Summary Plan Description (Revised January 1, 2012)

Normal Retirement

Eligibility and Retirement Date

To be eligible for normal retirement you must be:

  • Vested in this plan;
  • Age 65 or older; and
  • You must cease working in the building and construction industry in the geographic area covered by this plan for 40 or more hours during a calendar month or during a four- or five-week payroll period ending in a calendar month.

Your retirement date is the first of any month following your 65th birthday and satisfaction of the eligibility requirements.

  • For additional information about normal retirement eligibility, please see Article 4.1.
Monthly Benefit

Under normal retirement, your monthly income is your total monthly benefit less the appropriate reduction for a joint and survivor benefit (if applicable). Joint and survivor factors are listed in Table 7. The following examples illustrate how to calculate a normal retirement income.

If you retire after age 65, your monthly retirement benefit is increased by ½ percent for each month your retirement is delayed.

Your normal retirement income can be increased with the pension enhancement option described before


Example 1

You retire at age 65 with a single life benefit of $2,000.00:

Total Monthly Benefit = Monthly Benefit
$2,000.00 = $2,000.00

In this example, your $2,000.00 total monthly benefit is not reduced because there is no early retirement reduction with normal retirement and there is no reduction for a survivor benefit with a single life benefit.

Example 2

You retire at age 65 with a total monthly benefit of $2,000.00. Your spouse is five years younger than you and you elect a 50% joint and survivor benefit:

Total Monthly Benefit x Joint and Survivor Reduction Factor = Monthly Benefit
$2,000.00 x .8550 (85.50%) = $1,710.00
$1,710.00 per month for your lifetime
$855.00 per month for your surviving spouse's lifetime

In this example, your $2,000.00 total monthly benefit is reduced by $290.00 to provide a continuing monthly income for your surviving spouse's lifetime.

Example 3

You retire at age 67 with a single life benefit of $2,000.00.

Total Monthly Benefit + ½% per month = Monthly Benefit
$2,000.00 + 12% = $2,240.00

In this example, your total monthly benefit is $2,240.00. 

Retirement benefits are taxable income. Retirement Services will automatically provide you with a Form 1099-R in late January of each year for the upcoming April 15 tax deadline.

  • For additional information about the monthly benefit available under normal retirement, please see Article 6.1

Key Point

Under no circumstances can you postpone your retirement past April 1 of the calendar year immediately following the calendar year in which you attain age 70½. This is known as the Internal Revenue Service (IRS) "70½ Rule." If you are still working at that time, Retirement Services will automatically send you an Application For Retirement Benefits form and an Election of Retirement Benefits. You will be required to receive a certain minimum annual distribution even if you wish to postpone retirement beyond that age. For additional information about minimum annual distributions, please see Article 6.12.