my retirement benefits be paid?
at $1,000 or Less: If
the value of your vested Account balances is $1,000 or less, payment
will be made to you in a lump sum (or as a direct rollover) as soon
as administratively practicable following your termination of employment
with the University.
at More Than $1,000: If the value of your vested Account balances exceeds
$1,000, payment will be made as of the following applicable date:
- as soon as reasonably
practicable after the later of (a) your termination of employment
with the University and (b) the date on which the Plan Administrator
receives your properly completed distribution election form;
- if an earlier
election for payment of benefits has not been made as provided above,
within 60 days after the end of the Plan Year in which you (a) attain
Normal Retirement Age, (b) reach the 10th anniversary of the date
on which you first became a participant in the Plan, or (c) terminate
from employment with the University, whichever occurs last, unless
you elect in writing to defer payment beyond that date; and
- in any event,
not later than the first April 1 following the later of (a) the calendar
year in which you attain age 70½ or (b) the calendar year in which
your employment with the University terminates.
Age 70½ distributions.
If you are 70½ or older and still employed by the University, you may
elect to begin payment of your benefits at any time in any form permitted
by the Plan.
are my accounts valued?
Your Accounts are
adjusted each business day that the New York Stock Exchange is open
to reflect any distributions made, any contributions received and such
Accounts' share of the earnings of the investment funds in which such
Accounts are invested.
are distributions taxed?
All amounts distributed
from the Plan are subject to ordinary federal income tax (and state
tax, if applicable) in the calendar year in which you receive the distribution,
unless the distribution is eligible for rollover and you timely roll
over the distribution to an IRA or another Eligible Employer Plan. Any
portion of your distribution that qualifies as an Eligible Rollover
Distribution and that is not directly rolled into an IRA or another
Eligible Employer Plan must have 20% of the taxable portion of the distribution
withheld for federal income tax. However, if the amount of your Eligible
Rollover Distribution payable in one tax year is less than $200, federal
income tax withholding is not required.
An additional tax
equal to 10% of the amount distributed must also be paid if the distribution
is made before you:
- attain age 59½,
- die, or
- become disabled,
and the amount distributed
to you is not:
- rolled over into
an IRA or another Eligible Employer Plan ,
- used to pay deductible
- made to you after
your separation from service after you attain age 55, or
- made pursuant
to a qualified domestic relations order. (See Section 11.2 for more