--- kind: "range" citation: "5 U.S.C. §§ 8424–8424" title: "5" from: "8424" to: "8424" count: 1 release: "119-102" url: "https://uscodex.org/usc/5/8424..8424" --- # §8424. Lump-sum benefits; designation of beneficiary; order of precedence - (a) Subject to [subsection (b)](#b), an [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20) who— - (1) - (A) is separated from the [service](/usc/5/8401.md?p=26) for at least 31 consecutive days; or - (B) is transferred to a [position](/usc/5/5531.md?p=2) in which the individual is not subject to this chapter and remains in such a [position](/usc/5/5531.md?p=2) for at least 31 consecutive days; - (2) files an application with the [Office](/usc/5/8401.md?p=24) for payment of the [lump-sum credit](/usc/5/8401.md?p=19); - (3) is not reemployed in a [position](/usc/5/5531.md?p=2) in which the individual is subject to this chapter at the time of filing the application; and - (4) will not become eligible to receive an annuity within 31 days after filing the application; is entitled to be paid the [lump-sum credit](/usc/5/8401.md?p=19). Except as provided in [section 8420a](/usc/5/8420a.md), payment of the [lump-sum credit](/usc/5/8401.md?p=19) to an [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20) voids all annuity rights under this subchapter, and subchapters IV and V of this chapter, based on the [service](/usc/5/8401.md?p=26) on which the [lump-sum credit](/usc/5/8401.md?p=19) is based, until the [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20) is reemployed in the [service](/usc/5/8401.md?p=26) subject to this chapter. - (b) - (1) - (A) Payment of the [lump-sum credit](/usc/5/8401.md?p=19) under [subsection (a)](#a) may be made only if the spouse, if any, and any [former spouse](/usc/5/8401.md?p=12) of the [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20) are notified of the [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20)’s application. - (B) The [Office](/usc/5/8401.md?p=24) shall prescribe regulations under which the [lump-sum credit](/usc/5/8401.md?p=19) shall not be paid without the consent of a spouse or [former spouse](/usc/5/8401.md?p=12) of the [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20) where the [Office](/usc/5/8401.md?p=24) has received such additional information or documentation as the [Office](/usc/5/8401.md?p=24) may require that— - (i) a [court](/usc/5/8401.md?p=7) order bars payment of the [lump-sum credit](/usc/5/8401.md?p=19) in order to preserve the [court](/usc/5/8401.md?p=7)’s ability to award an annuity under section [8445](/usc/5/8445.md) or [8467](/usc/5/8467.md); or - (ii) payment of the [lump-sum credit](/usc/5/8401.md?p=19) would extinguish the entitlement of the spouse or [former spouse](/usc/5/8401.md?p=12), under a [court](/usc/5/8401.md?p=7) order on file with the [Office](/usc/5/8401.md?p=24), to a [survivor](/usc/5/8401.md?p=28) annuity under [section 8445](/usc/5/8445.md) or to any portion of an annuity under [section 8467](/usc/5/8467.md). - (2) - (A) Notification of a spouse or [former spouse](/usc/5/8401.md?p=12) under this subsection shall be made in accordance with such requirements as the [Office](/usc/5/8401.md?p=24) shall by regulation prescribe. - (B) Under the regulations, the [Office](/usc/5/8401.md?p=24) may provide that [paragraph (1)(A)](#b-1-A) may be waived with respect to a spouse or [former spouse](/usc/5/8401.md?p=12) if the [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20) establishes to the satisfaction of the [Office](/usc/5/8401.md?p=24) that the whereabouts of such spouse or [former spouse](/usc/5/8401.md?p=12) cannot be determined. - (3) The [Office](/usc/5/8401.md?p=24) shall prescribe regulations under which this subsection shall be applied in any case in which the [Office](/usc/5/8401.md?p=24) receives two or more orders or decrees referred to in [paragraph (1)(B)(i)](#b-1-B-i). - (c) Under regulations prescribed by the [Office](/usc/5/8401.md?p=24), an [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20), or a former [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20), may designate one or more [beneficiaries](/usc/5/8471.md?p=1) under this section. - (d) Lump-sum benefits authorized by [subsections (e) through (g)](#e..g) shall be paid to the individual or individuals surviving the [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20) and alive at the date title to the payment arises in the following order of precedence, and the payment bars recovery by any other individual: First, to the [beneficiary](/usc/5/8471.md?p=1) or [beneficiaries](/usc/5/8471.md?p=1) designated by the [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20) in a signed and witnessed writing received in the [Office](/usc/5/8401.md?p=24) before the death of such [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20). For this purpose, a designation, change, or cancellation of [beneficiary](/usc/5/8471.md?p=1) in a will or other document not so executed and filed has no force or effect. Second, if there is no designated [beneficiary](/usc/5/8471.md?p=1), to the widow or widower of the [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20). Third, if none of the above, to the child or children of the [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20) and descendants of deceased children by representation. Fourth, if none of the above, to the parents of the [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20) or the [survivor](/usc/5/8401.md?p=28) of them. Fifth, if none of the above, to the duly appointed executor or administrator of the estate of the [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20). Sixth, if none of the above, to such other next of kin of the [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20) as the [Office](/usc/5/8401.md?p=24) determines to be entitled under the laws of the domicile of the [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20) at the date of death of the [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20). For the purpose of this subsection, “child” includes a natural child and an adopted child, but does not include a stepchild. - (e) If an [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20), or former [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20), dies— - (1) without a [survivor](/usc/5/8401.md?p=28), or - (2) with a [survivor](/usc/5/8401.md?p=28) or [survivors](/usc/5/8401.md?p=28) and the right of all [survivors](/usc/5/8401.md?p=28) under subchapter IV terminates before a claim for [survivor](/usc/5/8401.md?p=28) annuity under such subchapter is filed, the [lump-sum credit](/usc/5/8401.md?p=19) shall be paid. - (f) If all annuity rights under this chapter (other than under subchapter III of this chapter) based on the [service](/usc/5/8401.md?p=26) of a deceased [employee](/usc/5/8401.md?p=11) or [Member](/usc/5/8401.md?p=20) terminate before the total annuity paid equals the [lump-sum credit](/usc/5/8401.md?p=19), the difference shall be paid. - (g) If an [annuitant](/usc/5/8401.md?p=2) dies, annuity accrued and unpaid shall be paid. - (h) Annuity accrued and unpaid on the termination, except by death, of the annuity of an [annuitant](/usc/5/8401.md?p=2) or [survivor](/usc/5/8401.md?p=28) shall be paid to that individual. Annuity accrued and unpaid on the death of a [survivor](/usc/5/8401.md?p=28) shall be paid in the following order of precedence, and the payment bars recovery by any other person: First, to the duly appointed executor or administrator of the estate of the [survivor](/usc/5/8401.md?p=28). Second, if there is no executor or administrator, payment may be made, after 30 days from the date of death of the [survivor](/usc/5/8401.md?p=28), to such next of kin of the [survivor](/usc/5/8401.md?p=28) as the [Office](/usc/5/8401.md?p=24) determines to be entitled under the laws of the domicile of the [survivor](/usc/5/8401.md?p=28) at the date of death.