RETIREMENT ALLOWANCE AS OF JANUARY 1, 2000 Update Delete



Eligibility: An employee who have been employed at least half-time (1,000 hour) during each of the two years immediately preceding retirement and terminate employment with eligibility to immediately access employer-provided retirement benefits shall be granted a retirement allowance by Southern Adventist University. The retirement allowance is not termination pay but is a retirement benefit provided at the time the participant is eligible for retirement benefits according to the following provisions:

  1. Amount: The maximum allowance shall be equivalent to 12.5 percent of a month’s remuneration (including wages and cost of living adjustment, but not including travel allowance) for each year of NAD denominational employment after December 31, 1999. Prior receipt of a Termination Settlement shall not jeopardize or reduce a Retirement
    2. Allowance payable after December 31, 2004. In the case of part-time employment immediately prior to retirement eligibility, the Retirement Allowance is calculated at the employee’s current remuneration percentage or rate based upon full-time service.
  2. Disability: Receipt of disability benefits from the Employee Disability Income Plan shall not jeopardize or reduce a Retirement Allowance payable after December 31, 2004.
  3. Death before Retirement: If an employee was eligible to retire at the time of death, but was still employed, the surviving spouse shall be entitled to a retirement allowance.
  4. Special Exceptions: The requirement that employees go directly from active service into retirement in order to be eligible for a retirement allowance payable at the time regular retirement benefits begin may be waived by the employer by special action for reasons such as the following:
    1. Termination of active employment was no more than 36 months prior to the date retirement benefits become effective, and
    2. The termination of active employment was due to the transfer of the spouse to a different location or because of retirement of the spouse, or
    3. Southern may, because of exceptional circumstances, approve a request of the employing organization to waive the requirement that an employee go directly from active service into retirement.