25 and out----I am SO confused----

Discussion in 'UPS Retirement Topics' started by newfups, May 23, 2013.

  1. newfups

    newfups Member

    I know that the answer to my question will depend on my local, etc., but here goes.

    Part-timer, 28 years, age 53. Local is telling me I can go out prior to Dec. 31, 2013, and my H & W will stay under the UPS H & W plan for retirees (which will have some changes, I understand that.) I understand that as a part-timer, I will be covered under the UPS retiree plan for part-timers. (That's the way it works in this district anyway.) I have sent in the paperwork for a retirement estimate of monthly payment.

    Perhaps I haven't asked my BA nor UPS HR my basic question succinctly enough (or they proceed with a prepared pat answer without really hearing my concern.)

    Under my current scenario, at 28 years, age 53, am I entitled to H & W benefits AND monthly retirement payment IMMEDIATELY--Jan. 1, 2014?

    The phrase "25 and out" is evidently "lingo" that actually isn't stated "as is" in the current nor TA. I always thought it meant, do 25 and I'm outta here and health covered and paid----that was years ago when thoughts of retirement were on the far distant horizon. Now that it's coming down to the wire, I'm just looking for clarification.

    ​I'll continue to try and clarify with my local folks, but I'd appreciate any answers you experienced folks here can provide. Thanks so much---
     
  2. oldngray

    oldngray nowhere special

    In some locals there is a years of service pension where you can retire at any age with enough years, but varies between locals. Call your local and ask them. If you can get a 25 years of service part time pension it will suck. About $25 per month for each year of credit.
     
  3. newfups

    newfups Member

    OUCH, but thanks, I needed that! I will definitely still inquire about a "years of service pension."
     
  4. Jones

    Jones fILE A GRIEVE! Staff Member

    25 and out at any age will get you $1,125.00/mo under the current plan and yes that should start immediately. You have 28 years so you should get $1,260.00/mo ($45/mo for each additional year).
    I'm pretty sure you have to be 55 to qualify for the retiree health insurance though.
     
  5. newfups

    newfups Member

    Thanks, that is exactly what I'm attempting to clarify. without health coverage it really becomes a moot point.
     
  6. oldngray

    oldngray nowhere special

    $45 per month if you are near 65, otherwise it gets reduced (7% I think but don't remember for certain) for each year younger you are, so if he is 53 he will get more from the service pension calculation which is $25. Its really complicated and there is more than one formula involved. And if you call HR most of the time they will give you incorrect information.
     
  7. Jones

    Jones fILE A GRIEVE! Staff Member

    That might be an older contract, the current one tops out at $60/mo per year worked and the reductions start from there. The number I gave for 25 and out at any age is straight from the language in article 34.
     
  8. oldngray

    oldngray nowhere special

    I retired under the current contract (Oct 2011) and had 8 years of credit as a part timer and that is what I got. And the numbers you will see usually won't be 100% correct. 5 months after I retired UPS finally figured out they owed me $1.50 more per month which is just another example of how messed up HR is, as I said.
     
  9. Jones

    Jones fILE A GRIEVE! Staff Member

    I'm not doubting what you say, just going by language:
     
  10. brownmonster

    brownmonster Man of Great Wisdom

    Work part time for 25 years and retire at 53 years old with free health care. Pretty much the norm at most companies.