Early Retirement???

[brainwashed]

What is going on? Is the big BAD brown going to get rid of the retirement plan??? I believe so. Anyone heard anything? You can no longer figure out your pension when you retire, but you can with your 401K. Makes one wonder.

 

[ImpactedTSG]

Ummmmm, have you not been reading the forum lately? There are several threads about pension / 401k issues.

 

[bones]

Plenty of rumors, none have come true yet, I personally don't believe there will be a buy out as much as I would like one, more likely pension will be frozen as mentioned in total rewards survey and 401 match will increase. In the end I think whatever is done the company will be contributing less to our retirement no matter what method is used.

 

[Dfigtree]

Mike Eskew is on the IBM Board of Directors (syas a lot about IBM) and IBM has demolished their pension plan. How long until UPS does the same?

 

[browniehound]

Brainwashed, I posted earlier this week on the subject. I titled my post 401k vs pension. If you read the post then you know I think the pension fund will be phased out in the next 10-20 years.

In my opinion this may not be a bad thing as long as UPS can give us a match instead of a pension contribution. If your 21 years old and you contribute the max that the IRS allows( I believe it was 15,000 in 2006) for the next 30 years at 10% growth, you'll be very wealthy and will be able to retire more comfortably than under the UPS pension plan.

On the other hand, if you do this and the pension plan is still in existence when you retire, you will be able to afford your children a great education and a nice inheritence.

So plan for the worse and the best just might happen

 

[biggdonn]

I heard that ups is going to offer another early retirement package in 2009. Has anyone else heard anything about this? Also does anyone know anything about the early buyout options?

thanks for the help

 

[UpstateNYUPSer(Ret)]

I heard that ups is going to offer another early retirement package in 2009. Has anyone else heard anything about this? Also does anyone know anything about the early buyout options?

thanks for the help

Please forward the check to UpstateNYUPSer 214 Banker Rd Plattsburgh NY 12901. I promise to leave quietly and will turn in my uniforms before I do so.

 

[Catatonic]

I heard that ups is going to offer another early retirement package in 2009. Has anyone else heard anything about this? Also does anyone know anything about the early buyout options?

thanks for the help

Don't get your hopes up.
IMHO
Don't think it will happen.
Once the economy turns around (2 or 3 years) there will be a mass exodus of employees eligible for retirement.
Don't know if you noticed but UPS is real tight with money. UPS will just wait it out is my guess.

 

[Treegrower]

Brainwashed, I posted earlier this week on the subject. I titled my post 401k vs pension. If you read the post then you know I think the pension fund will be phased out in the next 10-20 years.

In my opinion this may not be a bad thing as long as UPS can give us a match instead of a pension contribution. If your 21 years old and you contribute the max that the IRS allows( I believe it was 15,000 in 2006) for the next 30 years at 10% growth, you'll be very wealthy and will be able to retire more comfortably than under the UPS pension plan.

On the other hand, if you do this and the pension plan is still in existence when you retire, you will be able to afford your children a great education and a nice inheritence.

So plan for the worse and the best just might happen

One of the problems with this is that, as we all have learned the very hard way, you can LOSE half of your pension overnight. Half of your total next egg could be gone in a blink of an eye.
True you could put in all in bonds and bond funds, ect. ect. but then you wont get anywhere near that mythical 10% return year after year.
I still believe in a good 401k plan. I wish our plan was better with more options ( specific funds and specific options). I also wish we had a ROTH 401k option.

 

[Big Babooba]

One of the problems with this is that, as we all have learned the very hard way, you can LOSE half of your pension overnight. Half of your total next egg could be gone in a blink of an eye.
True you could put in all in bonds and bond funds, ect. ect. but then you wont get anywhere near that mythical 10% return year after year.
I still believe in a good 401k plan. I wish our plan was better with more options ( specific funds and specific options). I also wish we had a ROTH 401k option.

I'm going to lose half my pension overnight - the day the judge signs my divorce decree. I've given up on my old retirement plans. Any rich woman out there who who wants to marry a divorced UPS man with a 27 lb cat?

 

[Treegrower]

... just an addendum to my post. I know we have a self manged account where I can pick specific funds and specific stocks, but the fees are high ( in my opinion). I have taled to many people whos plans just seem better than ours. Way more options and way more funds to choose from. You'd think that with a company the size of UPS we'd have a better plan.
Also doesn't the UPS Airline mechanics/machinists down in Louisville have a great 401k plan?? I don't think they get a traditional pension, but all the pension contributions are put into their 401k ? Anybody know about this or have details about that?[-][/-]

 

[Brown Frown]

One of the problems with this is that, as we all have learned the very hard way, you can LOSE half of your pension overnight. Half of your total next egg could be gone in a blink of an eye.
True you could put in all in bonds and bond funds, ect. ect. but then you wont get anywhere near that mythical 10% return year after year.
I still believe in a good 401k plan. I wish our plan was better with more options ( specific funds and specific options). I also wish we had a ROTH 401k option.

We do have a Roth 401k option.

 

[pretzel_man]

I heard that ups is going to offer another early retirement package in 2009. Has anyone else heard anything about this? Also does anyone know anything about the early buyout options?

thanks for the help

Nope. Exactly the opposite. District managers were told that the plan is for attrition to reduce the excess positions (management ones).

If an admin, TSG tech or specialist job is eliminated due to the district consolidations, those people would get a severence.

No buyout coming.

Wait two weeks and the rumor will start again.

P-Man

 

[seagull4]

Interesting. My source, District Manager level, contradicts what you are saying. The EBO will be 53 and over.
We will see.

 

[pretzel_man]

Interesting. My source, District Manager level, contradicts what you are saying. The EBO will be 53 and over.
We will see.

Sounds fair. I guess time will tell which source is correct.

P-Man

 

[sano]

Interesting. My source, District Manager level, contradicts what you are saying. The EBO will be 53 and over.
We will see.

Management or union?

 

[seagull4]

Management only

 

[satellitedriver]

I'm going to lose half my pension overnight - the day the judge signs my divorce decree. I've given up on my old retirement plans. Any rich woman out there who who wants to marry a divorced UPS man with a 27 lb cat?

Big,
Include that your cat can type.
Might get some action.

 

[tieguy]

guess I'll miss this plan too. I personally would love to have a potable retirement plan supplemented with a six percent match on the 401 K. But I don't think the buyout would be overly generous under todays conditions.

 

[Catatonic]

guess I'll miss this plan too. I personally would love to have a potable retirement plan supplemented with a six percent match on the 401 K. But I don't think the buyout would be overly generous under todays conditions.

I think a potable plan would go skunky before you could drink it all.

And any buyout offer would have to more generous in bad times because people need alternatives to work elsewhere. That is why I don't an ERO or SVSO will be offered. UPS will just wait it out and let attrition reduce the numbers.