So Many Pension Payment Options. What To Consider?

[PT Car Washer]

I didn't at first but it is true.

$72,000 to $96,000 a year pension for driving a truck in the 70's and 80,s? Sounds a bit unbelievable.

 

[UpstateNYUPSer(Ret)]

Keep in mind ours is a multi-employer pension fund.

 

[upschuck]

Keep in mind ours is a multi-employer pension fund.

And in trouble, I bet.

 

[UpstateNYUPSer(Ret)]

And in trouble, I bet.

Yup. 60-65% funded hence the pension payments going down rather than up.

 

[brownmonster]

I might be able to get out a year early also and still collect my whopping 3k a month.

 

[UpstateNYUPSer(Ret)]

I might be able to get out a year early also and still collect my whopping 3k a month.

I was going over the printout that accompanied the letter. My very first year I had just over 1000 hours but still received a year of pension credit---this may be what gets me out the door 8-9 months early.

 

[cosmo1]

I was going over the printout that accompanied the letter. My very first year I had just over 1000 hours but still received a year of pension credit---this may be what gets me out the door 8-9 months early.

Double check and cross your fingers. You don't want any last-minute surprises.

 

[brownmonster]

I was going over the printout that accompanied the letter. My very first year I had just over 1000 hours but still received a year of pension credit---this may be what gets me out the door 8-9 months early.

Don't stay a second too long. Our pension went up so I can get the same amount I was originally planning a year sooner provided everything else falls into place.

 

[UpstateNYUPSer(Ret)]

Double check and cross your fingers. You don't want any last-minute surprises.

I plan on requesting an update about a year ahead of time just to be on the safe side.

 

[What'dyabringmetoday???]

Yup. 60-65% funded hence the pension payments going down rather than up.

If 43%=60-65%, then you are correct.

 

[UpstateNYUPSer(Ret)]

If 43%=60-65%, then you are correct.

Common core math.

 

[rod]

I might be able to get out a year early also and still collect my whopping 3k a month.

That's what I get but when you factor in my wifes pension, my social security, my wifes social security and our monthly check from our investment portfolio-----all is good.

 

[brownmonster]

That's what I get but when you factor in my wifes pension, my social security, my wifes social security and our monthly check from our investment portfolio-----all is good.

Agreed. I'm thinking my pension should be about 1/3 of my total income by the time I'm 65.

 

[What'dyabringmetoday???]

G

Common core math.

Good luck on your retirement plans Skippy. The reality is, well, you will soon figure it out. (The well is running dry.)

 

[Brownslave688]

You folks have a great pension system for sure.

Not really. That's a system asking for failure.

 

[rod]

Not really. That's a system asking for failure.

It sounds like failure is knocking on the door as we speak

 

[olroadbeech]

I had a member PM me about this thread to see what we did and bumped into an old co-worker last week and asked the same question.

Each family has there own situation so it is hard to say do what to do . It depends. In the western conference there are so many options. Since it is only my spouse and I , we decided to go with the option where I receive $300 more a month until age 62 and then it drops 300.

Also selected the option where if I die before my spouse he/she will receive 60% of my pension until they died. This was the best option for us. Also if my spouse dies before me , then my pension "bumps" up 300 dollars a month.

We had to read all the options many times before we began to understand them. Also spoke to several other retirees to ask their opinions and what they did. After being retired for almost 18 months , we realized we made the right choice.

Take your time with this decision. My father in law was almost 100% certain that he would outlive his wife because she had so many health issues. He took the larger benefit with no spousal benefit. Not sure how much more he received. Well, he was retired for a year or so and then got cancer and was gone within months. His wife did get a lump sum benny but that did not last long.

A survivor monthly benefit would have been better in the long run . She lived 15 years longer than him and had to survive only on Social Security and our occasional help.

hope this helps.

 

[UpstateNYUPSer(Ret)]

I had a member PM me about this thread to see what we did and bumped into an old co-worker last week and asked the same question.

Each family has there own situation so it is hard to say do what to do . It depends. In the western conference there are so many options. Since it is only my spouse and I , we decided to go with the option where I receive $300 more a month until age 62 and then it drops 300.

Also selected the option where if I die before my spouse he/she will receive 60% of my pension until they died. This was the best option for us. Also if my spouse dies before me , then my pension "bumps" up 300 dollars a month.

We had to read all the options many times before we began to understand them. Also spoke to several other retirees to ask their opinions and what they did. After being retired for almost 18 months , we realized we made the right choice.

Take your time with this decision. My father in law was almost 100% certain that he would outlive his wife because she had so many health issues. He took the larger benefit with no spousal benefit. Not sure how much more he received. Well, he was retired for a year or so and then got cancer and was gone within months. His wife did get a lump sum benny but that did not last long.

A survivor monthly benefit would have been better in the long run . She lived 15 years longer than him and had to survive only on Social Security and our occasional help.

hope this helps.

Another option is to take the full pension and purchase a term life policy for the spouse.

 

[The Milkman]

I had a member PM me about this thread to see what we did and bumped into an old co-worker last week and asked the same question.

Each family has there own situation so it is hard to say do what to do . It depends. In the western conference there are so many options. Since it is only my spouse and I , we decided to go with the option where I receive $300 more a month until age 62 and then it drops 300.

Also selected the option where if I die before my spouse he/she will receive 60% of my pension until they died. This was the best option for us. Also if my spouse dies before me , then my pension "bumps" up 300 dollars a month.

We had to read all the options many times before we began to understand them. Also spoke to several other retirees to ask their opinions and what they did. After being retired for almost 18 months , we realized we made the right choice.

Take your time with this decision. My father in law was almost 100% certain that he would outlive his wife because she had so many health issues. He took the larger benefit with no spousal benefit. Not sure how much more he received. Well, he was retired for a year or so and then got cancer and was gone within months. His wife did get a lump sum benny but that did not last long.

A survivor monthly benefit would have been better in the long run . She lived 15 years longer than him and had to survive only on Social Security and our occasional help.

hope this helps.

At the time I took 50k up front and rolled it into my 401K. Then took the husband/wife deal which lowered my check about $250 per month but she will get half of my check if I make the early exit. I also could of taken a full pension for 10 years guaranteed, which if I died the 1st year the wife would get the full check for 9 more years but after that zero. I did look into the term insurance option, but the wife is almost 3 years older than me so I just rolled the dice. she will be fine if I croak first

 

[What'dyabringmetoday???]

I was going over the printout that accompanied the letter. My very first year I had just over 1000 hours but still received a year of pension credit---this may be what gets me out the door 8-9 months early.

I hope your dreams come true- but at this point I think that they really are just dreams. The fund will run out of money. Not a question of "if".