Savings You Can Rely On
The Severance Fund grows from employer contributions and investment earnings to provide financial security for your retirement or in case of your disability. In most cases, it sets you up for success in retirement by providing additional income when you stop working.
How It Works
Contributions
Your employer—and only your employer—contributes to the Severance Fund on your behalf. You may not make contributions yourself. Check your collective bargaining agreement for your employer’s contribution amount to the Severance Fund.
Your Account
Each year, you will receive a benefits statement. The benefits statement will include your total account balance and how much you could receive if your current total was converted to a single life annuity or a joint-and-survivor annuity upon retirement.
Vesting
Your full account balance is vested as soon as you become a participant in the Severance Fund. The money in your account is yours. However, if you do not work at least five weeks between June 1 and May 31 in any plan year, any weeks of contributions for that 12-month period are forfeited.
Getting Paid
Your benefit is generally payable at your normal retirement age. To find out when you are required to begin receiving payments from your account, check your Summary Plan Description.
Once your application to receive benefits has been approved, you will receive a lump-sum payment. In some circumstances, you can roll over your account balance following retirement or termination into a different retirement plan. Please contact the Fund Office for information about your payment options.
Beneficiaries
The Fund needs to know where to send benefit payments in the event of your death. Please ensure that you have an updated Beneficiary Card on file with the Fund Office so that your spouse, children, and/or other beneficiaries can receive your benefit in a timely manner.
Applying for Benefits
To apply for benefits, fill out the Severance Fund Application Form and submit it to the Fund Office.