Centurylink Retirement

Centurylink Retirement

Centurylink is a company that provides retirement services to its employees. This CenturyLink Retirement post discusses what it means for an employee when they reach their golden years and how this plan helps them stay healthy in old age, which will also preserve productivity on the part of workers who are getting ready last decades before reaching 65 or 70 years old!

The CenturyLink Combined Pension Plan, which is maintained by and administered by CenturyLink and its affiliated companies, is a defined benefit retirement plan established to offer a company-paid source of income to the eligible staff so they may plan for their retirement.

The Summary Plan Description often referred to as the “SPD,” details the major elements and components of the CenturyLink Retirement Component of the Plan. It explains your retirement benefits and rights, as well as your obligations under the Plan. Because this SPD is a summary only, it does not and cannot change the plan document’s terms.

You may acquire a copy of the Plan document from the CenturyLink Pension Service Center. For a physical copy, you might be charged a fee.

The Plan is based on the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), and is aimed to qualify under Section 401(a) of the Internal Revenue Code of 1986, as amended (the “Code”).

What Part of this Summary Plan Description Pertains to Me?

The SPD of the CenturyLink Retirement Component covers Plan modifications made through December 2019 and the rules that apply to Participants who are presently employed by Adopting Entities.

If you’ve left your job, the SPD will go through your benefits in greater detail, as well as the PD you received at termination. However, if you have any questions about the Plan’s administration, for example, who to contact if you have any questions about the Plan or your pension, look to the most recent SPD.

Retirement Component for Bargaining Employee

Eligible Employees

To be an Eligible Employee:

  1. You must be a current or former Employee of CenturyLink, a participating Employer in the Plan, or an Affiliate who is a participating Employer and
  2. If you are covered by a collective bargaining agreement that expressly states your addition in the Plan, and
  3. You’re not a “casual employee,” as defined by the employer’s personnel rules, including those who are on call, have no regular established workweek or fixed days or hours of work; and
  4. You are not a short-term employee hired just to meet temporary or occasional demands.; and
  5. You are not an employee of any of the following Affiliates: Century Marketing Solutions, CenturyTel Interactive Company, CenturyTel Security Systems, CenturyTel Holdings, or CenturyTel Investments of Texas, and
  6. You are not a non-resident alien; and
  7. You are no longer classified as a Project-Based Employee in the company’s payroll system after May 23, 2016.

You’re not an Eligible Employee if you are a leased employee or an independent contractor, even if a court or other administrative body determines that you are a common-law employee and not an independent contractor.

Accrued Benefit

Your Accrued Benefit is the retirement benefit you’ve already earned as of a specific date before your Retirement Date. The benefit is payable to you at your normal retirement date. If, however, your benefit begins early, this amount will be reduced due to premature commencement of benefits.

Normal Retirement Benefit

This is the first day of the month that occurs on or next following your 65th birthday. You must start to receive your Normal Retirement Benefit as soon as you terminate employment with the Company, regardless of when you reach your Normal Retirement Date.

The normal retirement benefit paid out on a monthly basis begins the first of the month following or coinciding with your normal retirement date.

Early Retirement

You may choose to retire before you reach 65. The first day of any month that is coincident with or next following the date you turn 55, completes at least 5 Years of Credited Service, and terminates employment with the Company is your Early Retirement Date.

If you qualify and choose your benefits to begin before you turn 65, you choose to pay the age 65 benefit that had accrued up through your termination date over a longer period. The Plan pays a part of the age 65 benefit based on your age when you retire to finance the extended duration of payments.

Deferred Retirement

If you work past your Normal Retirement Date, you will begin receiving your benefit on the first of the following month, also known as your Deferred Retirement Date. The date is the first day of any month that coincides with or follows your last day of employment. You may suspend or defer receipt of your Deferred Retirement benefit while you are employed by the Company. The total of your benefit will be equivalent to the greater of:

  • Accrued Benefit on your final day of work, or
  • Accrued Benefit as of Retirement Date actuarially increased to your Annuity Beginning Date.

Disability Retirement

Eligibility for a Disability Retirement benefit: If you are a Participant who has been granted a short-term disability benefit with an effective date on or after January 1, 2012, you will be considered disabled if you are determined to be disabled in accordance with the definition of “disability” in the CenturyLink Disability Plan.

Retirement Component for Non-Bargaining Employees

Eligible Employees

To be an Eligible Employee:

  1. You must be employed by CenturyLink or an Affiliate that is a participating Employer in the Plan; and
  2. You are not part of a collective bargaining agreement; and
  3. You’re not a “casual employee” as defined by the Employer’s personnel policies, including those on call, who do not have a regular work week and no set days or hours of work.; and
  4. You’re not a temporary employee hired just to meet particular or occasional demands.; and
  5. You are not an employee of any of the following Affiliates: Century Marketing Solutions, CenturyTel Interactive Company, CenturyTel Security Systems, CenturyTel Holdings, CenturyTel Investments of Texas, and
  6. You’re not a non-resident alien; and
  7. As of May 23, 2016, you are not considered a Project-Based Employee in the employer’s payroll system.

You are not an Eligible Employee if you are a leased employee or an independent contractor, even if a court or administrative tribunal determines that you are a common-law employee rather than an independent contractor.

However, if an employee’s employment begins after December 31, 2010, he or she will not be eligible unless he or she is a “Grandfathered Represented Employee.”

Accrued Benefit

Your Accrued Benefit is the present retirement benefit you have accrued as of a specific point before your Normal Retirement Date. This is payable to you at your Normal Retirement Date, whether it begins early or late. However, if your benefit begins early, this amount will be deducted for premature commencement of benefits.

Normal Retirement Benefit

The first day of the month that is closest to or follows your 65th birthday is your Normal Retirement Date.
You must start receiving your Normal Retirement Benefit as soon after you terminate employment with the Company as possible, following your Normal Retirement Date. The start of the month after or coincident with your Normal Retirement Date is when you receive your monthly payment for the rest of your life.

Early Retirement

You may want to retire before you reach 65 years old. Your Early Retirement Date is the first day of any month that coincides with or follows the date you attain age 55, after which you have completed at least five years of Credited Service and end the employment with the Company.

If you meet the requirements and choose to start receiving your benefits before you turn 65, you choose to stretch out the period during which your termination benefit was paid.

Unless you (and your spouse, if applicable) provide written consent by submitting an application for the Retirement Kit to receive a payment at your Early Retirement Date, benefits will not be paid out.

It’s possible that an extra increase in your benefits will be necessary under particular circumstances. This adjustment is based on a complex set of IRS rules, and it’s typically only applicable to highly compensated participants. If you retire early from the Company and this adjustment applies to you, you will be notified at that time.

Deferred Retirement

If you keep working after your Normal Retirement Date, you will start getting your benefit on your Deferred Retirement Date. The Deferred Retirement Date is the first day of any month coinciding with or following your last day of employment. You may defer receiving your Deferred Retirement benefit for as long as you are employed by the company.

If your Normal Retirement Date is prior to January 1, 2011, the amount of your benefit will be equal to the higher of:

  • Accrued Benefit at the last day of work or December 31, 2010, whichever is earlier multiplied by Transition Benefit, or
  • Accrued Benefit at Retirement Date actuarially increased to your Annuity Starting Date.

If your Normal Retirement Date is succeeding December 31, 2010, the payment for you will be based on the greater of:

  • Accrued Benefit at the last day of employment or December 31, 2010, whichever is earlier multiplied by Transition Benefit, or
  • Accrued Benefit at December 31, 2010, multiplied by Transition Benefit to Normal Retirement Date (or December 31, 2015, if it comes first), then actuarially increased to your Annuity Starting Date.

Disability Retirement

Disability Retirement benefit is beginning January 1, 2012, or if you are a Participant whose most recent short-term disability leave began on or after January 1, 2012, you will be considered disabled if found to be so in accordance with the definition of “disability” in the CenturyLink Disability Plan.

Salaried Plan Portion of the CenturyLink Retirement Component

Eligible Employees

Any Employee who satisfied the criteria for participation under the Prior Salaried Plan on December 31, 2006, is an Eligible Employee.

After December 31, 2006, there are no more Eligible Employees in the CenturyLink Retirement Component’s Salaried Plan.

Employees who were in the prior salaried Plan on December 31, 2006, will remain to be part of the Salaried Plan for all benefits accrued before January 1, 2007.

Accrued Benefit

The Accrued Benefit is the current retirement benefit you have earned as of a certain date before your Normal Retirement Date. The benefit is payable to you at your normal retirement date. If your benefit begins early, though, this amount will be reduced owing to the early commencement of benefits.

Normal Retirement Benefit

The retirement date is the start of the month that falls on or immediately follows your 65th birthday.
You should start to receive your Normal Retirement Benefit as soon as you terminate company employment and remain to do so until the day before your Normal Retirement Date. The first day of the month after or coincident with your Normal Retirement Date is when you may start receiving your monthly payment.

Early Retirement

You may be able to retire before you are 65 years old. The Early Retirement Date is the first day of any month following at least 15 Years of Credited Service, your total years of age and Years of Credited Service are at least 76 as of your last date, and you end your employment with the Company.

Suppose you meet the requirements and choose to start receiving benefits before age 65. In that case, you are in effect electing to receive a greater proportion of your accumulated termination benefit over a longer period of time. The Plan pays a yearly amount, determined by your age when you retire, to help finance the extended payment schedule.

Deferred Retirement

If you keep working after your Normal Retirement Date, your benefit will be paid to you on your Deferred Retirement Day. The start of any month that falls within or following your last day of employment is known as your Deferred Retirement Date. You may hold the receipt of your Deferred Retirement benefit for as long as you like while working for the Company.

Disability Retirement

Beginning on January 1, 2012, or if you are a participant with a short-term disability for an effective date after January 1, 2012, you will be considered to be disabled if your injury is in accordance with the CenturyLink Disability Plan.

Hourly Plan Portion of the CenturyLink Retirement Component

Eligible Employees

An Eligible Employee is an employee who satisfied the prerequisites for participation in the Prior Hourly Plan at the end of 2006.

Bargaining Employees are classified as Eligible Employees under their collective bargaining agreement, which allows them to participate in the Hourly Plan Portion of the CenturyLink Retirement Component (“Hourly Plan”).

Accrued Benefit

Your Accrued Benefit is the total of money you’ve already received in your retirement account as of a specific date, which was before your Normal Retirement Date. Your Accrued Benefit is paid to you on your Normal Retirement Date. If your benefit begins early, though, this money will be reduced for premature commencement of benefits.

Normal Retirement Benefit

The start of the month that falls on or after your 65th birthday and before or just after your fifth anniversary with the Hourly Plan is your Regular Retirement Date.

You must begin receiving your Normal Retirement Benefit as soon as you terminate employment with the Company, even if it is after your Normal Retirement Date. Your monthly benefit begins on the first of the month following or concurrent to your Normal Retirement Date.

Early Retirement

You might want to retire before you reach 65. The Early Retirement Date is the first day of any month after you’ve completed at least 15 Years of Credited Service. Also, your combined years of age and Years of Credited Service are at least 76 as of the termination date, or if you have completed more than 30 Years of Credited Service and terminate employment with the Company.

If you meet the requirements and choose to receive your benefits before you are 65, you are opting for the longer payback period. The Plan gives a percentage of the age 65 benefit based on your age when you retire to finance the extended payout period.

Deferred Retirement

If you carry on working after your Retirement Date, you will begin receiving payments on your Deferred Retirement Date. This is the first day of the month that coincides with, or follows, your last day of employment. You may defer receiving your Deferred Retirement benefit for as long as you are employed by the company.

Disability Retirement

Eligibility for a Disability Retirement Benefit: You are considered disabled if you are considered to be disabled in compliance with the definition of “disability” in the CenturyLink Disability Plan, beginning January 1, 2012.

From time to time, the Disability Plan Claims Administrator will request medical evidence to show that you are still disabled. This is to verify your eligibility for a Disability Retirement under the Plan. When requested, you must offer this documentation on a timely basis in order to avoid any interruption or termination in your benefit payments.

Ohio Plan Portion of the CenturyLink Retirement Component

Eligible Employees

Eligible employees are people who can join the Plan. People who became members of Local 4370 of the Communications Workers of America (CWA) before April 1, 2007, and met the requirements for participating in the old Ohio plan are eligible employees.

No new eligible workers were added to the Ohio Plan portion of the CenturyLink Retirement Component (“Ohio Plan”) after April 1, 2007.

Employees who were Participants in the Ohio Plan before April 1, 2007, will remain Participants in the Ohio Plan.

Accrued Benefit

Your Accrued Benefit is the present amount of your retirement benefit that you have accrued as of a specific date before your Normal Retirement Date. Your Accrued Benefit is paid to you on your Normal Retirement Date. If your benefit begins early, though, this sum will be reduced by any early commencement of benefits.

Normal Retirement Benefit

The first day of the month that is nearest or subsequent to your 65th birthday is your Normal Retirement Date.

You can begin to receive your Normal Retirement Benefit once you have finished working for the company and reached your Normal Retirement Date. The monthly payment begins on the first of the month following or coinciding with your Normal Retirement Date.

Early Retirement

You may want to retire before you reach 65. Your Early Retirement Date is the start date of any month that falls within or immediately follows your 55th birthday when you’ve completed at least 5 Years of Credited Service and terminated employment with the company.

If you satisfy the requirements and choose your credits to begin before age 65, you are electing to receive a greater sum of money over a longer period of time than if you had continued working. The Plan pays a part of the age 65 benefit based on your age when you retire to finance the extended payout period.

Deferred Retirement

Your benefit will be paid to you on your Deferred Retirement Date if you work after your Normal Retirement Date. The Deferred Retirement Date will be the first day of the following month that is equivalent to or follows your last day of employment. You may postpone receiving your Deferred Retirement payment for as long as you remain employed by the company.

The total of your benefit will be equal to the greater of:

  • Accrued Benefit at the end day of employment, or
  • Accrued Benefit as of Usual Retirement Date actuarially increased to your Annuity Starting Date

Disability Retirement

If you are a participant who is disabled, you can get a disability benefit. If you have been disabled since January 1, 2012, or if your most recent short-term disability leave had an effective date on or after January 1, 2012, you are considered disabled.

A percentage of your Plan’s retirement benefit is paid to you after you leave work because of a disability. Your disability payment will begin as soon as possible, following the date on which your disability status was determined. A Disability Retirement benefit is calculated similarly to a Normal Retirement benefit, except that the minimum monthly disability benefit is $150.

Your disability retirement benefit will be given to you while your situation is covered by the LTD Plan. The benefit amount you receive monthly is determined by your age when your LTD benefit payments end, as follows: The Disability Retirement payouts will cease on the earlier of (a) the date your LTD payment ends, (b) the date you die, or (c) the date you retire under normal conditions. Disability Retirement is paid out as a single life annuity.

Conclusion

Centurylink Retirement is a solid plan for employees looking to retire. That is why it is important to understand how the Plan works and ensure that it fits into your financial situation and decide what retirement benefits are best for you. The company has taken the time and effort to create an effective retirement system that will provide stability, security, and growth potential for your future years.

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