Example: The full employer pension is $80. This is reduced by $35 because of the employee's entitlement to a supplemental annuity. The initial supplemental annuity rate is $43.
Full employer pension | $80 |
Reduction for supplemental annuity | -35 |
Reduced pension amount | 45 |
Supplemental annuity | 43 |
Reduced pension amount | -45 |
0 | |
Guarantee amount: | |
Supplemental annuity | 43 |
Reduction in private pension | -35 |
8 | |
Supplemental annuity | 43 |
Reduction in private pension | -8 |
Reduced supplemental annuity | 35 |
The reduced supplemental annuity amount is $35. This amount plus the reduced employer pension of $45 equals $80, the full amount of the employer pension.
20 C.F.R. §227.4