TYPES OF PENSION

Deferred Pension

Once you become vested, you are entitled to a Deferred Pension even if you have stopped earning further vesting credit under the Plan. You will be eligible to receive this pension at age 62, and your pension will be calculated as a Normal Pension. The Benefit Rates used to calculate your pension will be those in effect when you ceased to be an Active Participant under the Plan as demonstrated in the Participation Section of this SPD. If you were vested and attained age 55 with at least 15 years of Vesting Service, you would also qualify to begin receiving your pension before age 62, but the amount of your pension would be reduced by actuarial reduction factors applicable to the Plan.


EXAMPLE OF A DEFERRED PENSION

Bob, an A Journeyman, moved to California in February of 2014. He was 35 years old at the time and had earned eight Years of Vesting Service and eight Benefit Units while an Active Employee under the Plan. Because he left covered employment in February of 2014 with fewer than 400 Vesting Hours of Service, Bob ceased to be an Active Employee and incurred a One-Year Break-in-Service on December 31, 2014. Bob can expect to receive a Deferred Pension of $720.00 per month at age 62 calculated as follows:

Benefit units

 

Benefit Rate

 

Monthly Pension Benefit

8

x

2014 rate of $90.00

=

$720.00

Leaving and Later Returning

If you later return to covered employment and become vested with additional Benefit Units, your pension will be calculated as a Normal Pension with Breaks-in-Service. Each vested block of Benefit Units will be multiplied by the appropriate Benefit Rate.


EXAMPLE OF A DEFERRED PENSION WITH MULTIPLE SEGMENTS

Greg first left active employment in 2007 after earning six Years of Vesting Service and Six Benefit Units. Then, in 2013, he re-entered active participation and earned an additional six Benefit Units leaving active participation again in 2015. He is unmarried. His pension at normal retirement will be calculated in two segments, as follows:

Benefit Units   Benefit Rate   Monthly Pension Benefit

6
6

12.0

x
 
2007 rate of $82.00
2013 rate of $86.00
 
=

$492.00  +
$516.00  +

1,008.00

 


WHAT IS TOTALLY AND PERMANENTLY DISABLED?

You are considered totally and permanently disabled if you are unable to work in covered employment as a result of an unavoidable injury or illness while working in covered employment or within six months of leaving covered employment.

IBEW Local Reciprocal Program

In certain situations, you may maintain Years of Vesting Service and Benefit Units earned while traveling under your “home” Plan, under the Electronic Reciprocal Transfer System (ERTS). This program makes IBEW/NECA Pension Plans “portable,” meaning you can maintain all of your credit and service in your home Plan even though you may work in several areas outside of your home Plan’s jurisdiction during your career.

Under ERTS, you must register at a Local Union or participating Fund Office in order to begin the process. It is your responsibility to register on a timely basis. For additional information about ERTS and reciprocity, contact the Fund Office or your Local Union.