CA AB1246

Allows PERS members with a former spouse named as beneficiary to add a new spouse as beneficiary if a legal judgment awards only a portion (not the total) of retirement system interest to the retired member, effective January 1, 2026.

Permits members to elect this new multiple life contingency option only once, with the combined allowance to all beneficiaries and survivors not exceeding the member's total allowance amount.

Prohibits elections that would defraud the former spouse's interest in the retirement system or result in additional costs to employers.

Applies to members who retired on or before December 31, 2017 (Section 21462) and members who retired on or after January 1, 2018 (Section 21481).

Members must make the election within 12 months of marriage or within 12 months of the judgment dividing community property, with the election becoming irrevocable once made.