Payment Options

Single Life Annuity Benefit with a Five-Year Guarantee

If you are not married when you retire, the normal form of payment is a Single Life Annuity with a five-year (60 Payments) Guarantee. The Single Life Annuity benefit represents the highest monthly amount payable to you for your lifetime.

The Single Life Annuity benefit has a five-year (60-month) guarantee of benefits. You receive payments in equal monthly installments that begin when you retire and continue for your lifetime. If you should die before 60 payments have been made, any remaining payments will be paid to your named beneficiary until a total of 60 payments are made. However, if you should die after 60 payments have been made to you, no further pension payments will be payable.  

If you are a married participant, your spouse must formally consent agree to your election of the Single Life Annuity benefit and to your named beneficiary. 

Joint and Survivor Benefit

The joint and survivor options are only available to married participants. The following options allow you to elect a monthly benefit that will provide lifetime pension payments for your spouse in the event of your death.

These options are reduced from the Single Life Annuity amount to allow for the benefit payments to your spouse in the event of your death. Your benefit reduction is based upon the age of both you and your spouse at the time of retirement and the option you elect.

• 100% Joint and Survivor Option: The 100% option provides your spouse with lifetime monthly payments equal to your monthly benefit at the time of your death.
• 75% Joint and Survivor Option: The 75% option provides your spouse with lifetime monthly payments equal to 75% of your monthly benefit at the time of your death.
• 50% Joint and Survivor Option: The 50% option provides your spouse with lifetime monthly payments equal to 50% of your monthly benefit at the time of your death.

The Plan also offers a “Pop-Up” feature on each of the Joint and Survivor options. The pop-up option provides your spouse with lifetime monthly payments equal to a percentage of your monthly benefit at the time of your death. However, if your spouse predeceases you, your benefit will “pop-up” to the Single Life Annuity benefit amount for the remainder of your lifetime. If you elect the 50% Joint and Survivor Option with Pop-Up, your spouse must agree to your election.

The Joint and Survivor benefit options have a 60-month guarantee of benefits (same as the Single Life Annuity benefit). If you should die before 60 payments have been made, any remaining payments will be made to your spouse at the same amount that you were receiving prior to your death. If both you and your spouse die, payments will be made to the beneficiary designated by the participant until a total of 60 payments have been made. However, if you should die after 60 payments have been made to you, your spouse will not receive the same amount that you were receiving prior to your death, but instead will receive 50% or 75% of such benefit (depending on the Joint and Survivor Option elected, unless the 100% option was elected).

Spousal Consent

Under federal law, a married participant is required to elect a payment form which provides a minimum of a 50% survivor annuity for his spouse. If you elect a benefit that does not provide for at least this minimum protection, you must obtain your spouse’s consent for your election. If you do not make an election, your benefit will be paid in the 50% Joint and Survivor form (the normal form), and after your death, the Plan will pay your surviving spouse 50% of the amount it was paying you.

Whenever consent of the Spouse is required, such consent shall be in writing on a form provided by the Fund Office and witnessed by a Notary Public, and shall include consent to the designated Beneficiary and/or form of benefits, all of which may not be changed without the consent of the Spouse and the Spouse shall acknowledge that the Spouse understands the effect of the election.

Divorced Participants

A Qualified Domestic Relations Order (“QDRO”) can require the Plan to pay part or all your pension benefits to a former spouse or other dependent. If you are divorced, your pension benefits may be affected if a QDRO is included in your divorce decree or in a separate domestic relations order. The Fund Office will need to review any decrees, agreements or orders relating to your marital situation to determine if they affect the payment of your benefits. The procedure governing domestic relations orders can be obtained free of charge from the Fund Office.