I did the math... these interest rates are brutal!
25 replies (most recent on top)
I'm not sure what you are talking about I enjoy my work. I also enjoy when I get off every day knowing that I put in a good day, unlike most of the losers on sites like this, lol!
Every miserable day on the job is another healthy day of your life you will never get back. If you are 40 you may have a couple healthy decades left to live and enjoy the world. Decide carefully.
@dusm, I’m definitely playing the long game by staying at Chevron and will be better off for doing so. I celebrated my 41st birthday last week and have 15 years on the job. I’m still too young to retire and already have a lot of time invested in a career to quit now. Even if I was 51 with 25 years on the job, I would have my sights on the long game.
I know a penny pinching >60yrs old PSG28 who should have retired more than five years ago. Plenty of money. Hates his job and quite mediocre at it; a lackluster career like most of our leaders. But his shrew of a wife doesn't want him at home and won't let him quit. He's stuck.
Keep playing the lonnnngg game. You will very likely find yourself laid off with higher interest rates, a lump sum cut in half, no hiring prospects and stagflation. If you are 60+ with a defined pension and still working you need to take a hard look and ask why. May just be you haven't played the long game for very long.
I was so fortunate to get alyed off in dec 2021, whe the interest rates were almost zero. Must be really retiring annoying now watch the lump sum go down as the rates rise
You want to quit now? Go ahead and quit. I’m playing the long game and am sure I’ll be better off for doing so. Every year I stay employed is another year of salary, bonus, benefits, and accrual toward the pension and social security.
@8emh, By years end? I'm down over 20% YTD, but thanks for the sentiment I'm sure you meant well, lol.
$30K: Thats peewee. By years end you will be down 10-15%.
If you were sacked by Shell or Exxon (or both) you could have ended up at Chevron late in life. You may be working a long time!
@3zam Why do you care?
@3hrf, Not true for everyone. That only applies to the very few who have been unfortunate enough to have been at CVX for most of their careers. That includes the "chevroids" who are inbred sheep with no other experience/reference points and no time spent in the real world.
The normal annual increase in the lump REALLY flattens out around age 60. So, we tend to see those in their late 50s running for the door when rates pop up. Rates are going to be rising monthly all year, so look for more retirements.
@2xtl, Why don't you go ahead and take yours and quit worrying about everyone else who just look for layoff information on the layoff's boards? Why should what every one else does concern you at all? They are definitely not looking on a layoffs board for financial or career advice from losers, so save yourself some trouble with the useless rants.
Unless you're getting substantial increases in pay after you hit 60, You really need to think about taking the lump asap. The lump is based on an annuity, interest rates for discounting and expected remaining life. It's true that you are getting paid your salary and benefits but each 1% increase in the interest (discount) rate results in more than a 10% decrease in your lump sum. And each year, your remaining annuity life decreases as you approach death. You are basically working for free and the system was designed to gently nudge you to the door. The rates over the past few years are unprecedented. Here's a thought, find a job with a different company, resign and get the big lump plus maintain a salry and benefits.
From the time the fed changes rates it takes six months to filter into the IRS rates so they will go lower each month for a while, then fed will raise rates again and it starts aknew.
@2hfc, It’s obvious you’re not clear on what you’re talking about. It’s also like the previous commenter stated, you’re being myopic.
The 3 more months you work will be another $90k lost!
That’s all, only $30k was the diminished amount on your career’s lump sum pension? Big deal, just work 3 more months and make up the loss. You people who focus myopically on small details quickly lose sight of the bigger picture. If you enjoy the work, the pay, the benefits, are debt-free and still far enough from 65, just continue working. You be better off financially when ready for retirement.
You have not seen anything yet! The fed will raise 1.5 base points by year end, reducing pension values by well over 10 percent.
Why is there an inverse relationship between interest rates and the lump sum? Can someone explain in plain English?
about $300k, but I had a huge lump.
At that rate ($59k/mo), you will lose over $700,000 this year.
Everyone definitely took a hit, according to this article about 3% https://www.benzinga.com/pressreleases/22/04/ab26774569/chevron-interest-rates-are-soaring-causing-pension-lump-sums-to-lose-value
$59k but it first world problems.