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annuity with a 5-year payout period (i.e., payable in 60 monthly
installments); and (3) commence payments on "April 1, 1988, or as
soon thereafter as practical."
The Hughes Plan administrator (administrator) calculated Mr.
Oddino's "accrued benefit[s] as of April 1, 1988." Under the
plan, "accrued benefits" are a function of the employee's age
and, in certain instances, years of service. In general,
employees who retire at age 65 or older receive full retirement
benefits. Employees who retire between the ages of 55 and 64
receive actuarially reduced benefits. Under the "Rule of 75,"
however, employees between the ages of 55 and 64 can retire and
receive full, unreduced benefits if the sum of their age and
years of service equals or exceeds 75. On April 1, 1988, the
date used to calculate benefits pursuant to the QDRO, Mr. Oddino
had not yet retired, was 55 years old, and had worked for Hughes
Aircraft for approximately 27 years. In calculating Mrs.
Glassman's community share, the administrator did not apply the
Rule of 75. Instead, the administrator calculated the accrued
benefits in accordance with the general rule for retirees between
the ages of 55 and 64. The administrator determined that Mrs.
Glassman was entitled to receive sixty $1,563.70 monthly
installments, and on March 1, 1990, the administrator commenced
payments.
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