-Elk Grove) was approved on a unanimous 5-0 bi-partisan vote on Thursday, June 22, 2023 by the California State Seante Committee on Labor, Public Employees and Retirement. The bill will ensure that CalPERS pensioners who have previously been divorced and are now remarried can add their new spouse as their beneficiary on their remaining CalPERS benefits.
“CalPERS retirees who get married, then divorces and then remarry should have the right to provide their new spouse with financial security,” said Assemblymember Stephanie Nguyen (D-Elk Grove). “A happy spouse means a happy house.”
Currently law allows CalPERS retirees to change their beneficiary if they are awarded 100% of their CalPERS retirement benefits in a divorce settlement. However, there is no current avenue for retirees who divorce after retirement and who receive less than 100 percent of their benefit to be able to add beneficiaries for their remaining CalPERS benefits.
AB 1246 will allow a retired CalPERS member who divorces after retirement, and subsequently remarry, to designate their new spouse as a beneficiary for the members’ share of retirement.
AB 1246 will be heard next be the California State Senate Committee on Appropriations.
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Assemblymember Stephanie Nguyen represents the Cities of Sacramento and Elk Grove