Frequently Asked Questions
Is the Annuity (Retirement Savings) Plan a pension plan?
No. The Annuity Plan is a defined contribution retirement savings plan, not a defined benefit pension plan. Your benefit depends on the amount contributed to your individual account and the investment performance of those contributions.
Who is covered by the Annuity Plan?
You are covered by the Annuity Plan if contributions are made on your behalf by participating employers in accordance with the applicable collective bargaining agreement. Coverage depends on employer participation and contribution requirements described in the Plan.
How are contributions made to my Annuity account?
Contributions are made by participating employers on your behalf for covered work, as required by the applicable labor agreement. Contributions are credited to your individual account and invested according to the Plan’s rules.
May I direct how my Annuity account is invested?
Yes. You may direct the investment of all or a portion of your individual account balance among the investment options offered under the Plan. Investment options and procedures are described in the SPD and related materials.
What happens if I do not make an investment election?
If you do not make an investment election, your account will be invested in the Plan’s default investment option, as described in the SPD. The default option is selected by the Trustees in accordance with applicable law.
May I borrow from my Annuity account?
The Plan may allow loans from your individual account, subject to Plan rules and IRS limits. Loan availability, maximum amounts, interest rates, and repayment terms are described in the SPD.
What happens if I default on an Annuity loan?
If you fail to repay a loan according to the Plan’s terms, the outstanding balance may be treated as a taxable distribution, which could result in income taxes and possible penalties, as required by IRS rules. If you default on a loan you will not be eligible for another loan from the Plan.
May I withdraw money from my Annuity account before retirement?
Withdrawals before retirement are limited and are permitted only under specific circumstances allowed by the Plan and applicable IRS rules, such as hardship or other qualifying events. Early withdrawals may have tax consequences.
What happens to my Annuity account if I stop working or leave the jurisdiction?
Stopping work or leaving the jurisdiction does not automatically entitle you to a distribution. Your account remains in the Plan until you meet the requirements for a distribution under the Plan’s rules.
Can I roll over my Annuity account to another retirement plan or IRA?
When you become eligible for a distribution, you may be able to roll over your account balance to another qualified retirement plan or an IRA. Rollover options and procedures are described in the SPD.