NYCDCC Annuity Fund Board of Trustees Amends Plan to Help Members Access Retirement Savings During COVID-19 Pandemic

March 31, 2020

On behalf of the Board of Trustees, the New York City District Council of Carpenters Annuity Fund is pleased to announce that the Trustees have amended the Annuity Plan effective immediately to permit Coronavirus-Related Distributions up to $100,000 and Coronavirus-Related Loans up to $100,000. Further, if you have an outstanding loan on or after March 27, 2020 and you have a repayment due date between March 27, 2020 and December 31, 2020, you may be eligible for a one-year extension in the due date. 

Other important Plan changes meant to help the membership during the COVID-19 pandemic include:

• A waiver of the 10% tax penalty that is normally assessed to anyone under the age of 59 ½ who receives a Distribution from the Annuity Plan.
• A waiver of the mandatory 20% withholding tax normally assessed to anyone who receives a Distribution from the Annuity Plan.
• The ability to spread tax liability from a Coronavirus-Related Distribution over a three-year period instead of having to pay all tax liabilities in 2021 for 2020 income.

Additionally, in consideration of the hardships imposed on participants by the current COVID-19 pandemic and in order to facilitate utilization of the relief available under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, the Board of Trustees has made the following two temporary amendments to the Plan:

• Temporarily waived the 5-year loan prohibition that applies to participants who have defaulted on loans so that they may obtain COVID-19 related loans.
• Temporarily waived the 3 concurrent loans limit for COVID-19 related loans.

For additional information on these Plan changes, you can read the Frequently Asked Questions (FAQs) included in this article by clicking the link below or by contacting Prudential at (877) PRU-2100 or www.prudential.com/nycdccbf.

Please read our FAQs for more details.

*NOTE: We ask that you please be patient as Prudential undertakes the large task of updating its system to include these changes. Some requested transactions may take time to process. Please check our website often for further updates.