What Are Some Typical Pension Eligibility Rules?


Quick Answer

Typical pension eligibility rules require the employee or citizen to work for a certain number of years before collecting the pension or meet certain disability standards, explains UMWA Health and Retirement Funds. Usually, to fulfill pension eligibility requirements, a person must also meet basic age requirements or qualify as a surviving spouse of an eligible worker.

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Full Answer

In the state of Michigan, a state employee qualifies for a full retirement at age 60 with 10 years of work service or at age 55 with 30 years of work service, with certain exceptions, explains Michigan's Office of Retirement Services. In the state of Michigan, the amount and terms of public pensions depend on the particular state department where the employee works. An employee of the state of Michigan may also receive a disability pension if the employee files the claim within one year of leaving the state employment.

Typical pension eligibility requirements often depend on the purpose of the pension fund. For example, the U.S. Department of Veterans Affairs offers veterans and their families tax-free supplemental pension payments in certain circumstances. Eligibility requirements for this pension fund include a low income that falls below prescribed thresholds and at least 90 days of active duty, including one day during a wartime period, says the U.S. Department of Veterans Affairs. The veteran or the appropriate family member must complete an application process through the appropriate regional office.

A pension fund might also distribute different types of benefits depending on different eligibility requirements. For example, the UMWA Health and Retirement Funds pension scheme awards death benefits based on eligibility requirements that differ from the regular pension fund. Eligibility requirements depend on the employment dates of the worker. The worker's eligibility might also depend on other death-benefit eligibility, explains UMWA Health and Retirement Funds.

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