Retirement Savings Plan Summary Plan Description

 
  • Retirement Savings Plan SPD / Section 6 / Participant Distributions >>

6.9 Forms of Distributions

If you are eligible for a distribution as described in Sections 6.1 to 6.4, subject to any spousal consent requirement that may apply, you may choose to receive your distribution in any of the following forms:

  1. a single life annuity payable over your lifetime;
  2. a joint and 50%, 75% or 100% survivor annuity payable over the joint lives of you and your spouse or other designated beneficiary;
  3. a single sum distribution of any amount, which you may elect up to four times in a 12-consecutive month period;
  4. a periodic fixed dollar amount;
  5. a periodic fixed percentage of your account determined at or about the time of the distribution; and
  6. a periodic amount based on your life expectancy.

The periodic amounts described above may be revoked by you at any time. If you are married with an account balance exceeding $5,000, the default form of benefit is a joint and 50% survivor annuity. Your spouse must consent to any benefit form other than a joint and 50% (or higher) survivor annuity, and the consent must be witnessed by a Plan representative or a notary public. All annuity forms of benefit (other than pension enhancement described in Section 6.5) are obtained by purchasing, with your account, an annuity contract from a commercial insurance company that will pay a monthly benefit to you during your lifetime, then a monthly benefit to your surviving spouse for his or her remaining lifetime that is equal to the payment made to you multiplied by the survivor annuity percentage. If you elect a joint and survivor annuity and an annuity contract is purchased by the Plan on your behalf, you will not later be allowed to change the benefit, even if your spouse dies before you or you later divorce your spouse, and even if you remarry. Instead of purchasing a commercial annuity to enhance their monthly pension benefit, many retiring Participants who wish to enhance their guaranteed monthly benefit frequently choose pension enhancement described in Section 6.5 instead of a commercial annuity because commercial annuities tend to provide a lower monthly benefit for the same dollar amount due to fees and other factors.