FIRST AMENDMENT TO THE
DIRECTOR SUPPLEMENTAL RETIREMENT INCOME AND
DEFERRED COMPENSATION AGREEMENT FOR
XXXXXX X. XXXXXX, XX.
MAGYAR SAVINGS BANK
Upon mutual consent and for valuable consideration hereby recognized, THE
DIRECTOR SUPPLEMENTAL RETIREMENT INCOME AND DEFERRED COMPENSATION AGREEMENT FOR
XXXXXX X. XXXXXX IS hereby amended. The language below is immediately effective
for each listed section and supercedes all previous versions of these sections.
AMENDED SECTIONS
----------------
SUBSECTION 1.6 OF THE DIRECTOR SUPPLEMENTAL RETIREMENT INCOME AND DEFERRED
COMPENSATION AGREEMENT FOR XXXXXX X. XXXXXX SHALL BE AMENDED AS FOLLOWS;
1.6 "Benefit Age" means the later of: (i) the Director's seventy-fifth
(75th) birthday or (ii) the actual date the Director's full-time service
with the Bank terminates.
EXHIBIT A - REVISED 8/05 CONDITIONS, ASSUMPTIONS, AND SCHEDULE OF CONTRIBUTIONS
AND PHANTOM CONTRIBUTIONS
A new "Exhibit A - Revised 8/05" is also attached to reflect the new schedule of
contributions and the new Supplemental Retirement Income Benefit resulting from
the Director's change of Benefit Age.
All other provisions of THE DIRECTOR SUPPLEMENTAL RETIREMENT INCOME AND DEFERRED
COMPENSATION AGREEMENT FOR XXXXXX X. XXXXXX which are not specifically modified
by this Amendement are hereby incorporated and shall remain in full force and
effect.
_______________________________ Date___________ Director Signature and Date
_______________________________________________ Director Printed Name
_______________________________ Date___________ Bank Officer Signature and Date
_______________________________________________ Bank Officer Printed Name/Title
CONDITIONS, ASSUMPTIONS,
AND
SCHEDULE OF CONTRIBUTIONS AND PHANTOM CONTRIBUTIONS
1. Interest Factor - for purposes of:
a. the Accrued Benefit Account - shall be six percent (6%) per
annum, compounded monthly.
b. the Elective Contributions - shall be ten percent (10%) per
annum, compounded monthly.
c. the Emeritus Contributions - shall be six percent (6%) per
annum, compounded monthly.
d. the Retirement Income Trust Fund - for purposes of annuitizing
the balance of the Retirement Income Trust Fund over the Payout
Period, the trustee of the Xxxxxx X. Xxxxxx, Xx. Grantor Trust
shall exercise discretion in selecting the appropriate rate
given the nature of the investments contained in the Retirement
Income Trust Fund and the expected return associated with the
investments. For these purposes, if the trustee of the
Retirement Income Trust Fund has purchased a life insurance
policy, the trustee shall have the discretion to determine the
portion of the cash value of such policy available for purposes
of annuitizing the Retirement Income Trust Fund, in accordance
with Section 2.3 of the Agreement.
2. The amount of the annual Emeritus Contributions (or Phantom
Contributions) to the Retirement Income Trust Fund (or Accrued Benefit
Account) has been based on the annual interest-adjusted accounting
accruals which would be required of the Bank through the earlier of the
Director's death or Benefit Age, (i) pursuant to APB Opinion No. 12, as
amended by FAS 106 and (ii) assuming a discount rate equal to six
percent (6%) per annum, in order to provide a portion of the unfunded,
non-qualified Supplemental Retirement Income Benefit. The Emeritus
Contributions are calculated to support a benefit based upon 75% of the
Director's total board fees, committee fees and/or retainer in the
twelve months prior to Director's Benefit Eligibility Date.
3. The amount of the annual Elective Contributions (or Phantom
Contributions) to the Retirement Income Trust Fund (or Accrued Benefit
Account) has been based on the annual interest-adjusted accounting
accruals which would be required of the Bank through the earlier of the
Director's death or Benefit Age, (i) pursuant to APB Opinion No. 12, as
amended by FAS 106 and (ii) assuming a discount rate equal to ten
percent (10%) per annum, in order to provide a portion of the unfunded,
non-qualified Supplemental Retirement Income Benefit. Director has
elected a monthly, pre-tax deferral of board fees, committee fess and/or
retainer in the amount of $2,050 per month ending January 2006.
4. Supplemental Retirement Income Benefit means an actuarially determined
annual amount equal to Two-Hundred-Eleven-Thousand Nine-Hundred and
Fifty-Four Dollars ($211,954) at age 75 if paid entirely from the
Accrued Benefit Account or One-Hundred-Twenty-Five Thousand and
Fifty-Three Dollars ($125,053) at age 75 if paid from the Retirement
Income Trust Fund.
Exhibit A- Revised 8/05
The Supplemental Retirement Income Benefit:
o the definition of Supplemental Retirement Income Benefit has
been incorporated into the Agreement for the sole purpose of
actuarially establishing the amount of annual Contributions (or
Phantom Contributions) to the Retirement Income Trust Fund (or
Accrued Benefit Account). The amount of any actual retirement,
pre-retirement or disability benefit payable pursuant to the
Agreement will be a function of (i) the amount and timing of
Contributions (or Phantom Contributions) to the Retirement
Income Trust Fund (or Accrued Benefit Account) and (ii) the
actual investment experience of such Contributions (or the
monthly compounding rate of Phantom Contributions).
5. Schedule of Annual Gross Contributions/Phantom Contributions
Plan Year Elective Contributions Emeritus Contributions Total Contributions
--------- ---------------------- ---------------------- -------------------
2004 $306,645 $237,015 $543,660
2005 58,084 106,516 164,600
2006 40,457 24,382 64,839
2007 42,428 26,083 68,511
2008 46,871 27,901 74,772
2009 51,779 29,844 81,623
2010 57,201 31,921 89,122
2011 63,191 34,140 97,331
2012 69,808 36,511 106,319
2013 77,117 39,045 116,162
2014 85,192 41,753 126,945
2015 94,113 44,646 138,759
2016 103,872 46,739 150,611
Exhibit A - Revised 8/05 (Cont'd.)
