1. (a) The limitation year used by the retirement system for determining the maximum annual benefit which may be paid under Section 415 of the Internal Revenue Code is the calendar year.

2. (b) The maximum monthly amount of the retirement annuity payable with respect to the retiree during the limitation year shall be the lesser of:

   1. (1) the amount determined under the provisions of the Government Code, Chapter 844 (excluding the limitations of §844.008); or
   2. (2) the amount determined by dividing the annual limit for the limitation year (as determined in accordance with Section 415 of the Internal Revenue Code) by the number of monthly payments scheduled to be paid with respect to the retiree during the limitation year.

Source Note:The provisions of this §103.8 adopted to be effective November 1, 1998, 23 TexReg 10885.