ANNUAL CONTRACT FEE Clause Samples
ANNUAL CONTRACT FEE. (a) The Annual Contract Fee is thirty dollars ($30.00). The Annual Contract Fee shall be deducted from the value of each Participant's Individual Account on the last business day of each Participant's Contract Year. However, if the value of the Participant's Individual Account is distributed in full at any time before the last business day of the Participant's Contract Year, the Annual Contract Fee charge shall be deducted from the proceeds of such distribution.
(b) No deduction for the Annual Contract Fee shall be made from a Participant's Individual Account during the Annuity Period under the Contract. The Annual Contract Fee shall also not be applied to any distribution which is on account of a Participant's:
(1) death,
(2) disability within the meaning of Code section 72(m)(7), provided such disability would entitle the Participant to receive social security disability benefits,
(3) long term confinement in an officially recognized nursing home or hospital, provided the Participant's confinement in the hospital or nursing home is prescribed by a physician and such confinement is for at least ninety (90) days,
(4) separation from service on or after the fifth Participant's Contract Year, provided the Participant has attained age 59 1/2, or
(5) hardship, as described in Section 5.2(e) of the Contract, other than hardship resulting from the purchase of a principal residence, as described in Section 5.2(e)(1)(B) of the Contract and a hardship resulting from the payment of tuition, related educational fees, and room and board expenses as described in Section 5.2(e)(1)(C) of the Contract. Paragraphs (1) through (5) above are further subject to the requirements of Section 5 or 8 of the Contract, whichever is applicable.
ANNUAL CONTRACT FEE. The Annual Contract Fee, stated in the Data Section, is deducted from the Contract Value on the Date of Issue and on each Contract Anniversary on which the Contract Value is less than $50,000. RIDER CHARGES. Rider Charges for riders attached to this contract are stated in the Data Section, and are deducted as described in the riders. The Annual Contract Fee and Rider Charges shall be allocated among and deducted from all accounts on a pro rata basis. TAX CHARGE. We reserve the right to deduct any charge for taxes or amounts set aside as a reserve for taxes in determining the Net Investment Factor in the event that such a tax is levied on that Sub-Account in the future.
ANNUAL CONTRACT FEE a In consideration of the rights, privileges and interests granted by the PHTPB to the Operator in terms of this Contract, the Operator shall pay to the PHTPB an Annual Contract Fee, starting after the issuance of the Implementation Certificate. However the Annual Contract Fee shall be due from the Compliance Date. The Annual Contract Fee shall be increased @ 15% from the beginning of the 4th year and subsequently, the same increase shall be affected after every 3 (three) years, over the previous Annual Contract Fee.