IBEW Local 1547 Logo Alaska Electrical Trust Funds Alaska Chapter NECA Logo
 

 | Forms | Life Events | FAQs | News | Useful Sites | Site Map | Contacts |

 

701 E. Tudor
Suite 200
Anchorage, AK 99503

 
 Home  Money Purchase

Money Purchase Plan - Initiating a Distribution

A "withdrawal" of funds from your money purchase account is called a distribution.  Different rules apply to withdrawing employer contributions or withdrawing contributions you have made voluntarily.  All or part of your voluntary contributions may be withdrawn twice per calendar year if the amount withdrawn is greater than $200.  Associated earnings, if any, will be a portion of the amount withdrawn and those earnings are considered taxable.  The taxable earnings are subject to 20% federal income tax withholding.

A distribution of all or part of your employer contributions may only be made if one of the following conditions is met:

  • You have retired on or after your 48th birthday; or
     
  • You have become totally and permanently disabled and terminated from your employer; or
     
  • You are terminated from your employer and you have no hours of service at the end of any six month consecutive period (the trustees may waive the six month waiting period if you request the waiver in writing, certify that you are and have been terminated for at least 45 days from the date of your request, and supply proof and certification that you would suffer severe financial difficulties without a waiver); or
     
  • The participant has died - the benefits are payable to his/her spouse and/or designated beneficiary.

Top

In all instances, you (or your beneficiary) must apply for the distribution and elect a form of payment.   If you are married, federal regulations require that your spouse consent to the distribution if your highest account balance has ever been over $5,000.  Your spouse's consent must be witnessed by a notary public or Pension Plan Representative.

Contact the Pension Department at the Administrative Office to request a distribution form.  When you submit the distribution request, you must also supply proof of your age and proof of marital status.

Acceptable proof of marital status include original or certified copy(ies) of your most recent recorded marriage certificate and/or complete divorce decree(s), including finding(s) of fact and any property settlement agreement(s).

Acceptable proof of age is as follows:

ONE

OR

  TWO

Original Document:   Certified Copies :
Birth Certificate   Naturalization papers
Infant baptismal certificate   US Census report that is at least 10 years old
    Life insurance policies that are at least 10 years old
    Family Bible entries
    Recorded Marriage Certificate
    Early school records
    Affidavit of birth
    Social security information
    Passport
    U.S. Armed Forces release

Top

Please note that the taxable amount of any lump sum distribution may also be subject to an additional 10% income tax unless the distribution is for one of the following reasons:

  • Your death or disability
  • Your retirement on or after age 55
  • To pay for unreimbursed medical expenses which are deductible from gross income for federal income tax purposes 

Top

 

 
 

| H&W | Legal | Pension | Money Purchase | Retiree | For Employers | About |
| Forms | Life Events | FAQs | Newsletters | Useful Sites | Site Map | Contacts |

2002 Alaska Electrical Trust Funds. All Rights Reserved.