---
kind: "section"
citation: "22 U.S.C. § 4055"
title: "22"
title_heading: "Foreign Relations and Intercourse"
number: "4055"
heading: "Lump-sum payments"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/22/4055"
units:
  - "Chapter 52 — Foreign Service"
  - "Subchapter VIII — Foreign Service Retirement and Disability"
  - "Part I — Foreign Service Retirement and Disability System"
---

# §4055. Lump-sum payments

- (a) **Requirements for payment—**
  - (1) A [participant](/usc/22/4071a.md?p=5) is entitled to be paid a [lump-sum credit](/usc/22/4044.md?p=8) if the [participant](/usc/22/4071a.md?p=5)—
    - (A) is separated from the Service for at least 31 consecutive days, or is transferred to a position in which the [participant](/usc/22/4071a.md?p=5) is not subject to this subchapter and remains in such a position for at least 31 consecutive days;
    - (B) files an application with the Secretary of State for payment of the [lump-sum credit](/usc/22/4044.md?p=8);
    - (C) is not reemployed in a position in which the [participant](/usc/22/4071a.md?p=5) is subject to this subchapter at the time the [participant](/usc/22/4071a.md?p=5) files the application;
    - (D) will not become eligible to receive an annuity under this part within 31 days after filing the application; and
    - (E) has notified any spouse or [former spouse](/usc/22/4044.md?p=6) the [participant](/usc/22/4071a.md?p=5) may have of the application for payment in accordance with regulations prescribed by the Secretary of State.

    Such regulations may provide for waiver of [subparagraph (E)](#a-1-E) under circumstances described in [section 4046(b)(1)(D) of this title](/usc/22/4046.md?p=b-1-D).

  - (2) Such [lump-sum credit](/usc/22/4044.md?p=8) shall be paid to the [participant](/usc/22/4071a.md?p=5) and to any [former spouse](/usc/22/4044.md?p=6) of the [participant](/usc/22/4071a.md?p=5) in accordance with [subsection (i)](#i).
- (b) **Recall service; return of contributions—** Whenever an [annuitant](/usc/22/4044.md?p=1) becomes separated from the Service following a period of recall service without becoming eligible for a supplemental or recomputed annuity under [section 4063 of this title](/usc/22/4063.md), the compulsory contributions of the [annuitant](/usc/22/4044.md?p=1) to the [Fund](/usc/22/4071a.md?p=2) for such service, together with any special contributions the [annuitant](/usc/22/4044.md?p=1) may have made for other service performed after the date of separation from the Service which forms the basis for annuity, shall be returned to the [annuitant](/usc/22/4044.md?p=1) (and any [former spouse](/usc/22/4044.md?p=6) of the [annuitant](/usc/22/4044.md?p=1) who was married to the [participant](/usc/22/4071a.md?p=5) during the period of recall service, in accordance with [subsection (i)](#i)).
- (c) **Difference between annuity and lump-sum credit—** If all annuity rights under this part based on the service of a deceased [participant](/usc/22/4071a.md?p=5) or [annuitant](/usc/22/4044.md?p=1) terminate before the total annuity paid equals the [lump-sum credit](/usc/22/4044.md?p=8) to which the [participant](/usc/22/4071a.md?p=5) or [annuitant](/usc/22/4044.md?p=1) is entitled, the difference shall be paid in accordance with [subsection (f)](#f).
- (d) **Lack of eligible survivors—** If a [participant](/usc/22/4071a.md?p=5) or former [participant](/usc/22/4071a.md?p=5) dies and is not survived by an individual eligible for an annuity under this part or by such an individual or individuals all of whose annuity rights terminate before a claim for survivor annuity is filed, the [lump-sum credit](/usc/22/4044.md?p=8) to which the [participant](/usc/22/4071a.md?p=5) or [annuitant](/usc/22/4044.md?p=1) is entitled shall be paid in accordance with [subsection (f)](#f).
- (e) **Death of annuitant who was former participant—** If an [annuitant](/usc/22/4044.md?p=1) who was a former [participant](/usc/22/4071a.md?p=5) dies, any annuity accrued and unpaid shall be paid in accordance with [subsection (f)](#f).
- (f) **Order of precedence for payments—** Payments under subsections [(c)](#c) through [(e)](#e) shall be paid in the following order of precedence to individuals surviving the [participant](/usc/22/4071a.md?p=5) and alive on the date entitlement to the payment arises, upon the establishment of a valid claim therefor, and such payment shall be a bar to recovery by any other person:
  - (1) To the beneficiary or beneficiaries last designated by the [participant](/usc/22/4071a.md?p=5) before or after retirement in a signed and witnessed writing filed with the Secretary of State prior to the death of the [participant](/usc/22/4071a.md?p=5), for which purpose a designation, change, or cancellation of beneficiary in a will or other document which is not so executed and filed shall have no force or effect.
  - (2) If there is no such beneficiary, to the surviving wife or husband of the [participant](/usc/22/4071a.md?p=5).
  - (3) If none of the above, to the [child](/usc/22/4044.md?p=2) (without regard to the definition in [section 4044(2) of this title](/usc/22/4044.md?p=2)) or children of the [participant](/usc/22/4071a.md?p=5) (including adopted and natural children but not stepchildren) and descendants of deceased children by representation.
  - (4) If none of the above, to the parents of the [participant](/usc/22/4071a.md?p=5) or the survivor of them.
  - (5) If none of the above, to the duly appointed executor or [administrator](/usc/22/277d–43.md?p=1) of the estate of the [participant](/usc/22/4071a.md?p=5).
  - (6) If none of the above, to such other next of kin of the [participant](/usc/22/4071a.md?p=5) as may be determined in the judgment of the Secretary of State to be legally entitled to such payment, except that no payment shall be made under this paragraph until after the expiration of 30 days after the death of the [participant](/usc/22/4071a.md?p=5) or [annuitant](/usc/22/4044.md?p=1).
- (g) **Death of survivor annuitant—** Annuity accrued and unpaid on the death of a survivor [annuitant](/usc/22/4044.md?p=1) shall be paid in the following order of precedence, and the payment bars recovery by any other person:
  - (1) To the duly appointed executor or [administrator](/usc/22/277d–43.md?p=1) of the estate of the survivor [annuitant](/usc/22/4044.md?p=1).
  - (2) If there is no such executor or [administrator](/usc/22/277d–43.md?p=1), to such person as may be determined by the Secretary of State (after the expiration of 30 days from the date of death of the survivor [annuitant](/usc/22/4044.md?p=1)) to be entitled under the laws of the domicile of the survivor [annuitant](/usc/22/4044.md?p=1) at the time of death.
- (h) **Amount of credit—** [^1] Amounts deducted and withheld from basic salary of a [participant](/usc/22/4071a.md?p=5) under [section 4045 of this title](/usc/22/4045.md) from the beginning of the first pay period after the [participant](/usc/22/4071a.md?p=5) has completed 35 years of service computed under [section 4056 of this title](/usc/22/4056.md) (excluding service credit for unused sick leave under [section 4056(b) of this title](/usc/22/4056.md?p=b)), together with interest on the amounts at the rate of 3 percent a year compounded annually from the date of the deduction to the date of retirement or death, shall be applied toward any special contribution due under [section 4045(d) of this title](/usc/22/4045.md?p=d)), and any balance not so required shall be refunded in a lump sum to the [participant](/usc/22/4071a.md?p=5) after separation or, in the event of a death in service, to a beneficiary in the order of precedence specified in [subsection (f)](#f).
- (i) **Former spouses—** Unless otherwise expressly provided by any [spousal agreement](/usc/22/4044.md?p=11) or [court order](/usc/22/4044.md?p=4) under [section 4060(b)(1) of this title](/usc/22/4060.md?p=b-1), the amount of a [participant](/usc/22/4071a.md?p=5)’s or former [participant](/usc/22/4071a.md?p=5)’s [lump-sum credit](/usc/22/4044.md?p=8) payable to a [former spouse](/usc/22/4044.md?p=6) of that [participant](/usc/22/4071a.md?p=5) shall be—
  - (1) if the [former spouse](/usc/22/4044.md?p=6) was married to the [participant](/usc/22/4071a.md?p=5) throughout the period of creditable service of the [participant](/usc/22/4071a.md?p=5), 50 percent of the [lump-sum credit](/usc/22/4044.md?p=8) to which such [participant](/usc/22/4071a.md?p=5) would be entitled in the absence of this subsection, or
  - (2) if such [former spouse](/usc/22/4044.md?p=6) was not married to the [participant](/usc/22/4071a.md?p=5) throughout such creditable service, an amount equal to such [former spouse](/usc/22/4044.md?p=6)’s [pro rata share](/usc/22/4071a.md?p=6) of 50 percent of such [lump-sum credit](/usc/22/4044.md?p=8).

  The [lump-sum credit](/usc/22/4044.md?p=8) of the [participant](/usc/22/4071a.md?p=5) shall be reduced by the amount of the [lump-sum credit](/usc/22/4044.md?p=8) payable to the [former spouse](/usc/22/4044.md?p=6). For the purposes of this subsection, the term “creditable service” means service which is creditable under part I or II.


## Footnotes

[^1]: See Amendment of Section note below.

## Source credit

(Pub. L. 96–465, title I, § 815, Oct. 17, 1980, 94 Stat. 2116; Pub. L. 99–335, title IV, §§ 402(a)(2), 404(c), 413, June 6, 1986, 100 Stat. 609, 610, 614; Pub. L. 100–238, title II, § 218, Jan. 8, 1988, 101 Stat. 1775.)

## Notes

### Amendment of Section

Ex. Ord. No. 12446, § 1(a), (c), Oct. 17, 1983, 48 F.R. 48443, set out as a note under section 4067 of this title, provided that the first sentence of subsection (h) of this section, applicable (i) to contributions for civilian service performed on or after the first day of Nov. 1983, (ii) to contributions for prior refunds to participants for which application is received by the employing agency on and after such first day of Nov. 1983, and (iii) to excess contributions under section 4055(h) of this title and voluntary contributions under section 4065(a) of this title from the first day of Nov. 1983, is deemed to be amended to provide that interest shall be compounded at the annual rate of 3 percent per annum through December 31, 1984, and thereafter at a rate equal to the overall average yield to the Fund during the preceding fiscal year from all obligations purchased by the Secretary of the Treasury during such fiscal year under section 4059 of this title, as determined by the Secretary of the Treasury.

### Editorial Notes

### Amendments

1988—Subsec. (a). Pub. L. 100–238 amended subsec. (a) generally. Prior to amendment, subsec. (a) read as follows: “Whenever a participant becomes separated from the Service without becoming eligible for an annuity or a deferred annuity under this subchapter, a lump-sum credit shall be paid to the participant (and to any former spouse of the participant, in accordance with subsection (i) of this section). A participant who becomes subject to part II of this subchapter shall be entitled to payment of the lump-sum credit if, and to the extent that, such lump-sum credit relates to service of a type described in clauses (i) through (iii) of section 302(a)(1)(C) of the Federal Employees’ Retirement System Act of 1986.”

1986—Subsec. (a). Pub. L. 99–335, § 413, inserted provision relating to payment of a lump-sum credit for a participant who becomes subject to part II of this subchapter.

Subsecs. (c), (d). Pub. L. 99–335, § 402(a)(2), substituted “part” for “subchapter”.

Subsec. (i). Pub. L. 99–335, § 404(c), inserted provision defining “creditable service” as service creditable under part I or II of this subchapter.

### Statutory Notes and Related Subsidiaries

### Effective Date of 1988 Amendment

Amendment by Pub. L. 100–238 effective 90 days after Jan. 8, 1988, see section 261(a) of Pub. L. 100–238, set out as a note under section 4054 of this title.

### Effective Date of 1986 Amendment

Amendment by Pub. L. 99–335 effective Jan. 1, 1987, see section 702(a) of Pub. L. 99–335, set out as an Effective Date note under section 8401 of Title 5, Government Organization and Employees.