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Form of Payment |
How is the Level Income Option payment calculated? This Option can be calculated based on your estimated Social Security pension starting at either age 62 or age 65.You choose when you expect to start taking your Social Security pension. For each $10 that you increase your monthly Plan pension payments as of your Early Retirement Date, your monthly Plan pension payments will subsequently be decreased at age 62 or 65 based on the following chart: |
| Pensioner's Age at Retirement | Increase in Monthly
Pension for each $10 of Anticipated Monthly Social Security Payments Commencing at: | |
| Age 62 | Age 65 | |
| 50 | $3.25 | $2.35 |
| 51 | $3.54 | $2.56 |
| 52 | $3.86 | $2.79 |
| 53 | $4.22 | $3.05 |
| 54 | $4.61 | $3.33 |
| 55 | $5.05 | $3.65 |
| 56 | $5.54 | $4.00 |
| 57 | $6.09 | $4.40 |
| 58 | $6.70 | $4.84 |
| 59 | $7.38 | $5.33 |
| 60 | $8.15 | $5.89 |
| 61 | $9.02 | $6.52 |
| 62 | - | $7.23 |
| 63 | - | $8.03 |
| 64 | - | $8.95 |
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Don retires from active employment at age 58 with an Early Retirement Pension benefit equal to $800 per month, payable at age 65.Because Don wants to retire early, his benefit is reduced to $464 per month, payable as a Single Life Annuity. Don informs the Fund Office that he anticipates commencing his Social Security at age 65.It is estimated that he will receive $700 per month from Social Security at that time. If Don elects the Level Income Option, his monthly benefit will be increased from $464 to $803 until he reaches age 65 [$464 + ($700 x 4.84 / 10)]. At age 65, his monthly benefit will be reduced by $700 (his estimated Social Security benefit) to $103 per month. REGARDLESS OF WHEN DON ACTUALLY BEGINS HIS SOCIAL SECURITY PAYMENTS, AND HOW MUCH HE ACTUALLY RECEIVES FROM SOCIAL SECURITY, HIS LEVEL INCOME PAYMENTS FROM THE PLAN WILL NOT CHANGE. |
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Pat retires from active employment at age 60 with a Rule of 90 Pension benefit equal to $700 per month, payable as a Single Life Annuity. Pat informs the Fund Office that she anticipates commencing his Social Security at age 62.It is estimated that she will receive $600 per month from Social Security at that time. If Pat elects the Level Income Option, her monthly benefit will be increased from $700 to receive $1,189 until she reaches age 62 [$700 + ($600 x 8.15 / 10)].At age 65, her monthly benefit will be reduced by $600 (her estimated Social Security benefit) to $589 per month. REGARDLESS OF WHEN PAT ACTUALLY BEGINS HER SOCIAL SECURITY PAYMENTS, AND HOW MUCH SHE ACTUALLY RECEIVES FROM SOCIAL SECURITY, HER LEVEL INCOME PAYMENTS FROM THE PLAN WILL NOT CHANGE. |