Thread regarding IBM layoffs

Are you 30-50's and still working for a company that cut your 401k match in half?
That is what a HUGE problem is.

@3kfp+14PzM9Et -
Correction. It's RED kool aid now. Get it right.

Taking a loan should be a last resort, it is bad in many levels. Keep in mind this is a resource action time and if you get resourced that money is due in full or it will become a default , if you cannot pay it back they will consider it an early withdrawal and you will get screwed big time! Happened to a friend of mine , ya he was over 50 and I agree you do have bigger problems than IBM and Redhat if borrowing from 401k.

If you're in your mid-50s and thinking about taking a loan from your 401(k) you've got bigger problems than the differences between IBM and Red Hat benefits plans.

@2izc,

Oh yeah!! Here comes Kool-Aid, Here comes Kool-Aid

@knn+14PzM9Et

Bust in what way? Growth numbers show good performance.

OP posts like this is new or secret information — but it isn't. Red Hat employees have Red Hat employment agreements (not IBM), Red Hat benefits (not IBM), different systems (not IBM). Different everything and for good reason. That has never been hidden to us at Red Hat. Sorry if your management is not as transparent but I really do think Jim W can help change that.

@1laz,
You do not report a 401(k) loan on your tax return unless you default on the loan.

No one at IBM under 60.5 has a pension so that is not a concern. Not sure what you mean by your 401k is locked. You have at least two options 1) you can roll it over to a rollover IRA or 2) you can leave it in the 401k plan. Either way it will still grow.

Regarding 401k loans they are the last thing you want to do and should avoid doing it if you can.
What many people do not realize is that you are being tax twice on the money you pay the loan back with. The loan is paid back with post tax, NOT pre-taxed, dollars. Then when you take the money out of the account that money is taxed again as income. So for that reason if you can avoid taking a loan from your 401k you should.

Your right that if someone under 55 left to go to Red Hat or any other company they would loose the future health account. What many do not realize about the future health account is that it is not guaranteed. IBM can do away with it at any time. That is why many retirees will use it up as quickly as possible. If your an IBMer you can check this with Money Smart.

@enw+ - If IBM bought us for our culture then I'll tell you what you need to focus on. Learn to use Instagram really well, dye your hair pink and complain about anything that you can because "its for the cause". What cause? I don't know. Doesn't matter. Just do it and look informed while posting it all to the Instagram.

IBM paid a lot of money for children

If Red Hat was something that was a hot item I could see switching, but so far its a bust big time.

Seniority? What’s seniority? Have seen what that could get me.

IBM didn’t buy Redhat just for the IP, but rather to change the culture and offerings of legacy

But by the time these changes take effect at Dinosaur IBM speed, the Redhat culture and offerings will be legacy.

No breaking IBM into parts, but rather divestitures

https://apple.news/A9l63SibWS62DRgyMdbU5gw

Now you are finally getting it. What do all of these changes have in common? Lowering burden costs for the long term. IBM didn’t buy Redhat just for the IP, but rather to change the culture and offerings of legacy IBM. If you are young/early in your career, this is easy. If you are older/later into your career, this could hurt. Good luck to all as you are starting to see the details emerge