Supplemental Retirement Savings Plan
For eligible participants, the Supplemental Retirement Annuity Fund/Supplemental Retirement Savings Fund was started June 1, 1993 to provide additional benefits at retirement.
Normal Retirement under the Supplemental Retirement Annuity Fund/Supplemental Retirement Savings Fund is age 55. Prior to June 1, 1998, contributions went into the Supplemental Retirement Annuity Fund account. After June 1, 1998 the Plan was changed and all contributions went into the new Supplemental Savings Fund account. Because of IRS rules, the accounts had to remain separate. The reason for this change was to allow the Plan to provide a once in a lifetime withdrawal for a Hardship reason
Beginning with any money put into your account since June 1, 1998, a onetime Hardship Withdrawal could be made with the approval of the Board of Trustees. Under the Plan, a Hardship Withdrawal could be made for one of the following reasons:
If you retire after reaching age 55, and are married, any total in the Supplemental Retirement Annuity Account is paid in the form of a Lifetime Joint & Survivor Annuity unless your spouse waives his or her rights under the Plan. If you are single or your spouse has waived his or her rights under the Plan, benefits may be paid as a lump sum or rolled over into a qualified IRA.
Under the Supplemental Retirement Savings Fund, upon retirement, your account is paid as a lump sum to you or can be rolled over into a qualified IRA.
For either the Supplemental Retirement Annuity or the Supplemental Retirement Savings Funds if you receive the funds directly, we are required to withhold 20% and the amount you receive would be taxed as regular income in the year that you receive your money.
A partial withdrawal option has been added to the fund for participants who are retired from active service and have a minimum balance of $5000.00. For those participants who qualify, a portion of their balance in the fund can be withdrawn once every ninety (90) days upon completion of a withdrawal request form. Previously a withdrawal for a retired participant required withdrawal of the entire balance in the account for payment either to the participant or for rollover to another qualified fund. This option is effective June 1, 2008. It will allow access to the Supplemental Retirement Savings Fund for retirees to pay for their health care coverage.
If you leave covered employment prior to retirement, you may make application after 24 months have elapsed since the last date that any contributions were made on your behalf. Payment of your account balance would be made, as above however in addition, you could be responsible for additional IRS tax penalties for early withdrawal.
You are vested under the Plan upon the receipt of one hour of contribution made on your behalf. Beginning June 1, 2007, employers make contributions to the Supplemental Retirement Savings Fund in the amount of $4.25 for each hour worked. Statements showing your account totals are sent quarterly in addition to a yearly statement, which will show your hours worked, contributions received and the interest earned on your account for the year.
Application forms may be requested:
By phone – 630 668-7260
By mail – Sheet Metal Supplemental Savings Fund
205 Alexandra Way
Carol Stream, IL 60188-2080
If you have any questions regarding this Fund, contact us at benefits@smw265funds.org, by phone or mail.