She had been there 27 years. Can anyone tell me what happens to her pension since she didn't make it to 30 years? Thanks, in advance.
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She will be on vacation, permanently, nothing wrong with.
She didn't ask me to come here and ask. Our family is worried about her.
Lump sum is based on interest rate and for 2019 it is not as great as it has been in recent years -- good discussion in "Where's Bill Ford" thread a few weeks back.
Pension for most employees is 100% covered by PBGC, the maximum coverage is age-dependent. In my case I will be 100% covered in 5 years.
The only age bump I witnessed was when I turned 55.
Ford cannot buy out my pension, Federal Government will not allow it.
Yes, I am sure it went down like this. You’re fired. Here is your one box. Tell your cousin to go to the lay-off.com to get all the information you need concerning your pension.
I find it hard to believe your cousin did not get this information directly from the company when he/she was working there and then let go. Very strange that he/she would have to have a cousin go on to this website to find these answers.
Sickening
Take the cash before bankrupt or sold.
Buyout pensions already being paid out to retirees?
Not a chance. Perhaps those who have not retired yet.
Tell her to take the lump sum rather than the pension. Ford is going to eventually buy out pensions as they want out of that business.
At the 27 year mark assuming she was in contributory the entire time it would be nearly a million $
Not a bad haul no matter what. Also monthly stipend on 27 years is not going to replace a full monthly paycheck but that monthly payout is more than a lot of folks make.
Should have a problem living off that and the health insurance provided.
She is considered vested, so she will still get a pension, based on what she has accumulated to date. It will just be less than what she would have received had she stayed to 30 or 35 years. The bad thing is that there is substantial growth in the pension between 27-30, at the 30 year mark and 35 years. Think hockey stick curve. I have heard that those who are forced out around the 27 year mark end up losing about $500k in their pension. Now you can see why they were targeting those in the 27 year range - to avoid future payouts.