FAQ's
When am I eligible for benefits?
You are at least age 50 and you permanently leave covered employment. This would be considered your regular retirement age. It normally takes three (3) months after you retire for all hours to be reported and transferred to Fidelity.
You have not worked any hours for which contributions are required to made to the Plan for at least six (6) months.
You become totally and permanently disabled at any age. You will be required to submit medical reports. The Trustees determine approval.
Can I take a loan or borrow some of my money for hardship?
There are no loan or hardship provisions under this plan. Effective October 2008 through December 2009 a temporary severance application can be made if you meet the criteria. This distribution will equal six (6) months of your salary per your job classification or the full amount in your account (whichever is less).
How long does it take for me to receive my money after I send in the application?
If you meet all the requirements for a distribution, the application will be submitted to Fidelity during the first week of the month following receipt of your application. Fidelity will generally distribute the money by the third week of that month.
The only exception to this is the 30-day severance application which can be applied for if you are signing the books and out of work for 30 days or longer. These distributions are done weekly.
What if I die before I receive my money? Who will receive it?
When your first contributions are received for your Individual Account Fund you will receive a Welcome Package. In that package there is a Beneficiary Form. It is important that you fill that form out and return it in the envelope provided so that we have a named beneficiary under the plan.
By law, if you are married at the time of your death, your spouse is entitled to a Pre-retirement Surviving Spouse Benefit. The pre-retirement surviving spouse benefit is equal to 50% of your accumulated share determined on the date of your death. The only exception to the 50% rule would be if the total value of your account were less than $3500. If the total value is less than $3500 it will be paid as a lump sum amount. The remaining 50% of your account can be paid to anyone who you name as beneficiary after your spouse has received his/her 50%. Forms must be filled out correctly and notarized if your spouse is waiving his/her rights to receive his/her portion of your benefits.
Do I have to pay taxes on my money when I receive it?
Yes, all distributions are taxable and will be reported as such unless you choose to rollover or transfer your money into another savings retirement plan.