San Diego Electrical Annuity Plan [3c]

What is the San Diego Electrical Annuity Plan? The San Diego Electrical Annuity Plan is a 401(k) plan, a tax-deferred retirement plan qualified under Section 401(k) of the Internal Revenue Code open to members of IBEW Local 569, IBEW Local 47 and IBEW Local 1245. Federal law governs the operation of the plan and the plan's rules for participation, timing and amount of contributions, investment of funds, and withdrawal or distribution of benefits.

Each employee can elect to reduce his or her wages by a certain amount (defer), and have that amount contributed to the plan. The deferred amount does not appear as taxable income on the employee's W-2 statement. Thus, the contributions are not subject to current federal or state income tax until the employee receives the money from the plan.

>> Summary Plan Description.

1. Enrolling in the Plan

Enrolling is very simple. You can download the enrollment form or request an enrollment package be mailed to you by contacting Coast Benefits. Complete the enrollment form and mail it to Coast Benefits at the following:

Coast Benefits, Inc.
3444 Camino Del Rio North, Suite 101
San Diego, CA 92108
Or via fax to 619-501-3250

>> Enrollment Form

Accessing Your Plan

Once established, your individual account will be held with John Hancock Retirements Plan Services. You can access your account by going to or via mobile device, download the mylifenow app for iOS or Android. Once logged in, the menu provides links to tools and resources to help you plan and manage your account.

Annual Contribution Limits

The IRS allows employees to contribute up to $19,000 in 2019 (adjusted periodically for cost-of-living increases) to a 401(k) Plan.

"Catch Up" Contributions

Participants age 50 and over will be allowed to make annual "catch up" contributions of $6,000 a year in 2019. If you intend to take advantage of this "catch up" provision, contact the administrator to coordinate the contribution through your employer's payroll office.

How to Change the Amount of Your Deferral Rate

You may change your deferral rate or revoke your election at any time by contacting Coast Benefits. Remember to include your name, employer and last four digits of your social security number as well as the rate you wish to change to.

2. Benefits Under the Plan

Loan Policy

Loans can be taken from the plan for any reason. The minimum loan amount is $1,000; the maximum loan amount is the lesser half of the balance of your account or $50,000. There is a $75.00 initial set up fee for processing a loan and a $2.00 monthly maintenance fee.

A participant may only have one loan outstanding at a time. The interest rate shall be the prime rate plus 1% (determined at the time the loan is taken); and Repayment shall be monthly over a period of not more than 5 years, unless the loans is being used for the purchase of a home.

You can apply for a loan through your online account with John Hancock or download the Application for Loan.

>> Application for Loan

Distribution Policy

Distributions from your account are not permitted unless you have severed your employment; have attained Early Retirement Age (59 1/2) and have severed your employment; have attained Age 59 1/2; have attained Normal Retirement Age (65); or have become disabled.

Distributions will be charged a $50 distribution fee. This fee will be waived for distributions related to Retirement, RMD, Disability and Death.