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Old 11-07-2018, 02:57 PM
Status: "Loving life, wife and job!" (set 5 days ago)
 
Location: USA
992 posts, read 378,533 times
Reputation: 2614

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Quote:
Originally Posted by WoodburyWoody View Post
Yay! Another example of a corporation pushing their obligations to the taxpayers!

PBGC is in trouble, though ...

https://www.forbes.com/sites/tedknut.../#3874f762525f
Point made. To be clear, they’re referring to the union plan which is a multiemployer plan. The single employer plan seems to be better positioned. Not that that’s any comfort to anyone under the union plan - taxpayers will have to bail out the plan or premiums may rise.

“The Single-Employer Program continues to report a deficit but given the recent trends in claims and premiums, its financial condition is likely to improve over the next ten years.”

Also, if this is similar to many employer plans, the health of the plans generally seem to Improve as interst rates rise.
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Old 11-07-2018, 05:42 PM
 
Location: Wooster, Ohio
1,036 posts, read 785,100 times
Reputation: 1489
I have a state pension plan. When the baby boomers were all working, benefits were increased. Now that the boomers are retiring, benefits are being cut for younger employees.

Healthcare is the big change. Spousal healthcare has been eliminated. If you were a stay-at-home spouse, you are now out of luck. It takes 10 years to earn the 40 quarters for fully paid Medicare A coverage.

Employees like me who were hired before 4/1986 and did not change employers did not pay into Medicare, and did not earn credits. OPERS is currently paying for Medicare A for grandfathered employees. I did not want to take a chance on that, so I got a part-time job and earned the remaining credits I needed.

If I get a job with Social Security coverage and earn the credits I need (My current job is also OPERS, so I do not pay into SS), then I will also be able to earn a few dollars of Social Security. Social Security is cut for double-dippers as I would be, which is only fair.
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Old 11-07-2018, 06:15 PM
 
3,536 posts, read 1,350,218 times
Reputation: 6929
"My advice is, don't bet the farm that the company funded pension plan will still be there 20 years from now."

mine is: do not bet ANYTHING will be there in 20 years.
401K? government can change rules. yours is ours now.
State pension: hope you do not live in Illinois.
Unions stealing: same old story.
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Old 11-07-2018, 06:17 PM
 
Location: Florida
5,232 posts, read 3,005,081 times
Reputation: 9583
My pension was replaced by an annuity. Seamless transition, I still get the same amount.
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Old 11-07-2018, 06:58 PM
 
3,247 posts, read 842,766 times
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No it's pretty much been understood that it's a bad idea for private companies to expect to be able to cut pension checks from their operating income in perpetuity. See Cannon Mills in Kannapolis, NC.

My grandpa continued to collect a pension from his company whose location was shut down post-acquisition (Reynolds Aluminum > Ball Aluminum > Alcoa) until his death.

Pensions funded directly by unions, not the companies themselves, are a step more secure.

Finally, State and Federal level pensions are probably your safest bet, but may not always be the most generous, unless your state allows public employees to unionize.
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Old 11-07-2018, 07:33 PM
Q44
 
Location: Hudson Valley, NY
895 posts, read 764,839 times
Reputation: 1761
About 12 years ago my company Verizon froze pension contributions for managers with 15+ years of service. Those with less time lost their pension. TBH I'm not sure if that meant they lost everything or if they get to keep their cash balance.

Anyway I had the time + so with my retirement looking very likely next month my cash balance gives me the option of an annuity with no COLA from Prudential or taking the lump sum equivalent.

Vz did increase the match on our 401k as a sort of compensation, it's variable but is usually in the 8% range. So fortunately I have a generous 401 as well as having enough time to be grandfathered in to the frozen pension.

My wife will have a pension through her teacher's union.
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Old 11-07-2018, 07:39 PM
 
6,744 posts, read 3,854,200 times
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Yes, I lost my entire pension when the hospital I worked for went bankrupt.
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Old 11-07-2018, 08:33 PM
 
Location: S.W. Florida
2,206 posts, read 928,712 times
Reputation: 6218
Quote:
Originally Posted by Stockyman View Post
Luckily I have a company pension but I won't be retiring in another 20 years if I'm lucky enough to not be fired, let go, or have my company close.

Curious if anyone here lost their company pension or had it reduced due to bankruptcy of their company. Not sure if my company can last another 20 years even though it's very stable now but who can tell in the future. I feel for people who say retired from Sears and were depending on that pension to help them in retirement.

Sorry if this has been discussed to death.
This is exactly why I took my pension in a lump sum when I retired. I wanted control of my money, plain and simple.
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Old 11-07-2018, 08:45 PM
 
240 posts, read 119,157 times
Reputation: 555
I am curious as to how many lost pensions they contributed to. I pay 7.5% towards my state pension. In comparison, that is a lot of money I can't save since I also pay SS.
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Old 11-08-2018, 04:33 AM
 
2,442 posts, read 2,068,483 times
Reputation: 5690
Quote:
Originally Posted by ddm2k View Post
No it's pretty much been understood that it's a bad idea for private companies to expect to be able to cut pension checks from their operating income in perpetuity. See Cannon Mills in Kannapolis, NC.

My grandpa continued to collect a pension from his company whose location was shut down post-acquisition (Reynolds Aluminum > Ball Aluminum > Alcoa) until his death.

Pensions funded directly by unions, not the companies themselves, are a step more secure.

Finally, State and Federal level pensions are probably your safest bet, but may not always be the most generous, unless your state allows public employees to unionize.
Not necessarily, I know people with teamsters pensions that are worried.
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