Retiring
Eligibility For Benefits
In order to receive monthly pension payments from this Plan, you must be retired and not working during any calendar month in the type of employment and under the conditions described below. You may, however, work at any other type of job without having your pension payments stopped.
Retirement Before Required Beginning Date (Age 70 ½)
To be considered retired before the Required Beginning Date (age 70 ½), you must not work in “Industry Service” for 40 hours or more in a given calendar month.
Industry Service is work which can be described by all of the following statements:
- Work for an employer whose business activities are of the type engaged in by any Employer required to contribute to this Plan at the time your retirement benefits began; and
- Work which makes use of any skills you used while contributions to this Plan were being made on your behalf, or supervisory activities related to those skills, or other occupation using those skills; and
- Work within the State of California and any remainder of any standard metropolitan statistical area which falls in any part of California.
Exceptions – Prior to Attaining Normal Retirement Age
- Rehabilitation Plan Recommended or Default Schedules. You are not considered to be retired even if you only work one hour in Industry Service.
- Permitted Work in a Managerial Capacity. Certain work in a “managerial capacity” and work as an apprenticeship training instructor are not considered as Industry Service. In order to work in a “managerial capacity” and still be considered retired, you must meet all of the following requirements:
- Have earned at least 25 years of Benefit Accrual Credit and not subject to the “Special Freeze Rule.”
- Have not performed work for a Contributing Employer for at least 60 days.
- Employment in a job that is substantially different from the job that the Participant was performing prior to retirement and prior to returning to work in the glazing industry and one that does not involve work of the type generally performed by Union members covered under the Plan.
- Both the Participant and Employer have submitted applications forms with documentation of job duties acceptable to the Board of Trustees.However, if you are covered under either the Rehabilitation Plan Recommended or Default Schedules, you may not work in a “managerial capacity” and be considered retired.
- Geographic Area Covered:If you are covered under either the Rehabilitation Plan Recommended or Default Schedules, the geographic area within which you may not work in Industry Service and still be considered retired has been expanded from California to include the State of Nevada.
Exceptions – After Attaining Normal Retirement Age
- Permitted Work in a Managerial Capacity. Certain work in a “managerial capacity” and work as an apprenticeship training instructor are not considered as Industry Service. In order to work in a “managerial capacity” and still be considered retired, you must meet all of the following requirements:
- Employed solely by the Employer for whom he had been previously employed for the thirty-six months immediately prior to retirement and not working in Covered Employment.
- Not employed by the Union.
However, if you are covered under either the Rehabilitation Plan Recommended or Default Schedules, you may not work in a “managerial capacity” and be considered retired.
Retirement After Required Beginning Date (Age 70 ½)
Beginning with the April 1 immediately following the calendar year in which you reach age 70 ½, there are no restrictions on the type, duration or location of the work you may perform and continue to be considered retired.
Benefits & Payment Options
When You Are Eligible For Pension Benefits And How Much You Will Receive
This section describes the types of pensions available under the Plan and the service, age and other requirements for each. The amount of a monthly pension benefit will vary according to a number of factors, including: when your benefits were accrued, when you apply for pension benefits, and which option you select. The Plan Office can tell you about your eligibility and explain various factors which should be considered when you are ready to think about retirement.
NORMAL RETIREMENT BENEFIT
Eligibility Requirements
- You are eligible to receive a Normal Retirement Benefit on the date:
- You reach age 62 and you have achieved Vested status, or
- You reach age 65 and the fifth anniversary of your Plan participation, provided you worked at least one Hour of Covered Service on or after July 1, 1988 while you were a Participant in this Plan; or
- You reach age 65 and the tenth anniversary of your Plan participation.
Normal Retirement Benefit Amount
The amount of your monthly Normal Retirement Benefit depends on:
- The number of Benefit Accrual Credits earned;
- The amount payable for each Benefit Accrual Credit before July 1, 1974 (determined by your Weekly Contribution Rate and Work Jurisdiction); and
- The percentage of the Qualifying Contributions required to be made with respect to your work after June 30, 1974.
Monthly Benefit Earned Before July 1, 1974
The portion of your Past Service and Future Service Benefit earned before July 1, 1974 is calculated by multiplying the Benefit Accrual Credit earned before July 1, 1974 by the monthly benefit amount determined using the Weekly Contribution Rate applicable to the Work Jurisdiction in which you earned your first Hour of Covered Service.
Past Service Benefits. The maximum monthly benefit amount payable for each Year of Past Service Benefit Accrual Credit is $37.50 for a Participant whose Weekly Contribution Rate is at least $22.00. The maximum amount will be reduced proportionately for Participants with lower Weekly Contribution Rates.
Future Service Benefits earned from July 1, 1963 through June 30, 1974. The maximum monthly benefit amounts payable for each Year of Benefit Accrual Credit earned for this period are as follows:
| Weekly Contribution Rate | Maximum Monthly Benefit Amount for each Year of Benefit Accrual Credit |
|---|---|
| $40.75 or higher | $37.50 |
| $30.00 but less than $40.75 | $35.23 |
| Less than $30.00 | $35.23 amount Reduced Proportionately |
Monthly Pension Earned on and after July 1, 1974
The portion of your monthly pension earned on and after July 1, 1974 is determined in a completely different way. It is based on a percentage of the Qualifying Contributions payable with respect to your work in Covered Service. The percentage factor is multiplied by the amount of Qualifying Contributions during a Plan Year as follows:
| Period Effective | Percentage of Qualifying Contributions |
|---|---|
| July 1, 1974 through June 30, 2002 | 5.0% |
| July 1, 2002 through June 30, 2003 | 2.6% |
| July 1, 2003 through June 30, 2005 | 1.3% |
| July 1, 2005 to present | 1.0% |
| Note: Qualifying Contributions does not include certain “off-benefit” amounts. See page ___ for more details. | |
Important
If you have a Computation Break in Service or become employed in Noncovered Glazing Service after July 1, 1994, the amount of the monthly benefit you earned before the Computation Break or Noncovered Glazing Service will be frozen and determined under the terms of the Plan in effect at the end of the Computation Break period or on the date you entered Noncovered Glazing Service (unless such rules are waived. If you return to Covered Service and earn additional benefits, the monthly pension amount earned after your return will be based on the amount payable by the Plan at that time.
Here is an example of how the Normal Retirement Benefit is calculated for a pension effective July 1, 2011. Assume the Participant has worked in continuously in Covered Service since the 1987-1988 Plan Year, has not incurred a Computation Break in Service, and contributions for all years have been made on his behalf at the maximum hourly contribution rate.
| Credits | Benefit Rate | Normal Retirement Amount | ||
|---|---|---|---|---|
| Past Service Benefits for 1972 | None | $37.50 | — | |
| Future Service Benefits for 1973-1974 | None | $37.50 | — | |
| Future Service Benefits for 1974-1987 | None | 5.0% | — | |
| Plan | Amount of Contributions | 1 | 5.0% | $231.05 |
| 1987-1988 | 4,621 | 1 | 5.0% | 240.00 |
| 1988-1989 | 4,800 | 1 | 5.0% | 247.30 |
| 1989-1990 | 4,946 | 1 | 5.0% | 232.50 |
| 1990-1991 | 4,650 | 1 | 5.0% | 154.10 |
| 1991-1992 | 3,082 | 1 | 5.0% | 176.15 |
| 1992-1993 | 3,523 | 1 | 5.0% | 210.65 |
| 1993-1994 | 4,213 | 1 | 5.0% | 244.50 |
| 1994-1995 | 4,890 | 1 | 5.0% | 248.75 |
| 1995-1996 | 4,975 | 1 | 5.0% | 245.00 |
| 1996-1997 | 4,900 | 1 | 5.0% | 242.50 |
| 1997-1998 | 4,850 | 1 | 5.0% | |
| 1998-1999 | 1 | 5.0% | ||
| 1999-2000 | 1 | 5.0% | ||
| 2000-2001 | 1 | 5.0% | ||
| 2001-2002 | 1 | 5.0% | ||
| 2002-2003 | 1 | 5.0% | ||
| 2003-2004 | 1 | 2.6% | ||
| 2004-2005 | 1 | 1.3% | ||
| 2005-2006 | 1 | 1.0% | ||
| 2006-2007 | 1 | 1.0% | ||
| 2007-2008 | 1 | 1.0% | ||
| 2008-2009 | 1 | 1.0% | ||
| 2009-2010 | 1 | 1.0% | ||
| 2010-2011 | 1 | 1.0% | ||
| Normal Retirement Benefit | $___________ | |||
| After Rounding | $___________ | |||
As illustrated above, the greater the contributions (which are based on your hourly contribution rate and hours worked), the higher your Retirement Benefit. The actual benefit amount may be limited by Code Section 415.
EARLY RETIREMENT BENEFIT
Eligibility Requirements
You are eligible to receive an Early Retirement Benefit on the later of the date:
- you achieve Vested status, and
- you reach age 52, and
- you have earned at least 1½ Years of Future Service Benefit Accrual Credit.
Early Retirement Benefit Amount
The amount of the Early Retirement Benefit is determined in the same manner as the Normal Retirement Benefit.
Exceptions:
- Noncovered Glazing Service Freeze Rule. For Vested Participants who retire on or after July 1, 1997 and have worked in Noncovered Glazing Service before retirement, the Early Retirement Benefit will be based on the early retirement reduction factors, and other provisions, in effect under the Plan when they last earned Vesting Credit prior to working in the Noncovered Glazing Service. However, this rule may be waived once in a Participant’s lifetime if he or she returns to Covered Service after working in Noncovered Glazing Service and earns at least six Years of Vesting Credit.
- Rehabilitation Plan – Recommended Schedule. For Vested Participants who retire on or after July 1, 2011 and who are covered under the Rehabilitation Plan Recommended Schedule, the amount of the Early Retirement Benefit is determined in the same manner as the Normal Retirement Benefit only if the Participant:
- Is at least age 52 with 60,000 hours of credited service; or
- Is at least age 55 with 54,000 hours of credited service; or
If the Participant does not satisfy either of the above two requirements, the amount of the Participant’s entire Early Retirement Benefit is reduced from the amount payable as a Normal Retirement Benefit for each month that he is younger than age 62 as follows:
| Participant Age | Percentage of Normal Retirement Benefit Payable (Percentages shown for whole years. Actual percentages based on age in years and months) |
|---|---|
| 62 | 100% |
| 61 | 90.16% |
| 60 | 81.46% |
| 59 | 73.74% |
| 58 | 66.88% |
| 57 | 60.75% |
| 56 | 55.27% |
| 55 | 50.36% |
| 54 | 45.94% |
| 53 | 41.96% |
| 52 | 38.37% |
- Example: A 52-year-old Participant with a $1,000.00 per month accrued benefit at Normal Retirement Age, but who does not have 60,000 hours of credited service would receive a monthly benefit of $383.70.
- Rehabilitation Plan – Default Schedule. For Vested Participants who retire on or after July 1, 2011 and who are covered under the Rehabilitation Plan Default Schedule, the Early Retirement Benefit portion based on benefits accrued prior to July 1, 2011 is determined in the same manner as the Normal Retirement Benefit provided that the Noncovered Glazing Service freeze rule does not apply. The Early Retirement Benefit portion based on benefits accrued on or after July 1, 2011 is subject reduction based on the table shown above.
How Will Your Pension Be Paid?
When you make your decision to retire, you will be asked to choose the way you want your pension to be paid. The forms of payment available to you are described in this section.
STANDARD FORM IF YOU ARE SINGLE
Life Annuity with a Guarantee of 60 Monthly Payments
If you are single when you retire, you will receive monthly pension payments guaranteed for 60 months after your retirement date. The same is true if you are married and you and your spouse reject the Marital Annuity. Benefits are paid to you for your lifetime, but if you live less than 60 months after retirement, monthly payments will continue to your beneficiary for the remainder of the 60-month period.
For Example: If a Participant’s pension became effective September 1, 1997, and he died in August 1998 (12 months later), his beneficiary would have received payments under this Plan through August 2002 (48 months) so that between the two of them, a total of sixty payments were received.
Exceptions:
- Rehabilitation Plan – Recommended Schedule. For pensions with an effective date on or after July 1, 2011, the life annuity will no longer have a guarantee of 60 monthly payments. In other words, there will be no further payments payable to any beneficiary regardless of when you die after your pension payments begin.
- Rehabilitation Plan – Default Schedule. For pensions with an effective date on or after July 1, 2011, the life annuity will continue to have a guarantee of 60 monthly payments, but only on the portion of your benefit accrued prior to July 1, 2011. The portion of your benefit accrued on or after July 1, 2011 will be payable for your lifetime only.
STANDARD FORM IF YOU ARE MARRIED
100% Marital Annuity with a 60-Month Guarantee
If you are married when you retire, you will automatically receive a 100% Marital Annuity with a 60-Month Guarantee. Under this form of payment, you will receive a monthly amount for your lifetime, and after your death, your spouse will receive a lifetime monthly benefit equal to 100% of the amount you were receiving at the time of your death. There is no reduction in your benefit for this form of payment, which means that both you and your spouse will receive 100% of the benefits that you accrued by your retirement date. In addition, if both you and your spouse die before at least 60 monthly payments have been made, the remainder of the 60 monthly payments will be paid to your designated beneficiary.
Exceptions:
- Rehabilitation Plan – Recommended Schedule. For pensions with an effective date on or after July 1, 2011, the 100% Marital Annuity will continue to be the automatic form of payment if you are married when you retire. However, it will no longer have a guarantee of 60-monthly payments. In other words, there will be no further payments payable to any beneficiary regardless of when you and your spouse die after your pension payments begin.
- Rehabilitation Plan – Default Schedule. For pensions with an effective date on or after July 1, 2011, the 100% Marital Annuity will be the automatic form of payment for the portion of your benefit accrued prior to July 1, 2011 and will continue to be provided without any cost to your and your spouse. It will also continue to include the guarantee of 60-monthly payments.For the portion of your benefits accrued on or after July 1, 2011, the election of a 100% Marital Annuity will result in that portion being actuarially adjusted to cover the cost of providing benefits over two lifetimes. In addition, the 100% Marital Annuity will no longer have a guarantee of 60-monthly payments. In other words, there will be no further payments payable to any beneficiary regardless of when you and your spouse die after your pension payments begin.
The table below shows examples of how your benefit accrued on or after July 1, 2011 would be adjusted to provide the 100% Marital Annuity. The actual adjustment to your pension benefit will be based on the actual ages of you and your spouse when you retire.
Age of Participant and Spouse Default Schedule Both are age 52 88.89% Both are age 55 87.27% Both are age 60 84.09% Both are age 62 82.62% Both are age 65 80.25% Both are age 70 76.38% Example: A Participant and spouse are both age 62. The Participant retires under a Normal Retirement Benefit with a monthly benefit of $1,000.00 – $500.00 of which was earned prior to July 1, 2011 and $500.00 of which was earned on or after July 1, 2011. The $500.00 benefit earned prior to July 1, 2011 continues to be paid as a 100% Marital Annuity without any reduction in the Participant’s benefit and has a sixty-month guarantee. However, the $500.00 benefit earned on and after July 1, 2011 is reduced to $413.10 and has no payment guarantee attached to it.
- While the Participant is alive, he will receive a $913.10 benefit ($500.00 + $413.10).
- If he is survived by his spouse, she will continue to receive $913.10 for the rest of her life.
- If both the Participant and his spouse die prior to receiving sixty month’s of payments, the $500.00 portion of his benefit earned prior to July 1, 2011 will continue to be paid to the Participant’s beneficiary until a total of sixty payments have been made to all three parties. No further benefits are payable beyond their death for the $413.10 portion of the Participant’s benefit.
Since there is now an actuarial reduction will be applied to benefits earned on or after July 1, 2011, married Participants who have benefits earned both before and after July 1, 2011 may elect (with spousal consent) to have the payment of their pension benefit earned on and after July 1, 2011 as either a single life annuity or as a 75% Marital Annuity. The benefit earned prior to July 1, 2011 will continue to be payable as a 100% Marital Annuity with no reduction to the Participant’s benefit.
- Noncovered Glazing Service. If your benefits are frozen as a result of work in Noncovered Glazing Service as of July 1, 1997, the 100% Marital Annuity is not available to you and you will automatically receive the 50% Marital Annuity that was in effect on the date of the freeze.Under the 50% Marital Annuity, you will receive a reduced monthly amount for your lifetime, and after your death, your spouse will receive a lifetime monthly benefit equal to 50% of the reduced amount you were receiving. The amount you would normally receive will be reduced to take into account the expected life span of you and your spouse. The amount of the reduction will be based on the 50% Marital Annuity in effect under the Plan on the date of your freeze. Generally, Participants receiving the 50% Marital Annuity will receive 87% of their benefit if both the Participant and Spouse are the same age. This factor is reduced by .4% for each full year that the spouse is younger than the participant or increased by .4% for each full year that the spouse is older than the participant up to a maximum factor of 99%.
Example: A Participant retires with a Normal Pension in the amount of $1,000.00 per month. He and his spouse are age 62. Because he worked in Noncovered Glazing Service and all of his benefit is subject to its benefit freeze rule, the 100% Marital Annuity is not available to him. Under the 50% Marital Annuity, the amount of his pension is reduced to $870.00 per month and, if he dies before his spouse, she will continue to receive $435.00 per month for the remainder of her life.
You may – with the consent of your spouse – reject the 50% Marital Annuity form of payment in favor of one of the other options offered by the Plan at that time.
The Noncovered Glazing Service rule applies – even if you are covered under either of the Rehabilitation Plan Schedules.
OPTIONAL PAYMENT FORM – 75% MARITAL ANNUITY
In cases where the 100% Marital Annuity is provided at no cost to the Participant (e.g., Participants who have not engaged in Noncovered Glazing Service and who are not covered under a Rehabilitation Plan
Default Schedule for benefits accrued on or after July 1, 2011), it does not make sense for a married Participant to elect another payment form. However, in cases where there is a cost to electing a 100% Marital Annuity or the 50% Marital Annuity (with an actuarial reduction) is the only available payment form for a married Participant, a Participant may wish to elect an alternative 75% Marital Annuity.
Under the 75% Marital Annuity, you will receive a reduced monthly amount for your lifetime, and after your death, your spouse will receive a lifetime monthly benefit equal to 75% of the reduced amount you were receiving. The amount you would normally receive will be reduced to take into account the expected life span of you and your spouse. The amount of the reduction will be based on the age of you and your spouse on your date of retirement.
The table below shows how a Participant’s benefit is adjusted at selected Participant and spouse ages. For the sake of simplicity, we have assumed that both the Participant and spouse are the same age.
| Age of Participant and Spouse | Current Plan | Default Schedule |
|---|---|---|
| Both are age 52 | Not Available | 91.43% |
| Both are age 55 | Not Available | 90.14% |
| Both are age 60 | Not Available | 87.58% |
| Both are age 62 | Not Available | 86.37% |
| Both are age 65 | Not Available | 84.42% |
| Both are age 70 | Not Available | 81.17% |
Example: A Participant retires and elects a 75% Marital Annuity for $500.00 of his Normal Pension. He and his spouse are both age 62. The amount of his $500.00 pension is reduced to $431.85 per month and, if he dies before his spouse, she will continue to receive $323.89 per month for the remainder of her life.
Some Important Facts Concerning the Marital Annuities
- Any one of the Marital Annuities protects only the spouse legally married to you on your pension effective date. In addition, you and your spouse must have been legally married for at least one year ending on or before your death.
- If you divorce and remarry, your new spouse will not be entitled to any benefits under the Marital Annuity, and your first wife will still be eligible to receive the survivor benefit.
- If the spouse to whom you were married to on your pension effective date dies before you and you remarry, your new spouse will not be entitled to any Marital Annuity survivor benefit. However, upon your first spouse’s death, the amount of your benefit will “pop-up” to the amount payable as if the 50% or 75% Marital Annuity had not been elected.
- If your entire benefit is subject to the 50% Marital Annuity because you worked in Noncovered Glazing Service or the post-July 1, 2011 portion of your benefit is subject to the 50% Marital Annuity because you are covered under the Default Schedule, you may – with your spouse’s consent – choose to reject the 50% Marital Annuity by both you and your spouse must sign waiver forms provided by the Plan Office. The signatures must be witnessed by a notary public or an authorized Plan representative. A rejection of the 50% Marital Annuity is effective only if given within 180 days of the effective date of the pension.
- The rights of a former spouse or other family member as outlined in a “Qualified Domestic Relations Order” may reduce or eliminate any benefits due to the current spouse.
Automatic Lump Sum Payment of Benefits
If you, your spouse, or other payee is entitled to pension benefits whose actuarial present value is $1,000 or less, the benefit shall be paid in a single lump-sum payment. Such payment would represent your full entitlement to benefits under the Plan.
Internal Revenue Code Limitations On Benefits Payable From the Plan
You may be affected by Internal Revenue Code Section 415 limits if your full retirement benefit exceeds a fixed dollar amount set by the government, adjusted for each year that you are younger or older than the Social Security Retirement Age when you retire.
Pension Effective Dates
General
Pensions are only effective on the first day of the month, and the pension application form must be filed with the Plan Office at least one calendar month prior to the effective date of the pension. For example, if you want to receive your first pension payment on July 1, your application must be received at the Plan Office by June 1.
Disability Retirement Benefits
Payment of the Disability Retirement Benefit may begin on the date you are entitled to Social Security disability benefits, as shown on the notice of entitlement to a Social Security Disability Benefit; however payment will not be made more than two years prior to the date your application for benefits is received by the Plan Office.
Benefits After Normal Retirement Age (62) but Prior to “Age 70 ½” Required Beginning Date
If you are eligible for a Normal Retirement Benefit, and are not working in “Industry Service,” but delay filing a pension application until sometime after you reach Normal Retirement Age, you are entitled to an adjustment in your pension benefits to cover the missed payments beginning with the first day of the month following the month in which you reached Normal Retirement Age or, if later, retired from Industry Service. You may elect to receive either:
- A retroactive single sum payment to cover the missed payments plus interest; or
- An actuarially increased monthly in lieu of the single sum payment to covered the missed payments. benefit
The single sum payment and actuarial increase will not be made for periods during which you worked 40 hours or more during any calendar month in “Industry Service.”
Benefits at “Age 70 ½” Required Beginning Date
Your pension effective date cannot begin later than your Required Beginning Date.
Taxation on Benefits
Payments from pension plans are reported to the Internal Revenue Service and the appropriate state tax agency (the State Franchise Tax Board in the case of California). The timing and the form in which you and/or your survivors receive benefits may affect your taxes. The information below is general in nature and is not intended to represent tax advice concerning your personal situation. In addition, Plan Office staff cannot provide tax advice. Prior to applying for and receiving benefits from the Plan, you may wish to consult your own professional tax or financial advisor.
Withholding from Periodic Payments
Federal income taxes will be automatically withheld from any benefits paid by the Trust which exceed the limits established by the Internal Revenue Service unless you elect not to have income taxes withheld. You will be given complete information and the opportunity to elect or reject withholding when you apply for benefits.
Withholding from Lump Sum Payments
If you, your surviving spouse or other beneficiary are to receive a form of payment of benefits (generally a lump sum) that is considered by the Internal Revenue Service to be an “eligible rollover distribution,” the Plan must withhold 20% of the distribution for income tax purposes. However, eligible rollover distributions can be rolled over into an IRA or other tax-exempt retirement plan willing to accept the distribution. If you request a “direct” rollover (i.e., the Plan pays the money directly to the other eligible retirement plan instead of to you) and the other plan accepts rollovers, the 20% withholding is not mandatory.
You will be given complete information when you apply for benefits and the opportunity to elect or reject rollover treatment if your benefit is subject to the 20% mandatory withholding. Again, prior to making an election, you may wish to consult a professional tax or financial advisor.
Applications
APPLICATION FOR RETIREMENT BENEFITS
The first step is to request a pension application from the Plan Office at the following address:
Health Services & Benefit Administrators
4160 Dublin Boulevard, Suite 400
Dublin, CA 94568-7756
Or you mayr download the Pension Application from this website.
You should complete, sign, and send your application to the Plan Office so that it is received before the first of the month you want your pension to start. You must send proof of your date of birth with your application. If you are married, you will need to provide proof of your marriage and your spouse’s date of birth.
Disability Retirement Benefit
If you are applying for a Disability Retirement Benefit, you must submit proof that you have been awarded a Social Security disability benefit by the Social Security Administration. If you send in your application before you receive notice of entitlement to a Social Security Disability Award, you should indicate on the application that you have also applied for a Social Security Disability Award. As soon as you receive your notice of entitlement to a Social Security Disability Award, you should be sent to the Plan Office in order to have your retirement benefit begin on time. In any case, payment of your Disability Retirement Benefit will not be made more than two years prior to the date your application for benefits is received by the Plan Office.
Reaching “Age 70 ½” Required Beginning Date
The Plan must begin payment of your pension by the April 1st following the later of (1) the calendar year in which you reach age 70 ½ or (2) the calendar year in which you retire. This is known as your “Required Beginning Date.”
Payment must commence by your Required Beginning Date – whether or not you apply for benefits. In some cases, there may be income tax penalties if payment of your benefits does not commence by your Required Beginning Date. Therefore, it is important that you keep the Plan Office informed of your current address and contact it in advance of reaching age 70 ½.
APPLICATION FOR PRE-RETIREMENT LUMP SUM DEATH BENEFIT AND PRE-RETIREMENT MARITAL ANNUITY PENSION
An eligible Participant’s surviving spouse or beneficiary must file an application with the Plan Office for these benefits on a form furnished by the Trust. An application should be obtained from the Plan Office shortly after the Participant’s death so that payments may begin as soon as possible.
Benefits After Normal Retirement Age (62) but Prior to “Age 70 ½” Required Beginning Date
If you are eligible for a Normal Retirement Benefit, and are not working in “Industry Service,” but delay filing a pension application until sometime after you reach Normal Retirement Age, you are entitled to an adjustment in your pension benefits to cover the missed payments beginning with the first day of the month following the month in which you reached Normal Retirement Age or, if later, retired from Industry Service. You may elect to receive either:
- A retroactive single sum payment to cover the missed payments plus interest; or
- An actuarially increased monthly in lieu of the single sum payment to covered the missed payments. benefit
The single sum payment and actuarial increase will not be made for periods during which you worked 40 hours or more during any calendar month in “Industry Service.”
Benefit Limitations
INTERNAL REVENUE CODE LIMITATIONS ON BENEFITS PAYABLE FROM THE PLAN
You may be affected by Internal Revenue Code Section 415 limits if your full retirement benefit exceeds a fixed dollar amount set by the government, adjusted for each year that you are younger or older than the Social Security Retirement Age when you retire.
PENSION EFFECTIVE DATES
General
Pensions are only effective on the first day of the month, and the pension application form must be filed with the Plan Office at least one calendar month prior to the effective date of the pension. For example, if you want to receive your first pension payment on July 1, your application must be received at the Plan Office by June 1.
Disability Retirement Benefits
Payment of the Disability Retirement Benefit may begin on the date you are entitled to Social Security disability benefits, as shown on the notice of entitlement to a Social Security Disability Benefit; however payment will not be made more than two years prior to the date your application for benefits is received by the Plan Office.
Benefits After Normal Retirement Age (62) but Prior to “Age 70 ½” Required Beginning Date
If you are eligible for a Normal Retirement Benefit, and are not working in “Industry Service,” but delay filing a pension application until sometime after you reach Normal Retirement Age, you are entitled to an adjustment in your pension benefits to cover the missed payments beginning with the first day of the month following the month in which you reached Normal Retirement Age or, if later, retired from Industry Service. You may elect to receive either:
- A retroactive single sum payment to cover the missed payments plus interest; or
- An actuarially increased monthly in lieu of the single sum payment to covered the missed payments. benefit
The single sum payment and actuarial increase will not be made for periods during which you worked 40 hours or more during any calendar month in “Industry Service.”
Benefits at “Age 70 ½” Required Beginning Date
Your pension effective date cannot begin later than your Required Beginning Date.
Working After Retirement
In order to receive monthly pension payments from this Plan, you must be retired and not working during any calendar month in the type of employment and under the conditions described below. You may, however, work at any other type of job without having your pension payments stopped.
Retirement Before Required Beginning Date (Age 70 ½)
To be considered retired before the Required Beginning Date (age 70 ½), you must not work in “Industry Service” for 40 hours or more in a given calendar month.
Industry Service is work which can be described by all of the following statements:
- Work for an employer whose business activities are of the type engaged in by any Employer required to contribute to this Plan at the time your retirement benefits began; and
- Work which makes use of any skills you used while contributions to this Plan were being made on your behalf, or supervisory activities related to those skills, or other occupation using those skills; and
- Work within the State of California and any remainder of any standard metropolitan statistical area which falls in any part of California.
Exceptions – Prior to Attaining Normal Retirement Age
- Rehabilitation Plan Recommended or Default Schedules. You are not considered to be retired even if you only work one hour in Industry Service.
- Permitted Work in a Managerial Capacity. Certain work in a “managerial capacity” and work as an apprenticeship training instructor are not considered as Industry Service. In order to work in a “managerial capacity” and still be considered retired, you must meet all of the following requirements:
- Have earned at least 25 years of Benefit Accrual Credit and not subject to the “Special Freeze Rule.”
- Have not performed work for a Contributing Employer for at least 60 days.
- Employment in a job that is substantially different from the job that the Participant was performing prior to retirement and prior to returning to work in the glazing industry and one that does not involve work of the type generally performed by Union members covered under the Plan.
- Both the Participant and Employer have submitted applications forms with documentation of job duties acceptable to the Board of Trustees.
However, if you are covered under either the Rehabilitation Plan Recommended or Default Schedules, you may not work in a “managerial capacity” and be considered retired.
- Geographic Area Covered:If you are covered under either the Rehabilitation Plan Recommended or Default Schedules, the geographic area within which you may not work in Industry Service and still be considered retired has been expanded from California to include the State of Nevada.
Exceptions – After Attaining Normal Retirement Age
- Permitted Work in a Managerial Capacity. Certain work in a “managerial capacity” and work as an apprenticeship training instructor are not considered as Industry Service. In order to work in a “managerial capacity” and still be considered retired, you must meet all of the following requirements:
- Employed solely by the Employer for whom he had been previously employed for the thirty-six months immediately prior to retirement and not working in Covered Employment.
- Not employed by the Union.
However, if you are covered under either the Rehabilitation Plan Recommended or Default Schedules, you may not work in a “managerial capacity” and be considered retired.
Retirement After Required Beginning Date (Age 70 ½)
Beginning with the April 1 immediately following the calendar year in which you reach age 70 ½, there are no restrictions on the type, duration or location of the work you may perform and continue to be considered retired.
SUSPENSION OF PENSION PAYMENTS
If you are a pensioner and take a job of the type described above, you are no longer considered to be retired and must notify the Plan Office, in writing, within 31 days after you start work. Your benefits will then be suspended.
Furthermore, as a condition to resuming your pension and receiving future payments, you must furnish upon request such information, as the Plan requires to verify your continuing eligibility. If you fail to notify the Plan Office of such work, the Plan will presume that you worked in Industry Employment in either California or Nevada and exceeded the Plan’s minimum number of allowable hours for the month.
If your payments are suspended, you will be given notice by the Plan of such suspension and the specific reasons relating to the suspension.
Prior to Required Beginning Date (Age 70 ½)
If you are a pensioner younger than age 70 ½, your pension payments will be withheld for the months during which you are not retired (i.e., working in Industry Service as described above).
However, if your work in Industry Service is for an Employer contributing to the Plan, you may earn additional benefits. These benefits will become payable to you when you ceased work in Industry Service and your benefits are no longer suspended.
Exception:
- Rehabilitation Plan – Default Schedule: If your pension benefits are suspended prior to your attainment of Normal Retirement Age, under the Default Schedule rules and they would not have been suspended under the current plan rules, your pension benefits may be recalculated when you have again retired so that the actuarial value of your benefit at Normal Retirement Age is not reduced.
After Required Beginning Date (Age 70 ½)
Beginning with the April 1 immediately following the calendar year in which you are age 70-1/2, you will continue to receive your pension payments from this Plan during any period of employment, even if you become employed in the type of work prohibited by the Plan rules.
If you earn additional benefits, your pension will be adjusted in the calendar year following the Plan Year in which the additional benefits were earned.
PENSION PAYMENTS FOLLOWING SUSPENSION AND BENEFITS ACCRUED AFTER RETIREMENT
Upon re-retirement, benefits shall be resumed with payment beginning no later than the third month after the last calendar month for which your benefit was suspended. When resumed after suspension, the pension earned prior to the suspension shall be in the same payment form and amount received prior to suspension. However, the pre-suspension benefit may be recalculated under the following circumstances:
- If your pension benefit was first payable as an Early Retirement Benefit, then upon your first (and only the first) re-retirement or death, your benefit will be recalculated as if you were retiring for the first time (based on the terms of the Plan in effect on your original Pension Effective Date) and then reduced for each month you received Early Retirement Benefits before suspension in accordance with the provisions of the Plan.
- If your pension benefit is suspended due to your working in Covered Service before a Computation Break in Service occurs and a benefit improvement is made which applies to the service you earned prior to your suspension, then upon your first (and only the first) re-retirement or death, your benefit will be recalculated and the benefit improvement will apply to all the service you have earned, if:
- You earn at least 480 Hours of Covered Service during the first 12-consecutive-month period of suspension and each 12-consecutive-month period of suspension thereafter. If you re-retire before the end of any 12-consecutive-month period after the first one, the minimum number of Hours of Covered Service needed for that short period shall be equal to the number of full months during the short period multiplied by 40.
A Pensioner who returns to work in Covered Service may be entitled to receive additional pension benefits when he retires again based on any additional benefits earned during the period he returned to Covered Service. The additional pension benefits earned may have a separate Annuity Starting Date with respect to the election of any payment options available under the Plan as described below.
The additional benefits earned will be determined as of the date the Pensioner retires again. If the Pensioner was:
- Younger than Normal Retirement Age when his pension first started, he may elect to receive the additional benefits in any payment form provided by the Plan.
- Normal Retirement Age or older when he last retired, the payment form elected at that time shall govern any additional benefits earned through reemployment after that date.
RECOVERY OF OVERPAYMENTS
If a Pensioner received pension payments for any month during which he engaged in Industry Service after the period of suspension, the Plan will recover the amount of such overpayments. This may be in the form of offsetting the amount of your future monthly pension payments until such overpayment is totally recovered. You will be notified of the amount of the specific deductions prior to the offset.