Connecticut Sample Letter for Pension Plan Summary Plan Description
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FAQ
Tier 3 is a ?defined benefit? plan that provides pension benefits based upon final average pay and years of service. This plan provides service, disability and survivor pension benefits as well as retiree health insurance subsidies to eligible sworn members and certain qualified survivors.
Tier 2 benefits are based on the final average salary of the 96 highest consecutive months of service out of the last 10 years, using each calendar year's annual salary maximum (as determined by the Department of Insurance) and your total credited service. This benefit is payable for your lifetime.
The State of Connecticut understands this and provides you with retirement benefits through the Connecticut State Employees Retirement System. The State Employees Retirement System is based on a Connecticut state law enacted in 1939. Since that time, the law has been changed by legislation and collective bargaining.
Tier 2 is a ?defined benefit? plan that provides pension benefits based upon final pay and years of service.
There are currently six plans - Tier I, Tier II , Tier IIA, Tier III and, for teachers and certain eligible employees in higher education only, the Hybrid Plan and the Alternate Retirement Program.
The retirement benefits provided by a defined benefit plan are typically based on some kind of formula that considers factors like your time with the company, your salary and your age. ExxonMobil offers an annual payout equal to 1.6% of your ?average pay? for each year you are with the company.
There are currently six plans - Tier I, Tier II , Tier IIA, Tier III and, for teachers and certain eligible employees in higher education only, the Hybrid Plan and the Alternate Retirement Program.
Benefit Rate: Your years of service and your age will determine your Benefit Rate. If you have more than 25 years of service, or if you are over the age of 65, your benefit rate is a full 2% for each year of service.
