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Pension FAQ
- What pension plans are available for me?
Your Pension Plan is a Defined Benefit Plan. It provides a monthly benefit to you upon your qualified retirement.
- How old do I have to be to start collecting benefits from my defined benefit pension plan?
Effective for pensions commencing on or after May 1, 2000, a participant who retires on an early retirement date on or after he/she has attained age 55, and who has accrued 30 years of credited service, shall receive his/her unreduced Normal Retirement Income. Unreduced benefits are also payable at the attainment of Normal Retirement age, which is age 65.
- What are the different forms of benefits offered by the defined benefit pension plan?
The Plan offers a single life annuity, and joint & survivor annuity options with the survivor percentage at 50%, 75% and 100% (note: the higher the survivor percentage, the lower the participant's monthly benefit). Please refer to your plan’s Summary Plan Description for details.
- Can I change my form of benefit?
You can change your form of benefit at any time during the retirement processing period. Once you begin receiving monthly defined benefit plan payments, however, you cannot change your form of benefit.
- Once I retire, am I allowed to go back to work?
Suspension rules limit the number of hours a retiree is allowed to work each month. After you retire, there is a 6-month waiting period if you are under normal retirement age (65) and a 60-day waiting period if you are over normal retirement age before you can go back to work. After the waiting period, you can only work fewer than 40 hours per month. The suspension rules do not apply after April 1 of the year following the calendar year in which you attain age 70 1/2.
- When are pension checks mailed or direct deposits sent each month?
Benefit checks are mailed two days before the first of the benefit month. Direct deposits are made on the first of the benefit month.
- Is my pension taxable?
Yes, pension benefits are taxable.
- Can I change my withholding?
Yes, Allied Administrators must receive your request by the 15th of the month for the change to be reflected in the following month’s payment. Changes must be in writing. Print and complete a Change of Withholding form and mail, fax or scan it to Allied Administrators.
- How do I change my mailing address?
Changes of address must be in writing. Print and complete a Change of Information Form and mail, fax or scan it to Allied Administrators.
- When are the annual pension statements mailed?
Annual statements are mailed approximately 5 months after the end of the Plan Year.
- What happens to my pension if I die before I start drawing on it?
If you have a vested interest in the Pension Plan and you are married, your spouse is entitled to the Pre-Retirement Death Benefit. This can be (1) an actuarially reduced monthly benefit for the life of the participant's surviving spouse, available after that participant would have attained age 55; or (2) a lump sum benefit for the qualified beneficiary of a participant who had at least 10 years of credited service and who worked at least 500 hours in one of the two plan years immediately preceding death.
- Is there a hardship provision under the plan?
No, there are no hardship withdrawal provisions in the Plan.
- Can I borrow against my pension plan?
No loans are allowed from the Pension Plan.
- Who is listed as my beneficiary and can I change it?
At the time of retirement, you indicate your beneficiary on your retirement application. For all married participants, the spouse is the beneficiary unless he/she has consented to another beneficiary. This consent must be certified by a notary public. Unmarried participants can change their beneficiary at any time by completing the Change of Beneficiary Designation Form and returning it to Allied Administrators. Married participants must also obtain the written and notarized consent of spouse in order to change beneficiaries. The Plan has an order of succession if no beneficiary is indicated: spouse, children, grandchildren, parents, brothers and sisters, estate.
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