DROP account definition

DROP account means the notional account to which is credited the monthly DROP accrual;

DROP account means the notional account established to reflect the credits, contributions, and earnings of a member who has made a DROP election in accordance with Section 5 of this article.

DROP account means the dollars allocated to a DROP Participant pursuant to this Article. Such accounts will be maintained by the Trustee as entries on its books. The Trustee is not required to set up individual accounts for each DROP Participant.

Examples of DROP account in a sentence

• I elect to have my DROP distribution Paid in a Direct Rollover as indicated below in Section III.B. I elect to have a portion of my DROP distribution Paid in a Direct Rollover as indicated below in Section III, and the Remainder Paid to Me. I understand that this may result in adverse tax consequences, and that the portion of my DROP Account paid to me will be subject to mandatory tax withholding of 20 %.

• If the DROP Account balance exceeds $200, the plan administrator shall provide to the participant, at least 30 days before the scheduled distribution date, written notice of his eligible rollover distribution rights.

• I understand that a distribution from my DROP Account could be affected by a QDRO that is applicable to me, but only to the extent that the QDRO specifically awards a dollar amount or a percentage of my DROP Account to an Alternate Payee.

• I understand that this may result in adverse tax consequences and that the portion of my DROP Account paid to me will be subject to mandatory tax withholding of 20%.

• I fully understand that regardless of the distribution form I choose, no earnings will be credited to my DROP Account if I remain on the City of Houston payroll after the 13 years of my DROP participation, and until I terminate active service.

More Definitions of DROP account

DROP account means the participant's individual deferred retirement option plan account designed under this division and administered by the plan.

DROP account means the notional account to which is credited

DROP account means the account established by the Board for a Member who is eligible for and who elects to participate in the DROP Program.

DROP account means the separate financial account established under this policy from which a participant is paid a lump sum distribution at retirement.

DROP account means the member's accumulated monthly DROP accruals, plus interest.

DROP account means a notional account established for a DROP participant that is used solely as an accounting convention to aid in the computation of the DROP participant's DROP benefit. The DROP account may only be used for accounting purposes, and there is no actual separation of assets of the pension fund before the distribution of the DROP participant's DROP benefit.

DROP account means the account established for each DROP participant under subsection (B).