Pension

A Richer Benefit for the Building Material Pension

Two elements of your pension plan are getting better. Effective September 1, 2026, your benefit accrual rate for each pension credit you earn will increase from $104 to $114. That’s an additional $10 per month in retirement for every pension credit you earn—past and future credits! Plus, if you earned at least 15 pension credits after September 1, 2000, you’ll get an improved supplemental lump-sum distribution upon your retirement. The Supplemental Retirement Lump Sum Benefit is doubling from $3,000 per pension credit to $6,000, which means you can start your retirement in style.

Building Material Pension

Your Stable Retirement Income

You have a defined benefit pension plan. This means that the benefit amount calculated upon your retirement is fixed and will not change. A defined benefit pension is a rare, valuable benefit. Whereas many retirement savings plans change in value depending on movements in the stock market, a defined benefit plan does not. That gives you financial stability throughout your retirement.

How It Works

You earn pension credits based on the amount of time you work in covered employment during the plan year. The amount of pension credits you have accumulated upon your retirement date is multiplied by an accrual rate to determine the amount of your monthly benefit.

Plan Information

Pension credits earned per plan year for work in covered employment

Less than 10 weeks: None
10-18 weeks: ¼ credit
19-26 weeks: ½ credit
27-35 weeks: ¾ credit
36+ weeks: 1 credit

Benefit accrual rate

After September 1, 2023: $104 per pension credit, up to a maximum monthly benefit of $4,160 (with 40 pension credits)

Early Retirement

Age 55 (with 15 pension credits)

Other provisions

30 & Out Pension: Retire any time after reaching 30 pension credits
Supplemental Lump-Sum: After September 1, 2023, $3,000 per pension credit payable at retirement (if you attained at least 15 pension credits after 2000)

Vesting

Once you have earned five years of vesting service, you become vested in your pension. Being vested means that you have a nonforfeitable right to receive a monthly pension benefit in retirement.

Earning vesting service is not the same as earning pension credits and requires a different calculation. Broadly, vesting service determines your eligibility to receive a monthly pension benefit when you retire, and pension credits determine the amount of that benefit.

Breaks in Service

If you stop working in covered employment before reaching five years of vesting service, you incur a break in service. This could mean losing your pension benefit. If you stop working after becoming vested, you are still entitled to a monthly pension benefit when you retire.

Breaks in service occur on a year-by-year basis.

Types of Pensions

Your monthly benefit is calculated based on your pension credits and accrual rate. That amount is fixed. However, two additional considerations affect the final amount of your monthly benefit: when you choose to retire and which payment option you select.

If you choose to retire early, your pension benefit will be adjusted to accommodate payments for a longer period of your life. Similarly, if you are married, you can select a payment option guaranteeing your spouse a monthly pension benefit in the event your death occurs first. That payment option—covering two people—also requires an adjustment to your monthly benefit.

The calculations involved for each pension type and payment option are complex. For information about your options, please contact the Fund Office.

Applying for Benefits

To begin receiving your pension, you must apply for it to the Fund Office. Please submit a request to begin receiving pension benefits in writing to the Fund Office at least 90 days prior to your expected retirement date.

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Lumber Employees Local 786 Pension

Your Stable Retirement Income

You have a defined benefit pension plan. This means that the benefit amount calculated upon your retirement is fixed and will not change. A defined benefit pension is a rare, valuable benefit. Whereas many retirement savings plans change in value depending on movements in the stock market, a defined benefit plan does not. That gives you financial stability throughout your retirement.

How It Works

You earn pension credits based on the amount of time you work in covered employment during the plan year. The amount of pension credits you have accumulated upon your retirement date is multiplied by an accrual rate to determine the amount of your monthly benefit.

Pension credits earned per plan year for work in covered employment

Benefit Accrual rate

Early Retirement

Other Provisions

Lumber Participants

Less than 10 weeks: None
10-18 weeks: ¼ credit
19-26 weeks: ½ credit
27-35 weeks: ¾ credit
36+ weeks: 1 credit

$79 per month per pension credit (maximum of $1,975 per month with 25 or more years of pension credit)

Age 55 (with 10 pension credits or years of vesting service)

Supplemental Lump-Sum:
$1,100 per pension credit payable at retirement (if hired before September 1, 2010, 15+ pension credits, and retiring from active employment)

Vending Participants

1/12 of a pension credit per month

$31.10 per month per pension credit after October 1, 1995.
$16 per month per pension credit before October 1, 1995.

Age 50 (with 10 pension credits)

Supplemental Lump-Sum:
$6,000 for each five full pension credits earned since October 1, 1995, payable at retirement (if you began work before October 1, 2010, earned 5+ pension credits after 1995, and your employer contributes at least at the $126 monthly rate)