Um. I thought so too.Call 1 800 888 5622 and ask them and they will tell you there is no lump sum payout on the TPP.!
Early Retirement Payout
- Thread starter NonyaBiznes
- Start date
Oldfart
Well-Known Member
Have you looked at "retirement.fedex.com" It is and has always been there. You either asked the wrong employee if you did call that number or you just haven't called it. There is a ? next to the total of the lump sum and when you click on that and it gives you specific instructions. Maybe it is only available for people that were in it for more than 25 years. Dunno, but it is there for me.
Are you sure you aren't mixing up the traditional with the portable? That website won't give me access anymore because I retired. Your lump sum sounds very much like the amount you said you'd get on the portable.
Oldfart
Well-Known Member
No confusion. Been asked that and answered. My traditional has had a lump sum option for many years. Maybe someone that had 25 years in the Traditional can check theirs. If others with less than 25 don't see the option, maybe that is the reason. No idea. I would cut and paste the line that shows it if I knew how to export another document into this forum.
I've never seen it, was told by Retirement Service Center there wasn't one. But someone said it's a new thing, maybe so.
UpstateNYUPSer(Ret)
Well-Known Member
Open up the document on another tab. Place your cursor over the document. Right click and hit "copy". Go to the tab with this thread and hit "paste".
Make sure to black out or otherwise obscure any personal information.
Serf
Well-Known Member
My 2 cents. A buddy worked with a guy who long since left. He had about 6 years with FedEx (trad plan). He was contacted about a buyout. He has approx 39,000 dollars vested. He was going to purchase a fixed annuity, instead he rolled it over into his 401k/IRA. We did speculate just how many people would be short on cash and need to take a lump sum up front. And how FedEx will make out like bandits in the end.
Whenever FedEx makes an offer on anything it's always in their best interest. You and many others get that, but amazingly some don't and believe the company truly cares about their well-being. They came up with a better pay plan because they had to, not because they wanted to. So what? Now we're seeing them behind the scenes coming up with ways to offset the new plan. Nothing is more important to them than maintaining and increasing profit. That's their path to riches. As Ground is the sure fire profit maker, and as companies like Amazon seek to increase their profits, expect less and less OT at Express, and difficulty getting 40 hrs, and maybe even 35. And ultimately don't be shocked if they drop the portable pension plan. Might be farther down the road, but FedEx has demonstrated willingness over the years to take from the employees to increase profits. When most of the old timers are gone, and the current crop of new hires are 10+ years in with families and mortgages, don't be surprised if the portable is gone. Of course if D. Trump manages to greatly improve the economy and FedEx has to compete for workers, won't happen. But Congress is already showing signs they're hesitating on reforms, so not getting hopes up. And if the market collapses because of debt all bets are off on pensions, raises, guarantees.
59 Dano
I just want to make friends!
There will always be a percentage of people who are willing to sacrifice a future dollar for a current quarter. Just the way it is.
Vt you've put the matter into clear perspective. X is obviously using every tool in it's belt to try to divest itself of as many legacy costs as possible. And as you pointed out guys like OF are going down the other side of their working lifetimes and the men and women who are still in the early stages of their employment most part timers can leave and start over . It's those people who right now comprise the middle third of the workforce in terms of longevity who are inline to enjoy the mother of all screwing overs especially now that they are too old to start over but too far away from the end and can now clearly see that the comfortable retirement that OF keeps bragging about will only be enjoyed by the people in his age group despite his unwillingness to accept that cold hard fact. I too agree that the GOP is getting cold feet when it comes to it's economic agenda as evidenced by recent town hall meetings when the people present refused to bite on the BS the GOP officials and office holders were feeding them. Perhaps they are hearing Admiral Yamamoto whispering in their ears......" I'm afraid that all you've done is to awaken a sleeping giant and fill him with a terrible resolve".
Just my two cents that employees who now have a better pay plan shouldn't take anything for granted. Every penny they can save is less worry down the road. Wall Street loves year over year growth in profits. To achieve that so that they can cash in management will look at every avenue.
FWIW I plan off a 7% return. Since the crash I've been avg 16%, high year 23%, low -2%. Good chat.
Serf
Well-Known Member
Oh, I totally agree. That was also something we speculated on. Who's to say that in a decade or less they just roll out a formula to cut the PPA, pay it out, or freeze it, etc. Similar to my wife's company. After years they announced we will no longer be contributing to your traditional pension. But not to worry, you vested at this X amount. And because "we care" about you, we are going to throw in an extra 1.5% in your 401k match.
On another note; I've been doing bulk flower pick ups for thew last 6 days. UPS is blowing the doors off us and Ground. It's actually amazing. In the last 5 years this is the lowest I have seen us volume wise. My station did about 3,700 parcels of flowers. UPS did 35,000. And Ground somewhere in between.
Serf
Well-Known Member
Of course. And in some rarer cases it makes sense for those individuals. The fatalist I am, I would be inclined to take any chunk of change up front.
I believe that the first thing anyone who is considering biting on the offer should do is to learn about the tax rules governing this type of transaction including and this does depend on the summary plan description paying not only the tax but a penalty of 10% of the amount of withdrawal and yes there exceptions if you meet them. So do what you want to do just make sure you know what you doing. Remember X doesn't give an expletive deleted about what the future holds for you. As VT pointed out this entire initiative is purely self serving.
abused.crr
Well-Known Member
I just checked the website and my traditional pension shows a cash payout. My monthly amount of peanuts was like $678 and the one time payout was something like 146,???.
UpstateNYUPSer(Ret)
Well-Known Member
Could you opt to take the one time payout and roll it over to a qualified retirement plan?
Doc Sorting Dude
Well-Known Member
I hear of so many people dipping into their 401k and for the stupidest things like a trip or buying a new car. In fact, one courier just bought a new house and withdrew funds to buy new furniture. The tax hit is just mind boggling.
UpstateNYUPSer(Ret)
Well-Known Member
You can't withdraw funds to buy new furniture.
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