[Code of Federal Regulations]

[Title 20, Volume 1]

[Revised as of April 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 20CFR218.30]



[Page 241]

 

                      TITLE 20--EMPLOYEES' BENEFITS

 

                  CHAPTER II--RAILROAD RETIREMENT BOARD

 

PART 218_ANNUITY BEGINNING AND ENDING DATES--Table of Contents

 

 Subpart C_How Work and Special Payments Affect an Employee, Spouse, or 

                 Divorced Spouse Annuity Beginning Date

 

Sec.  218.30  Separation, displacement or dismissal allowance.



    (a) General. When an employee receives a separation, displacement or 

dismissal allowance from a railroad employer, the annuity beginning date 

depends on whether the payments are a separation allowance as described 

in paragraph (b) of this section, or monthly compensation payments as 

described in paragraph (c) of this section. (Part 211 of this chapter 

discusses how a separation, displacement or dismissal alowance is 

credited as compensation.)

    (b) Separation allowance. When an employee accepts a separation 

allowance, the employee gives up his or her job rights. Regardless of 

whether a separation allowance is paid in a lump sum or in installments, 

the annuity can begin as early as the day after the day the separation 

allowance is credited.

    (c) Monthly compensation payments. An employee who receives monthly 

compensation payments keeps his or her job rights while the payments are 

being made. The annuity cannot begin until after the end of the period 

for which payments are made.