71. Adjustment for benefit form other than life annuity at normal retirement age

Statement of Requirement: Code §I RC 416; Treas. Reg. § 1.416-1

Document Provision: _____

Sample Plan Language:

If the form of benefit is other than a straight life annuity, the employee must receive an amount that is the actuarial equivalent of the minimum straight life annuity benefit. If the benefit commences at a date other than at normal retirement age, the employee must receive at least an amount that is the actuarial equivalent of the minimum straight life annuity benefit commencing at normal retirement age.

If the form of benefit is subject to Code § IRC 417(e)(3), the employee must receive at least an amount that is the Actuarial Equivalent of the minimum straight life annuity benefit commencing at Normal Retirement Age using the applicable interest rate and applicable mortality table specified in section ___ of the Plan and section ___ of the Adoption Agreement.

(Note to reviewer: The first blank above should be filled in with the section number of the Plan corresponding to the sample adoption agreement in LRM #42 and the second blank should be filled in with the section number of the Adoption Agreement corresponding to the sample adoption agreement language in LRM #42.)