How does this work with respect to health insurance premiums and COBRA?
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Thank you for that ! Thought I had read where the rates were comparable to existing employee rates. I realize employer paid a potion... COBRA 3 XS higher !
Just retired from BAC myself - this is how I understand it.....
With rule of 60 you'll be given a choice within 30-days of staying on your existing plan under COBRA for 18 months (longer in very limited circumstances) - or signing up for one of the standard BAC retirement plans. Either way, you have to pay monthly. For a married couple, it's ~$16k/y for the COBRA, ~$20k/y for the BAC retirement plan.You can get more detail on the HR site - think it's under modeling retirement - though it won't show the COBRA option. Dental and vision plans are also available, but don't fall under COBRA - they're the same as the standard employee plans.
You can switch from the COBRA to the BAC retirement plan after 18 months, or during standard year-end enrollment. Sticking with the COBRA is a decent choice while waiting to see how the whole Obamacare/Trumpcare thing plays out.
Worth also checking with a tax advisor how much is tax-deductible. I plan to explore part-time and self-employment options with the view to write-off healthcare costs again taxes.
When I was laid off I had just under 10 years and just under 50 years old. They gave me 8 months to add to my time to get me to 10 years which in the end allowed me about 6 months paying the same insurance rates even after my severance ended. It's complicated and I had to call to fully understand it.