2004-08-25 WS & CC Meeting - Laserfiche WebLink

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.. 457 Plan and Trust Document (b) Loans: Notwithstanding the foregoing provisions of this Section 7.01, no . election to defer the com41encement of benefits after a Severance Event shall operate to defer the distribution of any amount in the Participant's Loan Account in the event of a default of the Participant's loan. 7.02 Payment Options: As provided in Sections 7.01, 7.04 and 7.05, a Participant may elect to have value of the Participant's Account distributed in accordance with one of the following payment options, provided that such option is consistent with the limitations set forth in Section 7.03. (a) Equal monthly, quarterly, semi-annual or annual payments in an amount chosen by the Participant, continuing until his or her Account is exhausted; (b) One lump-sum payment; (c) Approximately equal monthly, quarterly, semi-annual or annual payments, calculated to continue for a period cettain chosen by the Participant. (d) Annual Payments equal to the minimum distributions required under Section 401 (a) (9) of the Code, including the incidental death benefit requirements of Section 401 (a) (9) (G), over the life expectancy of the Participant or over the life expectancies of the Participant and his or her Beneficiary. (e) Payments equal to payments made by the issuer of a retirement annuity policy acquired by the Employer. (f) A split distribution under which payments under options (a), (b), (c) or (e) commence or are made at the same time, as elected by the Participant under . Section 7.01, provided that all payments commence (or are made) by the latest benefit commencement date under Section 7.01. (g) Any other payment option elected by the Participant and agreed to by the Employer and Administrator. A Participant's selection of a payment option made after December 31, 1995, under Subsections (a), (c), or (g) above may include the selection of an automatic annual cost-of- living increase. Such increase will be based on the rise in the Consumer Price Index for All Urban Consumers (CPI-U) from the third quarter of the last year in which a cost-of-Iiving increase was provided ro the third quarter of the current year. Any increase will be made in periodic payment checks beginning the following January. 7.03 Limitation on Options: No paymenr option may be selected by a Participant under subsections 7.02(a) or (c) unless the amount of any installment is not less than $100. No payment option may be selected by a Participanr under Sections 7.02, 7.04, or 7.05 unless it satisfies the requirements of Sections 401 (a) (9) and 457(d)(2) of the Code, including that payments commencing before the death of the Participant shall satisfY the incidental death . benefit requirements under Section 401 (a) (9) (G). 12