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The agreement builds on recently concluded live action agreements and includes the applicable benefits of that agreement, including wage increases of 2.5% in the first year, 3% in the second year and 3% in the third year; a 1% increase in the contribution rate to the SAG-AFTRA health plan and optional wage deviations during years two and three, allowing the union to transfer 0.5% of the wage increase to the contribution rate of the SAG-AFTRA health plan or the SAG/AFTRA PENSION FUND pension plan; a 26% improvement in residues for high-budget animated programs for subscription streaming services such as Amazon and Hulu; and a further reduction in the budget threshold, which triggers high budget coverage for half-hour animated programs for subscription streaming services from $550,000 to $500,000. . . .