Ö Pension Plan Checklist

 Request an estimate of your benefits. Ask your pension plan administrator for an individual benefit statement that describes your total accrued and vested benefits. You’re entitled to receive one of these statements once every twelve months, so be sure to request one each year, especially as you approach retirement. Once you retire and your pension is calculated, the amount is usually fixed. Few private pension plans award cost-of-living increases, although some employers may occasionally increase pensions voluntarily.

 Get all the details and keep informed. Request the summary plan description for information on how your pension plan operates, how benefits are calculated, when your benefits become vested, and when and how you'll receive payments. When the summary annual reports come across your desk, read them to keep on top of any plan changes, as well as the plan's financial condition.

 Keep all your records. Maintain a file of your pension information for all the jobs you’ve held including your dates of employment, your salary, and all plan documents and benefit statements. These documents may be essential in resolving any future disputes about your pension amount.

 Double-check your employer’s records. When you receive your individual benefit statement, check that the assumptions used to calculate your pension are correct. The Pension and Welfare Benefit Administration says that when pension calculation errors occur, they are usually due to the complexity of the calcuations and use of incorrect information. Among the most common causes for errors are making math calculation mistakes, using the wrong interest rate, failing to account for all compensation or years of service, and using the wrong Social Security data.

 Know your rights. Visit the Pension and Welfare Benefits Adminstration website ( www.dol.gov/dol/pwba ) for online pension-related publications including What you Should Know about Your Pension Rights and Protect your Pension: A Quick Reference Guide.