Note: On this page, SamCERA is providing
certain tax-related information to you but is not providing tax
advice. For questions regarding tax or legal matters, consult
with a professional advisor; SamCERA does not offer tax or legal
advice. Additional information can be found in the Guide to Your
When you retire, you must submit a completed tax
withholding form(s)to SamCERA. SamCERA is required by
law to withhold state and federal tax at the “married with 3
allowances” rate if you do NOT have a form on file declaring your
choice of withholding.
State Income Tax Withholding: SamCERA only
withholds state income taxes for California. SamCERA does
NOT withhold state income tax for any other state.
If you reside or move out of state, California income tax will
not be withheld, and an updated Tax Withholding form must be
If you reside outside of the U.S.: Please see
IRS Form W-4P (www.irs.gov/FormW4P) and EDD
Form DE-4P (https://www.edd.ca.gov/pdf_pub_ctr/de4p.pdf)
for information and instructions.
To change your withholding information: You can
change your tax election at any time by completing a new Tax
Withholding form (available on the Member Forms page) or
online at MySamCERA.
Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA)
Annual Notice: The Tax Equity and Fiscal
Responsibility Act of 1982 (TEFRA) requires that SamCERA notify
retired members each year that they may change their tax
Click here to view the current TEFRA notice.
1099-R Annual Tax Reporting Statement
Each January, retirees will receive an IRS 1099-R Form that
contains information about reportable income and taxable income
from SamCERA for the previous calendar year. It will also
reflect the amount of federal and California taxes that have been
Retirees can view and print copies of their 1099-R online at
Disability Retirement Benefits
If the Service-Connected Disability (SCD) benefit is equal to 50%
of the member’s final average compensation, SamCERA will treat
the entire SCD benefit as tax-exempt and it cannot be subject to
any withholding. If the SCD is greater than 50% of the
member’s final compensation, the portion of the benefit over 50%
is taxable and the member’s withholding will be based on that
portion only. For more information please refer
Private Letter Ruling Regarding Taxes and Disability.
Non-service-connected disability benefits are taxable.