Pension and 401(k) Plans

The Sandia pension plan is offered to:

• Eligible non-represented retirees who were hired or rehired before Jan. 1, 2009
• Eligible represented retirees who were hired or rehired before July 1, 2009 (OPEIU), or July 1, 2010 (MTC and SPA), and who were previously part of the Pension Security Plan (PSP). (Starting Jan. 1, 2013, the Pension Security Plan was merged into the Retirement Income Plan.)

You have a number of payment options. After your pension payments begin, you cannot change your payment option, regardless of changes to your personal circumstances or marital status.

This payment option provides a reduced pension to you as long as you are alive.

• Your monthly pension is reduced by 10% for service pensions and 14% for deferred vested pensions.
• Following your death, your surviving spouse receives a lifetime annuity equal to 100% of your reduced pension amount.
• If you are married when you retire, this option is automatic unless waived with your spouse’s signed, notarized consent.

This payment option provides a reduced pension to you as long as you are alive.

• Your monthly pension is reduced by 5% for service pensions and 7% for deferred vested pensions.
• Following your death, your surviving spouse receives a lifetime annuity equal to 50% of your reduced pension amount.
• If you are married when you retire, your spouse must provide a signed, notarized consent for declining the joint and 100% surviving spouse annuity.

This payment option provides a reduced pension to you as long as you are alive. This option is available to all eligible employees, regardless of marital status.

• A benefit is payable to anyone other than your spouse after your death.
• Payments are reduced based on your age and your selected annuitant’s age.
• Following your death, your contingent annuitant receives a lifetime annuity equal to 50% of your reduced pension amount.
• If you are married when you retire, your spouse must provide a signed, notarized consent for declining the joint and 100% surviving spouse annuity.

This payment option provides a monthly pension for as long as you live.

• A benefit is payable to you only.
• Payments stop when you die.
• Your monthly pension is not reduced.
• If you are married when you retire, your spouse must provide a signed, notarized consent for declining the joint and 100% surviving spouse annuity.

If you were eligible to participate in the pension plan and left Sandia with at least five years of service, but were not eligible to begin receiving your pension immediately, you are eligible for a deferred vested pension benefit.