If you’ve worked on contracts that contribute into the Annuity Fund, create accounts at iatsenbf.org and principal.com to monitor your account balance and investments. Contributions to this fund are made by your employers, and you’ll want to review your quarterly statements to confirm all contributions are properly credited. Since the Annuity Fund does not allow loans, but does allow hardship withdrawals, it’s helpful to familiarize yourself with those rules now just in case.
How does money get into my annuity account?
Many (though not all) USA 829 contracts require your employer to make contributions into the IASTE Annuity Fund on your behalf. These employer contributions are the primary source of funding of your annuity account.
When am I allowed to take money out of my annuity account?
The standard age at which you can begin receiving a distribution of your annuity account balance is 65 years old, provided that you have stopped working under USA 829 contracts (or other IATSE contracts that contribute to the Annuity Fund.)
However, there are other circumstances under which one may begin receiving a distribution prior to age 65, including early retirement, disability, and termination of covered employment. There are also different rules regarding withdrawing pre-tax contributions or rollover contributions in your account. The tax implications of such withdrawals can be complicated, so you should reach out to the Annuity Fund administrators at the IATSE National Benefit Funds for more details.
Is there a point at which I have to start taking money out of my annuity account?
Yes. Federal law requires that you start receiving distribution from your annuity account by no later than April 1st of the calendar year after the year in which you turn 73 years of age.
What happens if I stop working in covered employment?
You may request a distribution of your account balance if you have not worked in covered employment (that’s work on contracts that contribute into the IATSE Annuity Fund) for at least six consecutive months, or for two consecutive months if you are age 55 or older. You must remain out of covered employment until your application is fully processed.
Please note: Distributions are usually subject to income taxes, and if you're under age 59½, there may also be an early withdrawal penalty. Talk to a tax advisor or the staff at the IATSE National Benefit Funds if you have questions before requesting a distribution.
Can I take a loan from my annuity account?
No. The IATSE Annuity Fund does not permit loans from your account. However, certain types of hardship withdrawals are allowed if you qualify.
What's the difference between the fund administrator (the IATSE National Benefit Funds) and the Fund Recordkeeper (Principal)?
The IATSE National Benefit Funds (NBF) is the Fund Administrator. They handle the overall management of the Annuity Fund, including processing applications, verifying eligibility for distributions, and answering questions about Plan rules.
Principal is the Fund Recordkeeper. They manage your account balance, investments, and online access. You use Principal’s website or phone service to check your account, change your investments, and see your account performance.
In short: NBF handles the paperwork and rules. Principal handles your account and investments.
What would qualify me to make a hardship withdrawal?
Hardship withdrawals are allowed for specific expenses such as medical care (excluding premiums), tuition, prevention of foreclosure or eviction, funeral expenses, repair of casualty damage to your home, and certain FEMA-declared disasters or COVID-19-related losses. Documentation is required, and some employer contributions may not be eligible for hardship withdrawal.
What investment options do I have for my annuity account?
You can choose how your annuity funds are invested from a range of options offered by the plan. If you don’t select any investment options, your contributions will be placed in the default option, currently the IATSE Annuity Balanced Fund. You can change your investment elections at any time through Principal.
How do I change how the money in my annuity account is being invested?
Principal serves as the Annuity Fund’s Recordkeeper, which means they hold and invest the money in your account. Register for an account with Principal to explore the various investment options available to you.
How do I designate my beneficiary?
When you join the Plan, you’ll receive a beneficiary designation form that you must complete and submit to name your beneficiary. If you’re married, the law generally requires that your spouse receive at least 50% of your account balance unless they provide written, notarized consent for you to name someone else. You can change your beneficiary at any time, but the change must be made on official Plan forms and received by the Plan before your death. If you don’t name a beneficiary, or if your beneficiary dies before receiving the full benefit, your account will be paid in order to your spouse, children, grandchildren, parents, siblings, or finally to your estate. Be sure to keep your beneficiary information up to date, especially if your marital status or family situation changes.