Results for Pension
Who is Eligible to Participate in the Rockwell Automation Pension Plan
You were eligible to participate in the Rockwell Automation Pension Plan if you were on the U.S. payroll and a salaried or hourly employee of Rockwell Automation hired prior to July 1, 2010. There are a few limited exceptions which can be found under the Eligibility and Participation section within the SPD.
Rockwell Automation Pension Plan Eligibility
The Rockwell Automation Pension Plan is closed to employees hired or rehired on or after July 1, 2010. If you transfer employment from a noncovered location to a covered location, your eligibility will depend on whether you had previously participated in this Plan or certain other pension plans of the Company as described in detail in the “Eligibility” section of the Summary Plan Description on Your Benefits™.
When You Can Receive a Pension Plan Benefit if You’re Not Eligible for Retirement
If you are not yet eligible for retirement but are 100% vested in the Pension Plan and leaving Rockwell Automation on or after Jan. 1, 2014, you have an early distribution option for the Pension Plan. Generally, if you elect this early distribution option, you may elect a monthly annuity or lump-sum benefit payment option.
When to Start the Pension Benefit Election Process
If you are eligible for a Pension Plan benefit from Rockwell Automation, you should begin the process by requesting a Pension Benefit Commencement Kit 60 to 90 days before you want your pension benefit to begin. If you are not within that 60- to 90-day period, you can receive an estimate of your pension benefit, but you cannot initiate the process.
Note: In-Service Distributions are only available for eligible pension plan participants to commence on December 1st of each year. If you are eligible and interested in commencing your pension benefit as an In-Service Distribution, you may begin the process by requesting an In-Service Distribution Election Kit in early September but no later than November 30th of the year in which you’d like to commence. More information can be found here.
When You Can Receive Your Benefit from the Pension Plan
In-Service Distribution (if actively employed): The Rockwell Automation Pension Plan allows for actively employed pension plan participants to receive their benefit as early as the December 1st following age 59 1/2. More information can be found here.
If Retired/Terminated from Rockwell Automation: The normal retirement age is 65. You can also retire before or after age 65. If you retire on or after age 65, your pension payments must start right away. If you retire before age 65, you may be able to choose when you want to start your pension benefit — either right after you retire or at a later date.
| Retirement Age Information (For those who did not take an in-service distribution) | |
|---|---|
| Before Age 65 (Early Retirement) | What HappensYou stop working at Rockwell Automation before age 65. When Your Pension Benefit May Start
NOTE: The size of the reduction varies based on your service and age at the time you receive your benefit. If at the time your employment ends you do not have 10 years of service and are not age 55 or older, or you do not have 10 years of service and at least 75 age + service points, then the size of the reduction will also depend on interest rates in effect at the time you receive your benefit. |
| At Age 65 (Normal Retirement) | What HappensYou continue to work for Rockwell Automation until you reach age 65. When Your Pension Benefit May StartUnder IRS rules, you must start your benefit right after you retire and it will not be reduced. |
| After Age 65 (Late Retirement) | What HappensYou continue to work at Rockwell Automation after you reach age 65. When Your Pension Benefit May StartUnder IRS rules, if you continue to work past age 65, you must start your benefit right after you retire and it will not be reduced. NOTE: You continue to earn a pension benefit for as long as you work at Rockwell Automation. In other words, the extra time you work past age 65 will be factored into your benefit calculation. |
| Optional Early Distribution | What HappensYou leave the Company on or after Jan. 1, 2014, and are 100% vested in the Pension Plan but not eligible for retirement. When Your Pension Benefit May Start
NOTE: The size of the reduction varies based on your service and age at the time you receive your benefit. If at the time your employment ends you do not have 10 years of service and are not age 55 or older, or you do not have 10 years of service and at least 75 age + service points, then the size of the reduction will also depend on interest rates in effect at the time you receive your benefit. |
Credited Service
Basically, this is all the years you’ve worked at Rockwell Automation.
It is used to calculate the amount of your pension benefit and to determine age + service points and your eligibility for early retirement.
In general, you earn credited service while you are actively employed as a salaried or hourly employee at a location covered by the Plan, from your first month of employment through the month in which your termination date occurs. Each calendar month counts as one twelfth of a year of credited service. A year of credited service is 365 days of credited service.
Pension Age and Service Points
These are used to determine if you’re eligible for a reduced early retirement benefit from the Pension Plan. One “point” is given for each year of your age and each year you’ve worked at Rockwell Automation. (You receive one twelfth of a point for each full month of your age and each month in which you work at least one day at Rockwell Automation.)
For example, if you’re 52 years old and you’ve worked at Rockwell Automation for 24 years, you have 76 points (52 + 24 = 76). This means you’re eligible for a reduced early retirement benefit.
