Pension Eligibility and Amounts
Section 3.01.     Regular Pension - Eligibilty

A Participant may retire on a Regular Pension if he meets the following requirements:

  1. he has reached age 61; and


  2. he has at least fifteen (15) Pension Credits, five (5) of which were earned during the Contribution Period.


Section 3.02.     Regular Pension - Amount.
  1. For pensions effective on or after January 1, 2001, the amount of the Regular Pension for a Participant will be the sum of the following, subject to the provisions of Section 7.06.


    1. $15.00 for each of the Participant's Pension Credits granted for employment prior to the Contribution Period;


    2. $72.00 for each of the Participant's Pension Credits earned during the Contribution Period up to December 31, 1974; and


    3. $110.00 for each of the Participant's Pension Credits earned after January 1, 1975.


  2. For purposes of Sections 7.06 and 3.09, the applicable benefit rate is:

    Benefit Rate Per Pension Credit For:
Separation from
Covered Employment
Past Service Future Service
Prior to 1975
Future Service After 1974
Before 1969 $ 6.30 $ 6.30 ---
During 1969 8.40 8.40 ---
During 1970-72 10.50 10.50 ---
During 1973 11.55 11.55 ---
During 1974 12.00 12.00 ---
During 1975-76 13.00 13.00 $14.50
During 1977 13.00 13.00 16.00
During 1978 13.00 13.00 18.00
During 1979 13.00 14.00 20.00
During 1980 13.00 17.00 26.00
During 1981 13.00 19.00 30.00
During 1982 13.00 20.00 38.00
During 1983 13.00 24.00 42.00
During 1984 13.00 26.00 47.00
During 1985 13.00 28.00 50.00
During 1986 13.00 30.00 52.00
During 1987 13.00 33.00 55.00
During 1988 15.00 37.00 58.00
During 1989 15.00 41.00 60.00
During 1990 15.00 46.00 67.00
During 1991 15.00 52.00 73.00
During 1992 15.00 55.00 75.00
During 1993 15.00 59.00 78.00
During 1994 15.00 61.00 79.00
During 1995 15.00 62.00 80.00
During 1996-97 15.00 64.00 81.00
During 1998 15.00 68.00 94.00
During 1999 15.00 69.00 102.00
During 2000 15.00 71.00 109.00
During 2001-2006 15.00 72.00 110.00


Section 3.03.     Early Retirement - Eligibility.
  1. A Participant may retire on an Early Retirement Pension if he meets the following requirements:


    1. has reached age 55; and


    2. has at least fifteen (15) Pension Credits, five (5) of which were earned during the Contribution Period.


Section 3.04. Early Retirement Pension Amount.

The monthly amount of the Early Retirement Pension is the amount of the Regular Pension reduced by one-twelfth of one percent (1/12 of 1%) for each month by which the commencement of the pension precedes the month the Participant will reach age 61.

Section 3.05.     Vested Pension - Eligibility.

A Participant has the right to a Vested Pension at his Normal Retirement Age if he has credit for at least ten (10) Years of Vesting Service, all of which must be earned during the Contribution Period.

A Participant or former Participant with at least ten (10) Years of Vesting Service is eligible for a Vested Pension regardless of the provisions of the Plan in effect when he last worked.

Effective January 1, 1989, a Participant who earns one (1) or more Hours of Service on or after January 1, 1989 in Covered Employment not covered by a Collective Bargaining Agreement, has the right to a Vested Pension at his Normal Retirement Age if he has at least five (5) Years of Vesting Service, which have not been canceled by a Permanent Break in Service and all of which must be earned during the Contribution Period.

Effective January 1, 1996, an individual who completes more than one (1) Hour of Service on or after January 1, 1996 has the right to a Vested Pension at his Normal Retirement Age after he completes at least five (5) Years of Vesting Service during the Contribution Period, excluding Years of Service that are not taken into account because of a Permanent Break in Service determined after the application of this provision.

Section 3.06.     Vested Pension - Amount.

The amount of the Vested Pension is the same as the amount of the Regular Pension.

Section 3.07.     Disability Pension: Eligibility and Commencement.
  1. A Participant may retire on a Disability Pension if he becomes Totally and Permanently Disabled as defined in 3.07(b) below, and he meets the additional requirements of either 3.07(a)(1), (2), or (3) below.


    1. Attachment to the Industry test.


      1. First Step


        1. he has at least fifteen (15) Pension Credits, five (5) of which were earned during the Contribution Period, or


        2. he has at least ten (10) Pension Credits during the contribution Period and his disability began on or after January 1, 1980, or


        3. effective January 1, 1996, he has at least ten (10) Pension Credits during the Contribution Period and his disability began on or after January 1, 1975 but before January 1, 1980, and


      2. he worked in Covered Employment for at least 500 total Hours in the period consisting of the Calendar Year in which he became Totally and Permanently Disabled and the previous two (2) Calendar Years.


    2. First Alternate Attachment to the Industry test.


      1. he has at least (10) Pension Credits during the Contribution Period and;


        1. he has a Pension Effective Date before January 1, 1996 and his disability commenced on or after January 1, 1980 or;


        2. effective January 1, 1996, his disability commenced on or after January 1, 1975 but before January 1, 1980, and



      2. he worked at least 500 Hours in Covered Employment during the 36 month period immediately preceding the date the disabling condition began, and


      3. he can establish to the satisfaction of the Trustees that he was unable to and did not engage in any substantial gainful employment from the date his disabling condition began until his Date of Disability.


    3. Second Alternate Attachment to the Industry test.


      1. he has at least ten (10) Pension Credits during the Contribution Period and his Date of Disability was on or after January 1, 1992;


      2. he became Disabled from his Occupation, as defined in this subsection;


      3. he remained continuously Disabled from his Occupation as defined in this subsection, due to the same cause, until his Date of Disability as defined in 3.07(b); and


      4. he worked at least 500 Hours in Covered Employment during the 36 month period immediately before becoming Disabled from his Occupation, as defined in this subsection, and remained available for work in Covered Employment, as determined by the Trustees, until he became Disabled from his Occupation


      5. A Participant is Disabled from his Occupation if the Trustees, in their sole discretion, determine on the basis of medical evidence that the Participant is or was unable, as the result of injury or disease, which occurred while working in Covered Employment, to engage in or perform the normal and customary duties of his Occupation or any similar or related Occupation in the trade for direct or indirect compensation or profit. The Trustees may require a Participant applying for a Disability Pension based on the eligibility test in this subsection to be examined by a physician selected by the Trustees and to provide evidence of continued disability from his Occupation as defined in this subsection from the time he became Disabled from his Occupation until his Date of Disability as defined in 3.07(b).


      1. he has at least ten (10) Pension Credits during the Contribution Period and his Date of Disability was on or after January 1, 1992;

      2. he became Disabled from his Occupation, as defined in this subsection;

      3. he remained continuously Disabled from his Occupation as defined in this subsection, due to the same cause, until his Date of Disability as defined in 3.07(b); and

      4. he worked at least 500 Hours in Covered Employment during the 36 month period immediately before becoming Disabled from his Occupation, as defined in this subsection, and remained available for work in Covered Employment, as determined by the Trustees, until he became Disabled from his Occupation.

      5. A Participant is Disabled from his Occupation if the Trustees, in their sole discretion, determine on the basis of medical evidence that the Participant is or was unable, as the result of injury or disease, which occurred while working in Covered Employment, to engage in or perform the normal and customary duties of his Occupation or any similar or related Occupation in the trade for direct or indirect compensation or profit. The Trustees may require a Participant applying for a Disability Pension based on the eligibility test in this subsection to be examined by a physician selected by the Trustees and to provide evidence of continued Disability from his Occupation as defined in this subsection from the time he became Disabled from his Occupation until his Date of Disability as defined in 3.07(b).

  2. A Participant will be Totally and Permanently Disabled upon a determination by the Social Security Administration that he is entitled to a Social Security Disability benefit under Title II of the Social Security Act (Federal Old Age, Survivors and Disability Insurance Benefits) for a permanent disability. The Date of Disability for purposes of this Plan is the Date of Entitlement to disability benefits stated on the Participant's Social Security Award. The Trustees may periodically require the Participant to provide evidence of his continued entitlement to Social Security Disability Benefits for a total and permanent disability.

  3. The Effective Date of a Disability Pension is the first day of the month following the receipt of the Participant's Application.

  4. Solely for the purpose of determining eligibility for a Disability Pension under this Section 3.07, years of Vesting Service credited to apprentices under Section 4.02(b)(2) of the Plan will be treated as Pension Credits. These years of Vesting Service will not be used to determine the amount of the Pension.
Section 3.08.     Disability Pension and Early Retirement Pension.

A Participant who has made application for a Disability Pension and who is awaiting determination of his total and permanent disability by the Social Security Administration may make application for an Early Retirement Pension and, if otherwise eligible, begin receiving an Early Retirement Pension. If the Participant subsequently receives a Social Security Award of Total and Permanent Disability with an entitlement date within two years of the Effective Date of the Early Retirement Pension, forwards the Social Security Award to the Fund office within ninety (90) days of receipt, and otherwise qualifies for a Disability Pension, the Participant will be entitled to the difference between the amount of the Disability Pension payable from this Fund and the benefits received, beginning as of the later of the effective date of the Social Security Award or the date of application for a Disability Pension.

Section 3.09.     Disability Pension - Amount.
  1. The monthly amount of the Disability Pension is the same as the Regular Pension. However, for Disability Pensions effective on or after January 1, 1999, if the monthly amount of the Disability Pension based upon the Employee's Pension Credits is less than $1620.00, a minimum monthly Disability Pension of $1620.00 will be payable before any adjustment for the Husband-and-Wife Pension or any payment options in Article 6. Disability benefits will be determined based on the Plan in effect on the last day of Covered Employment. Any periods of Covered Employment after the Effective Date of the Disability Pension (but before approval of the benefit by the Trustees) which are Pension Credit under the terms of this Plan will be counted for eligibility and benefit purposes; however, no payment will be made for any month after the Effective Date of the Disability Pension during which the Participant engaged in Covered Employment. The provisions of Section 7.06 will apply to the calculation of any benefit.


  2. Where the Date of the Entitlement to Social Security Disability benefits is before the Effective Date of the Disability Pension and on or after January 1, 1980, the benefit payment for the first month of the pension will be equal to the monthly benefit amount stated in Section 3.09(a) plus an additional amount equal to the monthly benefit amount times the number of months between the Effective Date of the Disability Pension and the Date of Entitlement to Social Security disability benefits stated on the Social Security Award.


  3. Where the Date of the Entitlement to Social Security disability benefits is before the Effective Date of the Disability Pension and on or after January 1, 1975 but before January 1, 1980, the benefit payment for the first month of the pension will be equal to the monthly benefit amount stated in Section 3.09(a) plus an additional amount equal to the monthly benefit amount times the number of months between the Effective Date of the Disability Pension and January 1, 1996.


  4. Disability Pension Benefits received under this Plan will not be coordinated pursuant to Michigan Compiled Laws Annotated (MCLA) Section 418.354, if that provision is found to be applicable to this Plan, with any Workers’ Disability Compensation Benefits to which the Totally and Permanently Disabled Participant may be or may become entitled.


Section 3.10.     Termination of Disability Pension.
  1. A Disability Pension will terminate before the Participant reaches age 61:


    1. if a Disability Pensioner loses entitlement to Social Security disability benefits or recovers from a disability. The Disability Pensioner must report his recovery or loss of entitlement in writing to the Trustees within thirty (30) days of either the date of his recovery or the date he receives notice from the Social Security Administration concerning his loss of entitlement;


    2. if the Disability Pensioner engages in any regular gainful occupation or employment for compensation or profit, except employment which the Trustees determine to be for purposes of rehabilitation. The Trustees may temporarily terminate the benefit of a Disability Pensioner for up to three (3) months to enable the Pensioner to return to any employment, whether or not for purposes of rehabilitation, on a trial basis. Any provisions of this Pension Plan regarding benefits following the death of the Disability Pensioner will remain effective until notification by the Trustees of the permanent termination of Social Security disability benefits;


    3. if the Trustees determine on the basis of a medical examination that the Disability Pensioner has sufficiently recovered to return to any gainful employment; or


    4. if the Disability Pensioner refuses to undergo a medical examination ordered by the Trustees.


  2. If a Disability Pension is terminated, the former Disability Pensioner may, if otherwise eligible, convert the pension to an Early, Regular or Vested Pension. In this event, no options other than those already chosen are available; the 100-Month Guarantee in Section 6.02 applies, if applicable, based upon all payments made after the original Effective Date of the Disability Pension. Any increases in Pensioner benefits granted during the period while receiving a Disability Pension will be applied to the recomputed benefit. The Early Retirement reduction in Section 3.04 will apply as in effect when the pension is converted. Such conversion rights will apply until such time as one (1) additional Year of Vesting Service is earned in Covered Employment.


Section 3.11.     Eligibility for Partial Pension with Metal Trades Pension Plan.

Partial Pensions are provided under this Plan for Employees who are vested in the National Automatic Sprinkler Metal Trades Pension Plan (hereinafter called the "Metal Trades Plan") for credited service earned under the National Automatic Sprinkler Industry Pension Plan (hereinafter called "this Plan").

For an Employee to be eligible for a Partial Pension from this Plan, he must have at least two (2) years of Pension Credits based on actual employment for which contributions have been made to this Plan.

In applying the rules of this Plan with respect to Breaks in Service, any period in which an Employee has earned credited service in the Metal Trades Plan will be considered a grace period under this Plan but only for the purpose of not incurring a Permanent Break in Service as provided in Section 4.03.

Section 3.12. Partial Pension Amount with Metal Trades Pension Plan.

The amount of the Partial Pension is computed by multiplying the credited service under this Plan by the retirement benefit in effect during such period of service under this Plan. In the event of more than one period of service, the monthly pension benefit will be determined by (1) multiplying the credited service for each period by the appropriate rate for that period and (2) adding together each of these amounts.

Section 3.13.     Pro Rata/Partial Pension - Addendum to Money Follows the Man Reciprocal Agreement.
  1. Partial pension benefits are provided under this Plan to certain Participants who would otherwise lack sufficient service credit to be eligible for pension benefits because their years of employment have been divided between pension plans. If another pension plan has been recognized by the Trustees of this Plan as a Related Plan, a Participant will receive a Pro Rata/Partial Pension under this Plan based on his service under both Plans, if he meets the requirements of this Section.


  2. "Related Plan" means a pension plan, recognized by the Trustees as such, with which the Trustees have entered into an agreement for Pro Rata/Partial Pensions. This Section 3.13 applies only to pensions that are first effective on or after the effective date of the Pro Rata/Partial Pension Agreement with the Related Plan. This Section will not apply to anyone already receiving a pension from this Plan or from the Related Plan on or before the effective date of the Agreement with the Related Plan. This Section will also not apply to any service under a Related Plan after the termination of the Agreement with the Related Plan.


  3. For purposes of this Section 3.13, a Participant's Hours of Future (Contributory) Service under the Related Plan, excluding any Hours of Service as may be recognized by the Related Plan under one or more other similar but separate agreements, will be recognized under this Plan but only for the purposes of vesting and determining eligibility for the Pro Rata/Partial Pension provided for in this section. Such Hours of Future Service will be only those hours remaining after the completion by both Plans of money-follows-the-man reciprocity. Hours of Past (Noncontributory) Service under the Related Plan will not count for any purpose under this Section 3.13. Hours of Service under the Related Plan that are duplicative of Hours of Service earned under this Plan and Hours of Service under the Related Plan after the termination of the Agreement with that Plan also will not count for any purpose under this Section 3.13.


  4. Such Hours of Future Service under the Related Plan will not count for the purpose of accruals in determining the amount of benefits under this Plan, nor will such Hours count for avoiding the provisions of Section 7.06 of this Plan with regard to the effect of a Break in Continuity, but such Hours will be counted as Covered Employment for avoiding the provisions of Section 4.03 of this Plan with regard to the effect of a Break in Service.


  5. A Participant will be eligible for a Pro Rata/Partial Pension under this Plan if he satisfies all of the following requirements:


    1. he is not otherwise eligible for a pension under this Plan,


    2. he had earned, after the completion of money-follows-the-man reciprocity, at least one (1) year of Future Service Credit under this Plan without counting any Service under a Related Plan and without regard to any Breaks in Service,


    3. he would be eligible for any type of pension under this Plan if the Hours of Future Service recognized under this Section 3.13 were treated as Hours of Service under this Plan; provided, however, that no more than one (1) year of Pension Credit will be granted for any Calendar Year and no additional Pension Credit will be granted for the same hours recognized by both Plans,


    4. he had earned, after the completion of money-follows-the-man reciprocity, at least a partial year of Future Service Credit in at least one of the Funds signatory to the National Automatic Sprinkler Industry Pension Fund's standard money-follows-the-man reciprocal agreement during at least one (1) of the five (5) Calendar Years prior to his Effective Date of Pension.


  6. The amount of the Pro Rata/Partial Pension under this Plan will be determined solely on the basis of the Participant's Future Service Credit under this Plan without regard to any Hours of Service under a Related Plan and without regard to any Past Service Credit under this Plan. Payment of a Pro Rata/Partial Pension will be subject to all conditions applicable to other types of pensions under this Plan, including, but not limited to, Retirement as defined in this Plan and timely application.


Section 3.14.     Non-duplication of Pensions.

A person is entitled to only one pension under this Plan, except that a Disability Pensioner who recovers may be entitled to a different type of pension. A Pensioner may also receive a pension as the Spouse of a deceased Pensioner.

Section 3.15.     Death Benefits for Active Employees.
  1. If a Participant dies on or after January 1, 1988, and before his Effective Date of Pension but after he has earned five (5) or more Pension Credits during the Contribution Period, a Death Benefit equal to $1000 times the number of Pension Credits during the Contribution Period will be paid to his designated Beneficiary. However, no benefits will be payable under this Section if (a) a Husband-and-Wife Pension is payable to the Spouse of the Participant under Article 5, or (b) a pension is payable under the Pre-retirement Surviving Spouse Pension under Section 5.03. A Participant for purposes of this Section includes any Employee, whether vested or not, who has earned two-tenths (.2) of a Pension Credit during the Calendar Year of his death or during the preceding Calendar Year.


  2. If a vested Participant dies on or after January 1, 1998, and before his Effective Date of Pension, a Death Benefit equal to $1000 times the number of Pension Credits during the Contribution Period will be paid to his designated Beneficiary. However, no benefits will be payable under this Section if either a Husband-and-Wife Pension under Article 5, or a Pre-retirement Surviving Spouse Pension under Section 5.03 is payable to the spouse of the Participant.


Section 3.16.     Death Benefits for Pensioners.

If a Pensioner dies on or after January 1, 1982, a Death Benefit equal to $500 times the number of Pension Credits earned after 1974 plus $1000 will be paid to his designated Beneficiary, subject to a maximum total of $5,000. No benefits are payable under this Section upon the death of a Beneficiary. A former Pensioner will continue to qualify for this benefit until such time as he initially requalifies for benefits under Section 3.15 or Article 5.

Section 3.17.     Designation of Beneficiary.

A Participant, or a Beneficiary receiving payments under Section 6.02, may designate a person or persons as a Beneficiary or Beneficiaries to receive the benefits, if any, provided in accordance with Section 3.15, 3.16 or 6.02 by forwarding such designation in a form acceptable to the Trustees to the Fund Office. An unmarried Participant has the right to change his designation of Beneficiary without the consent of the Beneficiary. A married Participant may change his designation of Beneficiary only with the consent of his Spouse. The consent must be in writing, must acknowledge the Beneficiary or Beneficiaries designated, and must be notarized.

A change of Beneficiary designation will not be effective or binding on the Trustees unless it is received by the Fund Office before the death of the person making the designation. Any benefits provided in accordance with Sections 3.15, 3.16 or 6.02 will be paid to the most recently designated Beneficiary filed with the Trustees. The divorce of the Participant and designated Beneficiary does not invalidate the designation; the Participant must submit a change of Beneficiary designation to the Fund to remove the former spouse as a Beneficiary. If the designated Beneficiary, who has survived the Participant and is therefore entitled to the benefits provided, dies before receipt of the benefits, the benefits will be paid in accordance with the procedure provided in Section 3.16.

Section 3.18.     No Beneficiary.

If a Participant or a Pensioner or a Beneficiary receiving payments under Section 6.02 has not designated a Beneficiary or there is no designated Beneficiary alive at the death of a Participant or Pensioner, any benefit provided under Sections 3.15, 3.16 or 6.02 will be payable to the person or persons listed below in the order listed:

  1. in accordance with the most recent properly executed beneficiary designation form from the National Automatic Sprinkler Industry Welfare Fund or any other sprinkler local welfare fund;


  2. to the Spouse of the Participant or Pensioner; or spouse of a Beneficiary receiving benefits under Section 6.02.


  3. if no surviving Spouse, to his surviving children, divided equally among them;


  4. if no surviving Spouse or children, to his surviving natural parents, divided equally between them.


If a Participant fails to designate a Beneficiary and none of the persons listed above are living, no benefits will become payable under Sections 3.15, 3.16 or 6.02.

Section 3.19.     Payments to Minors.

If benefits from this Fund are payable to a minor, the Trustees may pay the benefits due to the minor to the person having present custody or care of the minor and with whom the minor resides. Such recipient on behalf of the minor must agree in writing to apply the payments solely for the minor's support. The Trustees also have the discretion to make any payments of benefits to a minor by depositing the payments in a federally insured savings account in the name of the minor and by giving written notice of such deposit to the minor. Payment made in the manner set forth in this Section will discharge the Trustees from any liability to the minor or anyone representing his interest. No payment will be made under this Section to a government agency.


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