Allstate 2015 Annual Report Download - page 62

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EXECUTIVE COMPENSATION
as required under the Internal Revenue Code. The
lump sum payment under the cash balance benefit
is generally equal to a participant’s account balance.
Payments from the SRIP are paid in the form of a
lump sum using the same interest rate and mortality
assumptions used under the ARP.
Timing of Payments
Eligible employees are vested in the normal ARP
and SRIP retirement benefits on the earlier of
the completion of three years of service or upon
reaching age 65.
Final average pay benefits are payable at age 65. A
participant with final average pay benefits may be
entitled to a reduced early retirement benefit on
or after age 55 if he or she terminates employment
after completing 20 or more years of vesting service.
A participant earning cash balance benefits who
terminates employment with at least three years
of vesting service is entitled to a lump sum benefit
equal to his or her cash balance account balance.
The following SRIP payment dates assume a
retirement or termination date of December 31, 2015:
• Ms. Greffin’s and Messrs. Shebik’s and Wilson’s
SRIP benefits earned prior to 2005 would become
payable as early as January 1, 2016. Benefits
earned after 2004 would be paid on July 1, 2016, or
following death.
• Mr. Civgin’s SRIP benefit would be paid on
January 1, 2017, or following death.
• Mr. Winter’s SRIP benefit would be paid on July 1,
2016, or following death.
Non-Qualified Deferred Compensation at Fiscal Year-end 2015
The following table summarizes the non-qualified deferred compensation contributions, earnings, and
account balances of our named executives in 2015. All amounts relate to The Allstate Corporation Deferred
Compensation Plan.
Name
Executive
Contributions
in Last FY
($)
Registrant
Contributions
in Last FY
($)
Aggregate
Earnings
in Last FY
($)(1)
Aggregate
Withdrawals/
Distributions
in Last FY
($)
Aggregate
Balance
at Last FYE
($)(2)
Mr. Wilson 0 0 ‑16,436 0 759,904
Mr. Shebik 0 0 ‑4,450 0 135,332
Mr. Civgin 0 0 0 0 0
Ms. Greffin 0 0 ‑14,214 0 2,176,560
Mr. Winter 0 0 0 0 0
(1) Aggregate earnings were not included in the named executive’s compensation in the last completed fiscal
year in the Summary Compensation Table.
(2) There are no amounts reported in the Aggregate Balance at Last FYE column that previously were reported as
compensation in the Summary Compensation Table.
In order to remain competitive with other employers,
we allow the named executives and other employees
whose annual compensation exceeds the amount
specified in the Internal Revenue Code ($265,000
in 2015), to defer under the Deferred Compensation
Plan up to 80% of their salary and/or up to 100% of
their annual cash incentive award that exceeds the
Internal Revenue Code limit. Allstate does not match
participant deferrals and does not guarantee a
stated rate of return.
Deferrals under the Deferred Compensation Plan are
credited with earnings or debited for losses based
on the results of the notional investment option or
options selected by the participants. The notional
investment options available in 2015 under the
Deferred Compensation Plan are: stable value, S&P
500, international equity, Russell 2000, mid-cap,
and bond funds. Under the Deferred Compensation
Plan, deferrals are not actually invested in these
funds, but instead are credited with earnings or
debited for losses based on the funds’ investment
returns. Because the rate of return is based on
actual investment measures in our 401(k) plan, no
above-market earnings are credited, recorded, or
paid. Our Deferred Compensation Plan and 401(k)
plan allow participants to change their investment
elections daily.
The Deferred Compensation Plan is unfunded. This
means that Allstate does not set aside funds for the
plan in a trust or otherwise. Participants have only
the rights of general unsecured creditors and may
lose their balances in the event of the company’s
bankruptcy. Account balances are 100% vested at
all times.