Are benefit recipients who had a variable account affected by Strunk and/or Eugene?
A. Variable account earnings allocations are not affected by the Eugene decision. Benefit recipients who had variable accounts in 1999 will see a smaller adjustment to their total member account or retirement benefit from the Eugene case. The affect of the 1999 earnings crediting correction will depend on the relative size of the member’s respective regular and variable accounts. The change in calculating the variable match at retirement to match variable account contributions as if they had been in the regular account (required by the Eugene case) became effective for retirements on or after July 1, 2004.
