Generally, the UCRP formulas for retirement income satisfy this requirement. All or part of an eligible distribution may be directly rolled over to an IRA or to another employer plan. In this event, the distribution check will be payable to the IRA or other plan. This transaction creates no tax liability, and no taxes are withheld from the amount rolled over. For more detailed information, refer to the Special Tax Notice for Plan Distributions available from Benefits Offices.
All UCRP distributions are subject to applicable federal and state taxes.
These contributions are a nontaxable portion of a distribution. The balance of a distribution is taxable income in the year the distribution is received. Income tax for states other than California is not withheld. Members should consult a tax advisor about tax liability. No taxes are withheld if the distributions are directly rolled over to an IRA or to another employer plan.