CB document related question

Hi

Looking at a CB document for someone. The formulation is written in a way I have never seen.

For accrual/pay credit, no service requirement i.e. 0 hours. Crediting period is "Each Plan Year".

For the formula within a group, they wrote "$2,000 however for any terminated participant during the year, they will receive 1/12th of the pay credit for each month they worked 1 hour".

How is this possible? Aren't the member of this group entitled to full pay credit since no service requirement?

What am I not seeing/confusing here?

Thank you.

One provision indicates what you need to qualify for a contribution (0 hours).

The other provision tells you how much you'll actually get if you qualify (167 a month, essentially).

It's easier than defining 12 different groups getting 1/12, 2/12, 3/12, etc., for groups of employees contingent on their month of termination.  But I don't see a disconnect in their logic.

I see what you are saying, hmmm not sure I get it though. Time to stop working for the week.

I agree with Bri.  That's how I read it as well.