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Participation in CLIP

The greater your Participation, the more credits you earn.

You choose your level of “Participation.” This level determines the credits you earn while living and the contribution you make to the Community Fund when you pass on.

The credits you earn are proportional to your selected participation percentage, applied to your Personal Account balance.

Example of how your participation determines the credits you earn:
Participation PercentageCredits Earned Over Time
25%$100,000
50%$200,000
75%$300,000

With greater participation, you contribute more when you pass on.

On death after retirement, the percentage of your final Personal Account balance at that time equal to your participation in CLIP goes to the Community Fund.

Example of how your participation determines the contribution you make on death after retirement:
Participation PercentageRemaining Personal Account Balance Contribution to Community FundPayment to Beneficiaries
25%$100,000$25,000$75,000
50%$100,000$50,000$50,000
75%$100,000$75,000$25,000

On death before retirement, there is no payment for participating in CLIP. You make no contribution to the Community Fund and your beneficiaries receive the full amount of your final Personal Account balance.

Example of how your participation determines the contribution you make on death before retirement:
Participation PercentageRemaining Personal Account BalanceContribution to Community FundPayment to Beneficiaries
25%$100,000$0$100,000
50%$100,000$0$100,000
75%$100,000$0$100,000

If you live long enough to use up all the money in your Personal Account and the credits in your CLIP Account, you will have extended your savings without needing to contribute to the Community Fund.