902
PUBLIC LAW 93-406-SEPT. 2, 1974
[88 STAT.
"(2) EMPLOYER CONTRIBUTIONS.—^A plan satisfies the requirements of this paragraph if it satisfies the requirements of subparagraph (A), (B), o r (C). " (A) 10-YEAR VESTING.—A plan satisfies the requirements of this subparagraph if an employee who has at least 10 years of service has a nonforfeitable right to 100 percent of his accrued benefit derived from employer contributions. " (B) 5- TO 15-YEAR VESTING.—A plan Satisfies the requirements of this subparagraph if an employee who has completed at least 5 years of service has a nonforfeitable right to a percentage of his accrued benefit derived from employer contributions which percentage is not less than the percentage determined under the following table: „
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Nonforfeitable
"Years of service: 5 6 7 8 9 10 11 12 13 14 15 or more "(C)
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-
~
percentage 25 30 35 40 45 50 60 - 70 80 90 100.
RULE OF 45,—
"(i) A plan satisfies the requirements of this subparagraph if an employee who is not separated from the service, who has completed at least 5 years of service, and with respect to whom the sum of his age and years of service equals or exceeds 45, has a nonforfeitable right to a percentage of his accrued benefit derived from employer contributions determined under the following table: "If years of and sum of age then the service equal and service equals nonforfeitable or exceed— or exceeds— percentage is— 5 45 50 6 47 60 7 49 70 8 51 80 9 53 90 10 55 100. "(ii) Notwithstanding clause (i), a plan shall not be treated as satisfying the requirements of this subparagraph unless any employee who has completed at least 10 years of service has a nonforfeitable right to not less than 50 percent of his accrued benefit derived from employer contributions and to not less than an additional 10 percent for each additional year of service thereafter. "(3)
Post. p. 935.
CERTAIN
PERMITTED FORFEITURES, SUSPENSIONS, ETC.—
For purposes of this subsection— " (A) FORFEITURE ON ACCOUNT OF DEATH.—A right to an accrued benefit derived from employer contributions shall not be treated ns forfeitable solely because the plan provides that it is not payable if the participant dies (except in the case of a survivor annuity which is payable as provided in section 401(a) (11)). "(B)
SUSPENSION OF BENEFITS UPON REEMPLOYMENT OF
RETIREE.—A right to an accrued benefit derived from employer
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