13th Check Clause Samples
The 13th Check clause establishes an additional, typically annual, payment to employees or pensioners beyond their regular monthly payments. In practice, this clause stipulates that recipients will receive a bonus—often equivalent to one month's salary or pension—at a specified time, such as the end of the year or during a holiday season. Its core function is to provide financial relief or reward, helping to incentivize employees or support retirees with extra funds during periods of increased expenses.
13th Check. For employees who retire on or after April 1, 2000, and after five years of retirement, said retirees will be eligible yearly for a performance bonus of a 13th (additional) check, not to exceed an amount greater than their monthly pension check. If surplus funds are inadequate to provide a full month’s payment, the checks will be prorated based on the retiree’s monthly benefit. The surplus funds, as determined by the Annual Actuarial Valuation attributed to fire members of the Clinton Township Fire and Police Retirement System, will be a maximum of half the excess over the actuarial assumed rate of return. Surplus or deficit funds in any given year shall not affect any valuations in subsequent years. Any distributions shall be made no later than the second month following the publication of the actuarial valuation.
13th Check. For employees who retire on or after April 1, 2000, after 5 years of retirement said retirees will be eligible for annual 13th check not to exceed the retirant’s normal monthly retirement check. Said check will be distributed if investment funds attributed to the Police members exceed eight (8%) percent. Participants in the DROP and/or defined contribution plan shall be eligible 5 years after termination of employment. Up to 50% of said excess will be used to make such payments. If 50% of the excess is not sufficient to make a payment equal to a monthly check then the amount available will be distributed equally among the eligible retirees. Unused excess will not be carried over from one year to the next.
13th Check. For Employees who retire on / or after April 1, 2000, and after Five (5) years of retirement, said retirees will be eligible yearly for a performance bonus of a Thirteenth (13th) additional check, not to exceed an amount greater than their monthly pension check. If surplus funds are inadequate to provide a full month's payment, the checks will be prorated based on the retiree's monthly benefit. The surplus funds, as determined by the Annual Actuarial Valuation attributed to fire members of the Clinton Township Fire and Police Retirement System, will be a maximum of One-half (1/2) the excess over the actuarial assumed rate of return. Surplus or deficit funds in any given year shall not affect any valuations in subsequent years. Any distributions shall be made no later than the Second (2nd) month following the publication of the actuarial valuation.