Thread regarding Intel Corp. layoffs

Package aslways good if u have a plan to make the money work for you. Mÿself i investedin clm cornerstone stock and live off high mothlh dividends grt for folks have some money In their 401ks.

@gc Thanks for the information!

@dk If you stay in OR and have no income then you can be on the Oregon Health Plan till you go on Medicare.

The threshold for OHP is $18k/yr, and that is based on MAGI.

Be sure to check how OHP works. See the Pacific Source info and decide if you can live with that coverage, because it is certainly not blue cross coverage.

If not, then do enough IRA withdrawls to get over the threshold, including deductions, and plug a number over $18k in a healthcare marketplace application.

As other stated, if under the 400% FPL, or about $38k, then you can get a high deductible bronze (blue cross) plan for about $100/mo. That is about the same as IRMP Anthem except the deductible is $9k instead of $2k.

If you need more coverage or can't live with deductibles, then go to a silver plan and pay more like $300/mo.

You will have to opt out of SERMA each year to get the healthcare marketplace subsidies. There is a phone number in My Benefits for doing this, and there are questions in the marketplace application to indicate that you have an HRA and are opting out. Be careful with how you answer those questions and also about estimating your income.

Living on cash gives you options but you have to decide what coverage you really want, then manage IRA withdrawals to produce the right level of income.

I have not had this confirmed, but Roth conversions may not count as income for this purpose.

Not a bad time to start working down the IRA balance, to avoid mandatory withdrawals starting at 73. Think about doing as much Roth conversion as is justified by an expectation that money will not be needed later on. That way it can grow untaxed for the rest of your life.

@dk
I retired with 30+ years and there won't be enough in SERMA to cover 3yrs. The equivalent HDHP for me is $1900 a month Blue Cross. You can't use it to supplement payments for a Spouses plan unless she work's for Intel. It's great to have as I used it for COBRA extension but remember you have to use it with qualified Intel plan or supplemental for Medicare.

@dk I was laid off twice, once at 60, and again at 67. At 62, you still have a chance of getting rehired, but it might take a good while. It's great that you have 5 years of cash, but it would also be great if you could start your social security at 70 instead of 67. To that end, trying to find another position to give you another few years of pay might be worth it. Just don't be discouraged if the wait is long - you still have your original plan.

I'm OP. Again, thanks for all the great inputs!
I'm in RA. Trying to figure out an exit plan and timing thereof. Certainly I'd love a separation pkg that enhances a straight up retirement, but can't expect that.
I'm 62. Once retired, I've saved enough to live off cash for 5 years before starting SS at 67. So no income during those years.
Looking to smartly cover medical expenses until Medicare starts.

You have given me a lot of great information!

@cp Makes sense to me. Older engineers may have more experience, but it may no longer be considered relevant to current needs. Younger engineers are more likely to have higher degrees (PhD in analog IC design now seems common - used to be just bachelor's back in the day). Plus, these young PhD's are cheaper, less likely to to be encumbered with a family, more willing to work insane hours, and more likely to have degree work that is directly related to to the job they are hired for.

As an older engineer (now retired), I totally get why companies might prefer to trade an older bachelors or masters for a much younger, cheaper & energetic PhD. I may not like it, but I do get it.

Just a general comment. A lot of engineers over 55yo or so end up retiring not because they want to, but because the market no longer wants them.

Young engineers should plan accordingly.

Consider using the marketplace instead of IRMP if you're post intel income meets the requirements.

If your state has a chips plan, and your income is below their threshold, then the marketplace will push you to do that, making you ineligible for subsidies.

If IRMP is $1500/mo, then the high deductible blue cross plan is $1200/mo, with $1100/mo covered by the subsidies. The difference to IRMP is mostly just the deductible.

To get the marketplace subsisides, you opt out of SERMA. This can be done on a yearly basis, saving SERMA to cover medicare premiums.

Optimize this and you'll pay about $100/mo for insurance till you go on medicare, then have enough SERMA to cover a decade of that.

AI don't believe OP really want to retire. He wants to take the package and move to AMD like Mr Lo.

As the others noted, SERMA is granted if you retire (and are not terminated for cause).

If you are not working, then depending on what state you are in, you may be pushed into a (no cost) state medicaid plan instead of the healthcare market place.

KNOW the income thresholds when applying to the marketplace, or risk being pushed to a state medicaid plan (you may not like that level of coverage). Consider talking to a marketplace specialist about this.

If your income is less than 38k (less than 400% of the federal poverty level), then you can get a high deductible blue cross plan for $100-$200 per month, after subsidies.

If you estimate income which is below the state medicaid threshold (around $20k, depending on the state), then you will become ineligible for the marketplace, and will be pushed to go on the state medicaid program (or buy IRMP or some other non-subsidized insurance plan).

IRMP is more expensive because it has a low deductible. If it is $1500/mo, then the high deductible blue cross is $1200/mo, with about $1100 of that subsidized.

The marketplace requires you to opt-out of SERMA, to be eligible for subsidies. The state medicaid does not care about SERMA. It is based solely on income being less than the threshold.

You have the option to op out of SERMA each year (by Dec 15th for the next year).

If you are on COBRA, then a month or so before that ends, you can apply for the healthcare marketplace, start up IRMP or whatever change you want for continued coverage. Exiting COBRA is considered a qualifying event by the marketplace, enabling you to start coverage once COBRA ends (and not have to wait till the next year).

Oops, almost forgot. Along with retirement comes the option to carry COBRA for up to 18 months, correct?
Thanks again!

Thanks all. Yes, bridging the gap is pretty much it. My serma account will be 40k, I already verified that with HR about a year ago.
I know if I flat out retire, I'd get my serma and a $300 'thank you' bonus, but that's about it, no other real severance. I'm hourly, and my RSUs are minimal.
I wouldn't mind walking away with a little extra, obviously.
If I don't get tagged soon, I'm still going to retire by June.

Asked to retire a year ago with enhanced package at age 60 with 25 years of service. Serma for me is 33K. Is your concern bridging the gap until medicare?

SERMA is an accrued benefit so as long as you fall into one of the retirement categories and you retire (not get terminated for cause) then you get SERMA.

I was let go a year ago after 30yrs at Intel. They gave me the enhanced retirement package including SERMA.