The Western Conference of Teamsters Pension Trust

Plan Coverage
Vesting
Losing and Protecting Benefits
Recent Coverage
PEER
Retirement
Disability Retirement
Plan Beneficiaries
Receiving Plan Benefits

Plan Coverage

Q. I’ve been a Teamster since I was 21 years old with many different jobs. Do all Teamster employers pay into the Pension Trust?
A. Most Teamster employers within the 13 Western states have pension agreements with the Western Conference of Teamsters Pension Plan. Request a copy of your current collective bargaining agreement from your employer or local union to see whether contributions are required.

If you want to verify whether past employers contributed on your behalf, request a Work History Statement from your Area Administrative Office. Be sure to provide your Social Security number.

Q. Do my union dues pay for Plan benefits?
A. No. Only employer contributions and their investment earnings pay for Plan benefits.

Q. Are employer contributions paid on all of my hours?
A. That depends on what your collective bargaining agreement provides. For example, not all collective bargaining agreements require Plan contributions for all forms of paid hours such as overtime hours. Your agreement may contain daily, weekly, monthly or annual maximums on the hours that require contributions. Be sure to contact your local union if you have questions about your contract and whether contributions are required for all the hours you work. Click here for a summary of how your covered hours are counted.

Vesting

Q. Once I'm in my fifth vesting year, do I have to wait until the end of the year to be vested?
A. If you are in your fifth vesting year, you’ll be vested when you complete your 500th covered hour. You don't have to wait to the end of the calendar year to be vested.

While most active participants are vested after five years of covered employment, it may take longer if you don't work the minimum hours each year or if you left the Plan before 1991. Click here for more information about vesting. If you have questions about your vesting status or Plan coverage, contact your Area Administrative Office.

Q. What happens if I'm vested but die before retirement?
A. Your survivors may be eligible for the following benefits: a spouse lifetime pension (if married) or a 48-month death benefit (if single and you met the recent coverage rule), a lump sum death benefit and a child survivor benefit. Your survivors should contact your Area Administrative Office. Click here for more information.

Q. If I leave the Plan after I'm vested, when can I start drawing my pension?
A. As long as you're vested when you leave the Plan and are considered retired from employment, you can start receiving benefits as early as age 55, or even earlier if you qualify under the Rule of 84 or a PEER program. Click here for more information.

Q. I had several Teamster jobs and left the Plan for a while before I started with my current employer. How can I check to see if my time in past jobs counts toward my benefits?
A. The best way to check all your Plan coverage is to request a Work History Statement from your Area Administrative Office. It lists all covered hours paid on your behalf and any breaks in service or forfeitures. It also provides information about your eligibility for the Rule of 84 or a PEER program.

Q. Before I started with my current employer, I drove for other companies. Do all my covered hours count toward my pension even if I was with different local unions?
A. You can change jobs, locations or local unions within the 13 Western states and continue to earn Plan benefits as long as you stay in covered employment with a covered employer. Your Area Administrative Office collects contributions from all covered employers and applies them to your total benefit.

Q. My bargaining unit joined the Plan in 2003 when I was age 53. I’ve been continuously employed there for four years. If I work full time, when will I become vested?
A. If you are part of a new unit that joined the Plan on January 1, 2002 or later, you may be eligible for a special vesting rule. The special vesting rule allows participants age 52 or older to use the combination of their continuous past employment and years of contributory service to meet the five-year vesting requirement. Click here for information about this special vesting rule.

In your situation, the Plan counts two of your four years of continuous past employment as years of vesting service. This means you only need to earn three more years of vesting service to satisfy the vesting requirements.

If you were age 55 or older, the Plan would recognize all four of your years of continuous past employment as years of vesting service and you would only need to complete one year of contributory service to become a vested participant. Click here for a chart to show how many years of continuous past employment the Plan counts based on your age.

Losing and Protecting Benefits

Q. Before I was vested, I had low hours for a few years until I began working full time. Does that time still count toward the amount of my pension?
A. That depends. As long as you don’t have five consecutive interruptions of service (years when you earn less than 250 hours of service), all your covered hours count when calculating your benefit. Remember, only years when you have at least 500 hours of service count for vesting. Click here for an explanation of forfeiture of service.

Q. In the past, I took a non-union job when there was not enough Teamster work available. How could that hurt my pension?
A. You could have lost all your Plan benefits up to that point if you stayed away from covered employment too long. It seems that you probably went back to covered employment before forfeiting your Plan benefits and later became vested.

Your time away from covered employment does not count when calculating your Plan benefits.

Q. I worked three years in covered employment and then transferred to a non-covered management position with the same employer before I was vested. Will I lose the three years I earned before moving into management?
A. No. As long as you didn’t stop your employment and remained continuously employed, your non-covered work with a covered employer may count toward vesting and help protect you from a complete loss of your Plan benefits. Click here for more information.

Q. I worked in covered employment for two years in the late 1960’s, but left covered employment and had a break in service in 1971. In 1985, I returned to covered employment and later became vested. Can my two years of covered employment from the 1960’s be restored and counted toward my Plan benefits?
A. Yes. As long as you had no forfeitures of service after 1975 and became vested before 1999, you may qualify to have your pre-1976 credit restored and counted toward your Plan benefits. Click here for more information about pre-1976 restored covered hours.

Recent Coverage

Q. Why is recent coverage important?
A. Many Plan benefits are not available unless you have recent coverage. Others are higher if you have recent coverage. Click here to see which Plan benefits require recent coverage and which benefit amounts are higher with recent coverage.

Q. How can I make sure I have recent coverage?
A. If you stay in full-time covered employment up to your earliest retirement date (usually age 55), you always have recent coverage.

You have your recent coverage by working 1,500 covered hours in the 60-month period immediately before your pension effective date, your earliest retirement date or any date that falls between.

As long as you continue to work at least 500 covered hours each calendar year—until your earliest retirement date—you won’t lose your recent coverage.

But if you go on a reduced work schedule for more than a year, it could affect your recent coverage. Check with your Area Administrative Office about your exact situation.

Q. I've been in the Plan full-time for many years. Do I have to worry about maintaining recent coverage until I retire?
A. If you maintain your recent coverage until you complete 25 years of contributory service, your recent coverage is locked in for good. You can’t lose it by leaving covered employment or working a reduced work schedule, even if you have not yet reached your earliest retirement date. Click here for an explanation of recent coverage.

PEER

Q. How do I find out if I’m covered under a PEER contract and at which PEER level?
A. You can check your current collective bargaining agreement (available through your local union or employer) or you can request the information from your Area Administrative Office.

Since you’re near retirement, it’s a good idea to request an Estimate of Benefits based on your possible retirement dates.

Q. If I continue to work after I qualify for PEER/80, do the extra years I work add to my pension amount?
A. Yes. Your retirement benefit is based on all the basic contributions your employer pays into the Plan for your covered employment up to your pension effective date.

Remember, it is only basic contributions that count toward your benefit amount—not PEER contributions.

Q. How do I make sure I stay eligible for PEER?
A. You need to earn at least 1,000 PEER hours during the 24-month period ending with your pension effective date, unless you’ve already locked in your PEER coverage. Click here for details about PEER Lock-in protection. In addition, you need to be vested, meet the PEER age and contributory service requirements and have recent coverage.

Q. If I leave the Plan after I am vested, when can I start drawing my pension?
A. As long as you’re vested when you leave the Plan and are considered retired from employment, you can start receiving benefits as early as age 55, or even earlier if you qualify under the Rule of 84 or a PEER program. Click here for more information.

Retirement

Q. If I wait to draw my pension at age 68 or 70, will my benefit be higher?
A. Yes. Your pension grows with each year of covered work.

And if you retire after age 65, you also qualify for a late retirement factor that gives you an even higher benefit for the time you wait to retire after age 65. But you must start receiving benefits by age 70 even if you are still working. Click here to see an example of how late retirement benefits are higher.

If you're near retirement, it's a good idea to request an Estimate of Benefits based on your possible retirement dates. Your estimate helps you compare your monthly benefits depending on when you decide to retire.

Q. Once I retire, at what point will the benefits I receive equal the total contributions paid for my covered work?
A. The answer depends on how long you work and how much is contributed. For most participants who stay in the Plan 20 years or more, it takes less than five years in retirement for the Plan to pay out more dollars than the Employer contributions paid in.

Q. I understand that my monthly benefit won’t be reduced if I retire early through PEER. Does the amount get higher if I work to age 65?
A. Exactly. You can retire through PEER without having your benefit reduced because you retire early. But if you stay in covered work longer, you’ll continue to build a higher benefit based on the extra covered hours you work.

Q. Is my pension affected by Social Security benefits?
A. No. Unlike some plans, your pension benefit is not affected by amounts you may receive from Social Security.

Q. I’m nearing age 65 and heard that I can draw pension benefits and continue working without retiring from my last covered employer. Is this true?
A. Yes. A Plan change effective January 1, 2003 allows participants age 65 or older to continue working full-time and draw pension benefits. You must still file an application with your Area Administrative Office before benefits can begin. See Receiving Plan Benefits for more information.

Q. I was awarded a part of my ex-spouse's pension upon his retirement through our divorce. Do I get the pension automatically or do I need to apply?
A. You must send copies of any court documents related to your ex-spouse's pension to your Area Administrative Office immediately. Plan representatives can verify whether the documents are in compliance with federal law and Plan rules, and whether you need to file an amended order or take further action. Send any address changes to the Area Administrative Office.

Disability Retirement

Q. If I become disabled, how is my disability retirement benefit calculated?
A. Your disability retirement benefit is based on a percentage of your normal retirement benefit at age 65. If you're under age 55, your benefit is 85% of your normal retirement benefit.

If you're age 55 or older, your benefit is the same as if you took early retirement, but never less than 85% of your normal retirement benefit.

It can be higher if you qualify under a PEER program or the Rule of 84. Click here to learn more about disability retirement.

Q. If I become disabled, could I wait to receive disability retirements if I didn’t want them to be reduced?
A. Yes. For example, you can postpone your can wait to start disability retirement benefits until you qualify for unreduced benefits under a PEER program. Click here for details about eligibility.

However, you must remain eligible for Social Security disability benefits as well as meet the other eligibility requirements for Plan disability retirement benefits. Click here for more information.

Q. I was covered under the Plan full time and am vested. I just started receiving Social Security disability benefits. Do I have to wait until I’m age 55 to be eligible for pension benefits?
A. No. You can qualify for a disability retirement pension at any time—as long as you are vested, eligible to receive Social Security disability benefits and have recent coverage.

Because you are under age 55, you would qualify for the Plan’s minimum disability benefit that is 85% of your normal retirement benefit when you became disabled. Contact your Area Administrative Office to apply for your benefits.

Plan Beneficiaries

Q. I’m preparing a will to name those who receive my property when I die. Does the Plan pay death benefits to the beneficiaries named in my will?
A. The Plan only pays death benefits to persons named as your Plan beneficiaries on the Plan’s official Beneficiary Designation Form supplied by the Pension Trust and received by your Area Administrative Office before your death. Click here for more information. You may name your estate as your Plan beneficiary so that your death benefits are paid to your estate. Make sure your will is kept current to avoid problems for your survivors in the event of your death.

Q. When a beneficiary dies, what is the best way to designate someone else to receive Plan benefits?
A. The only way you can name new beneficiaries or change a previous designation is by using the Plan’s official Beneficiary Designation Form. Your most recent Personal Benefit Statement shows your current beneficiary.

Designations made on forms used by other pension or health and welfare trusts, or for other union benefits such as life insurance, are not accepted by this Plan. There are no exceptions.

If you are not yet retired, click here for information about beneficiary designation for non-retired participants.

If you are already retired, click here for information about changing the beneficiary you named at retirement.

Q. I’m a single mom who recently joined the Plan. Will my four-year-old son receive Plan benefits if I die before I’m vested
A. Even though you are not yet vested, your son may be eligible to receive a child survivor benefit if you have recent coverage and meet the other Plan requirements. Make sure to tell family members how to contact your Area Administrative Office in the event of your death.

Receiving Plan Benefits

Q. I chose the employee and spouse pension rather than the life only pension. Why are the monthly payments smaller?
A. The life only pension provides monthly payments for your lifetime only. When you choose the employee and spouse pension, your payments are reduced to account for the likelihood that benefits are paid over a longer period of time because payments continue to your spouse after you die.

Q. Can you change your benefit payment option after you retire?
A. You can only change your benefit payment option if the Pension Trust receives your new decision on the appropriate forms before pension payments begin or at the latest within 90 days after the date of your first pension payment.

Once benefits begin and you are no longer within your Plan’s 90-day election period, you cannot change your choice of payment options. All retirees receive written notification of the beginning and ending dates of their 90-day election period with their initial pension check.

Q. When I applied for retirement, I filled out a Plan form naming my spouse and my two children as Plan beneficiaries for the optional lump sum death benefit. If something happens to my spouse, will the benefits go to my children?
A. The Plan only pays death benefits to persons named as your Plan beneficiaries on the official Beneficiary Designation Form.

If you do not name a beneficiary or your designated beneficiary dies (and you do not name a secondary), death benefits will be paid according to the Plan’s preferential list (click here for details).

If you want to name your spouse and children in this way, you should fill out a new Beneficiary Designation Form that names your spouse as primary beneficiary and names each child as secondary beneficiary. As this is such an important decision, your Area Administrative Office can help you correctly complete the Plan form.

Remember, you must use the Plan’s Beneficiary Designation Form to name a beneficiary. Designations made in your will or on forms used by other pension or health and welfare trusts, or for other union benefits such as life insurance are not accepted by this Plan. Click here for more information.

Q. If my ex-spouse was awarded a portion of my retirement through our divorce, what documents must I provide to start my benefit payments?
A. You must send copies of any court documents related to your ex-spouse’s entitlement to your pension to your Area Administrative Office immediately.

Plan representatives can verify whether the documents are in compliance with federal law and Plan rules, and whether you needto seek an amended order or take other action. Click here for more information.

Q. Once I retire and apply for benefits, how will my first benefit payment be sent?
A. Your first benefit payment is sent by courier to your home address. After that, your checks are automatically sent to your bank or, if you did not request automatic deposit, to your home address. Click here for more information about automatic deposit.