Looking for your personal benefit payment information or your 1099-R? To access this information, you must first be logged into your MySDRS account. Click the "Log in using MySD" icon in the upper righthand corner to link/access your MySDRS account. Once logged in, your personal information and documents are located in the "MySDRS" dropdown in the navigation bar at the top of the page.
Payments
Monthly payments for SDRS benefit recipients are paid on the 15th day of each month. If the 15th of the month falls on a weekend or holiday, payment will be made on the prior business day.
Direct Deposit
For benefit recipients who receive their payment via direct deposit, payments will be electronically deposited into their designated financial institution account. When there is a change in your monthly payment amount, such as a cost of living adjustment, a tax table change, or requested withholding change, you will receive a paper notification in the mail that shows the change in your direct deposit. If you ever need to change banks and/or accounts for your direct deposit, you must complete SDRS Form B6: Authorization for Direct Deposit of Benefit Payments and return to the SDRS office. This form is available to print by logging into your MySDRS account or contacting the SDRS office at 1-605-773-3731.
Paper Warrants
For benefit recipients who receive their payment via paper warrant (check), payments are mailed from the SDRS office on the payment date as described above. SDRS encourages all retirees to use direct deposit, as it ensures prompt and secure delivery of your monthly benefit payments. If you would like to switch to direct deposit, you must complete SDRS Form B6: Authorization for Direct Deposit of Benefit Payments and return to the SDRS office. This form is available to print by logging into your MySDRS account or contacting the SDRS office at 1-605-773-3731.
Taxes
Federal Income Tax
Your SDRS benefit payments are subject to Federal income taxation (exception: contributions made to SDRS prior to July 1, 1984). When you apply for retirement benefits, you notify SDRS of how much Federal income tax to withhold by completing IRS Form W-4P. If you do not complete IRS Form W-4P, SDRS is required to withhold at the default rate. In determining the proper amount of Federal income tax withholdings for your personal situation, please consult with your tax advisor.
During your retirement, you may change your withholding whenever and as often as necessary by completing a new IRS Form W-4P.
You will receive an IRS Form 1099-R each January detailing the benefits paid to you, the taxable amount of the benefits, and any taxes that were withheld for your use in filing your annual income tax returns. Your 1099-R can also be downloaded through the Documents page of the MySDRS dropdown, available once you log into your MySDRS account. Click the "Log in using MySD" icon in the upper righthand corner to link/access your MySDRS account.
State Income Tax (if applicable)
Your SDRS benefit payments are subject to the tax rules in the state in which you reside. South Dakota does not have a state income tax. If you are a resident of another state you should contact that state's Department of Revenue regarding the tax status of your SDRS benefits. Because of varying state tax rules and regulations, SDRS is unable to withhold state income taxes from your SDRS benefit payments.