HII Ingalls Shipbuilding Inc. Hourly Employees ... - Benefits Connect
HII Ingalls Shipbuilding Inc. Hourly Employees ... - Benefits Connect
HII Ingalls Shipbuilding Inc. Hourly Employees ... - Benefits Connect
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<strong>HII</strong> <strong>Ingalls</strong> <strong>Shipbuilding</strong> <strong>Inc</strong>. <strong>Hourly</strong> <strong>Employees</strong>’ Retirement Plan<br />
Summary Plan Description<br />
March 2011<br />
Annuity equivalent of withdrawn<br />
after-tax contributions of $2,374.40 = $52,925.60<br />
To determine your monthly benefit, divide your annual benefit by 12.<br />
Because in this example you are withdrawing your after-tax contributions to the Plan, you will<br />
receive two payments ⎯ the benefit shown above and a single lump payment of your aftertax<br />
contributions with interest.<br />
Example 3 ⎯ FSSP: Not Transferred/After-Tax Deposits: Not Withdrawn<br />
This option assumes you do not roll over your pre-tax FSSP Retirement Account balance to<br />
the Plan and do not withdraw your after-tax contributions (with interest) from the Plan. Your<br />
“FSSP: Not Transferred/After-Tax Deposits: Not Withdrawn” Plan benefit would be<br />
determined as follows.<br />
First, we calculate your maximum benefit as the greater of:<br />
• 70% x ($7,000) = $4,900.00 annually<br />
plus<br />
OR<br />
$11 x 108 months = $1,188.00 annually<br />
• 70% x ($67,000 + $5,000) = $50,400.00 annually<br />
equals<br />
• Total maximum benefit = $55,300.00<br />
Then, we determine the annuity equivalent of your pre-tax FSSP Retirement Account<br />
balance ($125,000 from the “Assumptions”) and subtract this from your total maximum<br />
benefit:<br />
• Annuity equivalent of pre-tax<br />
FSSP Retirement Account balance<br />
$125,000 x 0.1007 = $12,587.50<br />
• Total maximum benefit of $55,300<br />
minus<br />
Annuity equivalent of pre-tax<br />
Retirement Account balance<br />
of $12,587.50 = $42,712.50<br />
To determine your monthly benefit, divide your annual benefit by 12.<br />
In this example, your pre-tax Retirement Account balance of $125,000 will be paid according<br />
to the FSSP plan rules and your instructions. In addition, you will receive the annuity benefit<br />
shown above.<br />
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