SOUTHWEST CARPENTERS PENSION TRUST

AND

NORTHERN NEVADA EMPLOYEES

Questions and Answers in the Transition of Your Benefits

to

Southwest Carpenters Pension Trust (PT/SC)

PENSION

Covered hours of employment worked on and after January 1, 2004 will be reported to PT/SC, instead of the Northern Nevada Pension Trust.

The $200 a year credit (and its related scale, shown below, providing ratably lesser benefits for hours between 700 and 1800) was made possible by unusually high portfolio returns in the late 1990s, and is set to expire at the end of 2006. If the Trustees do not extend the $200 credit scale for another year, the maximum credit scale will return to the former $100 maximum rate effective January 1, 2007. The Trustees will make their decision based upon the financial status of the Plan at that time.

You must earn “pension credit” in order to be eligible for several forms of pension under PT/SC. A full year of pension credit is earned with 1200 or more hours of covered employment in a year, but if you work at least 300 hours you can receive partial year credits in 100 hour (1/12 th of a year) increments. No more than one year of pension credit can be earned in any one calendar year no matter how many hours you work. However, as shown in the table below, the amount of your projected pension earned in a year is determined under a scale under which the maximum dollar amount for a year is earned at 1800 or more hours. A reduced amount of monthly benefit is earned when the hours worked in calendar years is fewer than 1800, as shown below:

At any age if the participant has 30 years of pension credit. Also there is no reduction in the amount of the pension for age if the participant is at least age 62 AND has either 10 years of Pension Credit or 10 years of Vesting Credit (at least 1000 “hours of service” under Department of Labor regulations is required for a year of Vesting Credit).

5 years of Vesting Credit with one hour after December 31, 1998.

If before 62, you may retire as early as 55 if you have earned at least 10 years of Pension Credit without a permanent break in service. The amount of benefit is reduced from the normal pension by .25% for each month the retiree is younger than age 62 (3% per year). The reduction is rounded to the nearest $.50. e.g. age 60 = 94%, age 55 = 79%.

Totally disabled, at least 5 years of pension credit without a permanent break in the PT/SC, and you have not worked in Noncovered Employment.

No. However, see below for a discussion of how Northern Nevada years can, through application of the Carpenter International Reciprocity Agreement help make you eligible to receive the pension you earn in 2004 and after in PT/SC.

The amount of your pension from PT/SC is based solely on your covered employment after 2003 under PT/SC. However under the International Reciprocity Agreement you may become eligible for a “partial pension” in the amount you have earned under PT/SC after that date. The partial pension is essentially one of the forms of pension available under PT/SC other than the Service Pension. This includes the Vested Pension, the Early Retirement Pension and Disability Pension. For example, the Vested Pension is payable at normal retirement age (usually 65) and ordinarily requires at least five years of Vesting Credit in PT/SC alone. If you have three years of Vesting Credit (determined under PT/SC rules) in the Northern Nevada Pension Trust, and you earn two years of Vesting Credit in PT/SC you will be considered to have the five years of Vesting Credit. This will enable you to be eligible for a “partial pension” which will be identical to a Vested Pension, except that the amount of the pension will be determined based on the reported hours and pension credits you earned solely under PT/SC. Similar rules apply for partial pensions in the form of Early Retirement or Disability pensions. PT/SC will also count your Northern Nevada pension credits towards eligibility for a partial service pension. This will allow you to receive an unreduced pension at any age as long as you have a combined 30 years of pension credit between Northern Nevada and PT/SC. Your partial service pension that is accrued under the Northern Nevada Plan will be paid by that Plan and the portion accrued as a participant of PT/SC will be paid by PT/SC.

The pension you accrue from the Northern Nevada Plan will be frozen as of 12-31-03. This means that you will not accrue additional benefits from the Northern Nevada Plan after 12-31-03. Also, the amount of your pension from the Northern Nevada Plan will be based on the benefit formula in effect as of that date. However, if you were not vested in the Northern Nevada Plan as of 12-31-03 but earn pension credit thereafter as a participant in the PT/SC Plan, you may qualify for a “partial pension” from the Northern Nevada Plan in the amount of pension benefits accrued as of 12-31-03. The rules regarding qualification for a partial pension are set forth in the International Reciprocal Agreement for Carpenter Pension Funds.

The Fund Office has provided you a Summary Plan Description (SPD) shortly after you become a participant. Although the SPD is only a summary of the Plan Document, which controls, it provides much more information than has been possible to provide here, and you should review it carefully. If you have questions, contact the Fund Office, preferably in writing.

QUESTIONS?

If you have any questions regarding your benefits through the Southwest Carpenters Pension, Health and Welfare, or Vacation Trusts please contact the Nevada Administrative Office.

Southwest Carpenters Administrative Corporation
980 Kelly Johnson Dr. Ste. 180
Las Vegas, NV 89119

702-851-4510
800-501-0210

Questions regarding your benefits through the Northern Nevada Carpenters Pension Trust may be directed to:

Benefit Plan Administrators, Inc.
P.O. Box 11337
Reno, NV 89510-1337

775-826-7200

Health & Welfare | Pension | Vacation | Apprenticeship

Back to Home