Pennsylvania Statutes Title 53 P.S. Municipal and Quasi-Municipal Corporations § 881.115. Exemption of retirement allowance

(1) Attachment in favor of an alternate payee as set forth in an approved domestic relations order.

(2) Forfeiture as provided by the act of July 8, 1978 (P.L. 752, No. 140),  1 known as the “Public Employee Pension Forfeiture Act.” Forfeitures under this clause or under any other provision of law may not be applied to increase the benefits that any member would otherwise receive under this act.

“Eligible retirement plan.”(1) Except as provided under clause (2), the term shall have the meaning given to it in section 402(c)(8)(B) of the Internal Revenue Code.  2

(2) The term shall include a qualified trust in section 402(c)(8)(B)(iii) of the Internal Revenue Code only if the qualified trust accepts the distributee's eligible rollover distribution. If the eligible rollover distribution is made to a nonspousal beneficiary, an eligible retirement plan shall be deemed an “individual retirement account” or an “individual retirement annuity” as defined in section 408(a) and (b) of the Internal Revenue Code.  3

“Eligible rollover distribution.”The term shall have the meaning given to it in section 402(f)(2)(A) of the Internal Revenue Code.