8 \\ How Does the Time You Work Count? your date of death or disability will be treated as covered employ- ment for purposes of credited or vesting service. If you are the beneficiary of a participant who dies as a result of qualified military service and you are entitled to a 60-payment pre- retirement death benefit, the benefit will be based on service as if the participant was reemployed on the day preceding the date of death and terminated employment on the date of death. HOW DOES THE TIME YOU WORK COUNT? The time you work counts in several important ways. It determines when you become entitled to receive a pension from the Fund. It also helps to determine the amount of your pension. Your working time is counted in two distinct ways: vesting service and credited service. VESTING SERVICE Vesting service determines your right to a benefit from the Na- tional Pension Fund. To be vested in the Fund means you have a non-forfeitable right to a pension from the Fund. If you have at least one hour of service in the National Pension Fund on or after January 1, 1991, you will be vested in the Fund when you have five years of vesting service or five years of future service credit. See below for descriptions of how you earn vesting service and future service credit. If you do not have at least one hour of service in the National Pen- sion Fund on or after January 1, 1991, you may be vested under the prior plan. Refer to your prior plan SPD for details. How You Earn Vesting Service You earn a year of vesting service in the National Pension Fund for each calendar year beginning with 1991 in which you complete at least 600 hours of service for which contributions are payable to the Fund on your behalf. During the calendar year in which the employer first makes contributions on your behalf, all periods of employment will count in determining your vesting service — without regard to the exact date the employer is obligated to begin contributions. You also earn vesting service for periods of employment with the contributing employer that counted for vesting under a predecessor plan. A predecessor plan is a retirement plan that was maintained by your employer prior to the date that employer became a contribut- ing employer to the IAM National Pension Fund. For vesting service before 1991, refer to your prior plan SPD. CREDITED SERVICE Credited service helps to determine the amount of your pension and your eligibility for some types of pensions. It is based on the years of your employment recognized under the Fund. In some cases, this includes years before your employer was required to make contributions to the Fund on your behalf. Credited service is not based on union membership. There are two types of credited service: future service credit and past service credit. Future Service Credit You earn future service credit for hours of service in covered em- ployment on and after the date your employer is first required to make contributions to the Fund on your behalf. See page 7 for a definition of hours of service and covered employment. On and after January 1, 1991, you earn future service credit as shown on this chart: Hours of service in a year for which contributions are required to be made on your behalf Months of future service credit you earn Less than 600 0 600 5 601-770 6 771-940 7 941-1,110 8 1,111-1,280 9 1,281-1,450 10 1,451-1,600 11 1,601 and over 12