Partial Distributions: Income Flexibility for the Long Term
When it comes to choosing your pension benefit, it pays to think long term. Though your Basic Plan is designed to provide a monthly benefit over your lifetime, things come up, and you want the flexibility to adjust accordingly. With Partial Distributions from the Supplemental Plan, you can do just that.
A Partial Distribution is a withdrawal of only a portion of your Supplemental Plan account. You can take funds as needed (subject to Plan rules) while your remaining balance continues to benefit from the Plan’s professional portfolio management.
Partial Distributions offer several convenient payment options to meet a variety of needs, whether that’s an ongoing income stream to supplement your Basic Plan monthly benefit or to cover unanticipated expenses. Choose the payment option that’s best for you:
- A one-time distribution (minimum of $5,000 and no more than one per calendar quarter)
- A monthly distribution of a set amount (minimum of $2,000)
- A quarterly distribution (minimum of $5,000) payable on January 15, April 15, July 15 and October 15
- A semi-annual distribution (minimum of $5,000)
Any funds remaining in your Supplemental Plan account after a distribution continue to benefit from the Plan’s diverse investment mix, which includes vehicles typically unavailable to the individual investor, as well as the Plan’s experts overseeing these investments—by an independent pension consultant, the Finance Committee of the Pension Plans’ Board of Trustees and an experienced team of investment professionals. All this comes at no additional cost to you beyond the costs of administering the Plan.
For more information on Partial Distributions, including eligibility requirements and distribution rules, read page 35 of the March 2015 Pension Plans Booklet or contact a Pension Administrator at either (877) 866-2200 ext. 404 or pension@dgaplans.org.
