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This benefit provides a reduced monthly benefit for you so that, upon your death, your spouse will receive 50% of the benefit you were receiving.
Your monthly pension benefit will be actuarially reduced taking into consideration the difference between your age and your spouse’s age. The factor applied is calculated by starting with 90% (82% for a Disability Pension), and either adding 0.4% for each full year that your spouse is older than you or subtracting .4% for each full year that your spouse is younger than you on the starting date of the pension.
For example, you retire at age 62, are eligible for a Regular Pension of $1,500.00 per month and your spouse is age 60. The factor would be 89.2% (90% - .8%) based on a spouse who is two years younger.
Therefore, the payment under the monthly 50% Husband-and-Wife Option would be $1,338.00 ($1,500.00 x 89.2% = $1,338.00). This amount is payable to you for your lifetime. If your spouse is living at the time of your death, he or she will receive a monthly benefit of half this amount, or $669.00, for the remainder of his or her lifetime
The actuarial factors are shown on the following table for participants with a spouse from one to 10 years younger or older.
| Spouse's Age Compared with Participant's Age |
Actuarial Factor for
50% Husband-and-Wife Option |
| |
Non-Disability |
Disability |
| 10 years younger |
86.0% |
78.0% |
| 9 |
86.4% |
78.4% |
| 8 |
86.8% |
78.8% |
| 7 |
87.2% |
79.2% |
| 6 |
87.6% |
79.6% |
| 5 |
88.0% |
80.0% |
| 4 |
88.4% |
80.4% |
| 3 |
88.8% |
80.8% |
| 2 |
89.2% |
81.2% |
| 1 year younger |
89.6% |
81.6% |
| Same age |
90.0% |
82.0% |
| 1 year older |
90.4% |
82.4% |
| 2 |
90.8% |
82.8% |
| 3 |
91.2% |
83.2% |
| 4 |
91.6% |
83.6% |
| 5 |
92.0% |
84.0% |
| 6 |
92.4% |
84.4% |
| 7 |
92.8% |
84.8% |
| 8 |
93.2% |
85.2% |
| 9 |
93.6% |
85.6% |
| 10 years older |
94.0% |
86.0% |