Blagojevich will now have $107,367.86 for his wife and two daughters, after a judge in Chicago made way for the release of state pension contributions made by Blagojevich, minus what he owes the federal government.
In paperwork on file Thursday with the federal court in Chicago, U.S. District Judge James Zagel ordered that $21,800 be taken from Blagojevich's $129,167.86 in state retirement plan contributions to satisfy his judgment debt.
The Northwest Side Democrat was convicted in pay-to-pay schemes and sentenced to 14 years in prison.
When he was governor, enjoying the all-expense-paid trappings of Illinois' top elective office, Mr. Blagojevich socked away the six-figure state pension account. He could have drawn the pension at age 55.
Last year though, Illinois Attorney General Lisa Madigan issued an opinion determining the prison-bound former governor was ineligible to receive a state pension because of his felony corruption convictions.
While Madigan's decision vetoed Blagojevich's state pension draw, the General Assembly Retirement System was obligated to refund money he contributed from state paychecks-subtracting any interest that had accrued.
As the latest Illinois governor headed to prison, Blagojevich has until Thursday, March 15 to report. He will be serving time at a facility in Colorado, where he requested to be housed.
While he is incarcerated, Blagojevich will apparently still be eligible to receive a federal pension of roughly $15,000 a year for serving six years in Congress. He can begin collecting that when he turns 62.