MMC Benefits Handbook
Accrued Benefit Credited Both Before and After January 1, 2006
If you had periods of eligible service both before and after January 1, 2006, your Marsh & McLennan Companies Retirement Plan benefit will consist of two parts: a benefit accrued as of December 31, 2005 and a benefit accrued on or after January 1, 2006 and before January 1, 2017. The benefit accrued as of December 31, 2005 will be calculated under the prior Marsh & McLennan Companies Retirement Plan formula and will be based solely on your Benefit Service and your Final Average Salary as of that date. The benefit accrued on or after January 1, 2006 and before January 1, 2017 will be calculated under the Marsh & McLennan Companies Retirement Plan formula as of December 31, 2016 and will be based on your Eligible Monthly Pay and the Plan's benefit accrual percentage for each month that you work. Please note that participants who met certain age and service criteria on December 31, 2005 may be eligible for a transition benefit, which may increase your benefit accrued as of December 31, 2005. See "Transition Benefit" for details.
Geraldine, a participant whose benefit was accrued both before and after January 1, 2006
Geraldine was born on January 1, 1955, was hired by the Company on July 1, 1999, and she terminates employment with the Company on November 30, 2017.
- Geraldine has 221 months (18 years and 5 months) of Vesting Service as of November 30, 2017. Therefore, she is vested in her accrued retirement benefit.
- Geraldine has only 210 months (17 years and 6 months) of Benefit Service as of November 30, 2017 due to the discontinuation of benefit accruals beginning January 1, 2017. For this reason her Eligible Monthly Pay, Months of Benefit Service and Covered Compensation (Monthly) are deemed to be "N/A" beginning January 1, 2017. Geraldine's Eligible Monthly Salary during the period from 7/1/1999 through 12/31/2005 was as follows:
Geraldine's annual Covered Compensation for 2005 was $78,228. Her Final Average Salary prior to January 1, 2006 is the average over the previous consecutive 60 months (5 years): $341,250 / 5 = $68,250. Geraldine has 78 months (6.5 years) of Benefit Service prior to January 1, 2006.
- Geraldine's Eligible Monthly Pay (below) from January 2006 through December 31, 2016 and months of Vesting Service from January 2006 through November 2017 are as follows: