How did you take your retirement payout?

Shiftless

Well-Known Member
Seeing threads of how much a month a retiree takes in per month from his retirement plan doesn't tell the whole story.

Sure be nice to see the whole picture of what plans are/were available by region and or conference, but as you notice below, plans are different even with in region and conferences.

Obviously I don't know all the plans and what is offered. I know in the Western Conference it is different within the plan. Some locals get Teamster insurance and some get to stay on the UPS plan a RPCD gets. Altho the UPS plan when you turn 65 becomes your secondary to Medicare if you choose to do so.

In the Western Conference monthly pay outs to retiree's per month can vary by selection of disbursement at time of retirement in the region I retired from. As an example: I was able to choose from if I remember correctly 4 option's??? The option I chose was a step down initially per month to allow my Spouse to keep receiving my (our, she was there with me the whole time) pension. In that option included a small step down at age 62 when I was eligible for SS whether I took it or not. Having retired at age 49 The money which is important was not my goal as I needed to know I had health insurance available to me till I at least hit Medicare. At 49 and even today, I am Happy with my decision and financial situation.

How did you take your retirement?

Healthcare from Union source or still provided by UPS?
Took the full amount offered without any pass along to a spouse upon retiree's death.
Spouse step down wasn't offered.
Took the step down for the wife.
Other options?
Pay my own quarterly's Y/N?

As a side note: My buddy who is a retired USPS employee was able to add a wife and then when they divorced buy her time back and retain his higher monthly take home! Obviously you have to run the numbers to do this to see if it pans out. In his case he has lived longer than the the buy back and it was a good decision financially.
 

Been In Brown Too Long

Ex-Package Donkey
I'm in NorCal of the Western. There were 18 different options. 9 covering if you took an early death benefit lump sum in the event of retiree's death within the first 4 years of retirement, and the same 9 without a lump sum early death benefit. The lump sum death benefit within the first 4 years is kind of a temporary life insurance policy and reduces your monthly payout. Mine was $50k. I declined that option, so that left the 9 without the lump sum.

I took the "stepdown" if that's what you're calling it. On my paperwork it's called spouse benefits. The stepdown, called a "benefit adjustment option" in my paperwork, is an option to take more money monthly now, and have your monthly pension reduced at either 62 or 65. I opted for the benefit adjustment at 65. I retired at 49 and figured get as much now as possible and I can't touch my 401k until 59 1/2, or collect SS until 62. It's a reduction of $300/mo and I figure I'll take SS at 62 that'll cover that reduction, and have my 401k as play money. Spousal benefits go away if my spouse should pass before myself, and monthly pension payments revert to the level had I not opted for a spousal benefit. If I pass first, obviously the spousal benefit kicks in.

Healthcare is through the union, but more specifically through the local. We opted many years ago to have $0.41/hr taken off our hourly wage diverted towards retiree medical coverage.It was up to $0.89/hr by the time I retired. So now I pay $0/mo towards health/dental/vision/prescriptions. I calculated that I had diverted around $25k towards this over the years. My wife had a surgery in my first year of retirement, bill $36k. The diversion was worth every penny, as that was 100% covered and I paid a $15 co-pay. And I'm still not paying a dime towards coverage for the rest of my life. Once Medi-Care kicks in at 65, the local union coverage will still pay for various parts of extended Medi-care. Don't ask me which ones, I'm only 54 and haven't looked that deep into it yet.

I have taxes deducted from the monthly pension payments.
 

Shiftless

Well-Known Member
Lot more options!

When I retired the UPS HR girl goes "why are so many drivers retiring all of a sudden?"
Told her it has a lot to do with the 48 state expansion in the early in circa 1975.
 

burrheadd

KING Of GIFS
I'm in NorCal of the Western. There were 18 different options. 9 covering if you took an early death benefit lump sum in the event of retiree's death within the first 4 years of retirement, and the same 9 without a lump sum early death benefit. The lump sum death benefit within the first 4 years is kind of a temporary life insurance policy and reduces your monthly payout. Mine was $50k. I declined that option, so that left the 9 without the lump sum.

I took the "stepdown" if that's what you're calling it. On my paperwork it's called spouse benefits. The stepdown, called a "benefit adjustment option" in my paperwork, is an option to take more money monthly now, and have your monthly pension reduced at either 62 or 65. I opted for the benefit adjustment at 65. I retired at 49 and figured get as much now as possible and I can't touch my 401k until 59 1/2, or collect SS until 62. It's a reduction of $300/mo and I figure I'll take SS at 62 that'll cover that reduction, and have my 401k as play money. Spousal benefits go away if my spouse should pass before myself, and monthly pension payments revert to the level had I not opted for a spousal benefit. If I pass first, obviously the spousal benefit kicks in.

Healthcare is through the union, but more specifically through the local. We opted many years ago to have $0.41/hr taken off our hourly wage diverted towards retiree medical coverage.It was up to $0.89/hr by the time I retired. So now I pay $0/mo towards health/dental/vision/prescriptions. I calculated that I had diverted around $25k towards this over the years. My wife had a surgery in my first year of retirement, bill $36k. The diversion was worth every penny, as that was 100% covered and I paid a $15 co-pay. And I'm still not paying a dime towards coverage for the rest of my life. Once Medi-Care kicks in at 65, the local union coverage will still pay for various parts of extended Medi-care. Don't ask me which ones, I'm only 54 and haven't looked that deep into it yet.

I have taxes deducted from the monthly pension payments.

I suggested something like this in my local many years ago
Never got any traction
 

Jones

fILE A GRIEVE!
Staff member
Our HC plan is the same one we had when I was working, only difference is that now I pay a pretty stiff premium. Had a few different options for how to take the pension, No survivorship, 50%, 75%, or 100%. Could also take a High/Low split where you get a higher amount for the first 5 years and then it drops down which didn't make sense for my situation but I can see where it would for some folks. I took the 50% survivor option with no split.
 

rod

Retired 22 years
Neither UPS or the Teamsters give a crap about how you arrange your retirement. It seems like everyone who is retiring gets treated like they are the first ones to do so. Its almost impossible to get a straight answer out of anyone. When my wife was about ready to retire from her State job the State held an all day class on "retiring". It was a paid day and the instructors explained all their options and helped them fill out all necessary forums. Too bad retiring from UPS isn't that seamless.
 
Neither UPS or the Teamsters give a crap about how you arrange your retirement. It seems like everyone who is retiring gets treated like they are the first ones to do so. Its almost impossible to get a straight answer out of anyone. When my wife was about ready to retire from her State job the State held an all day class on "retiring". It was a paid day and the instructors explained all their options and helped them fill out all necessary forums. Too bad retiring from UPS isn't that seamless.
I called the pension board about a month ago and asked them if I can get an estimate of my benefits.

They said you have to write a letter requesting that

That makes no sense
 

Mr. Marshall

Well-Known Member
Neither UPS or the Teamsters give a crap about how you arrange your retirement. It seems like everyone who is retiring gets treated like they are the first ones to do so. Its almost impossible to get a straight answer out of anyone. When my wife was about ready to retire from her State job the State held an all day class on "retiring". It was a paid day and the instructors explained all their options and helped them fill out all necessary forums. Too bad retiring from UPS isn't that seamless.
 

Johney

Well-Known Member
I had no problems what so ever. Took 75% spousal benefits which cost me $300 a month in payment but gained her an additional $800 a month in the event of my death. Life insurance was going to cost me over $500 a month for only a 20 year policy. Being only 57 I feared that I could outlive that. The kicker is if the wife were to pass before me it goes back to full benefit to me, but I had to get spousal benefits from the start.
I can’t remember exact numbers that she would get but to me it was worth it. I want her or myself to milk it for as long as possible.
 

rod

Retired 22 years
I had no problems what so ever. Took 75% spousal benefits which cost me $300 a month in payment but gained her an additional $800 a month in the event of my death. Life insurance was going to cost me over $500 a month for only a 20 year policy. Being only 57 I feared that I could outlive that. The kicker is if the wife were to pass before me it goes back to full benefit to me, but I had to get spousal benefits from the start.
I can’t remember exact numbers that she would get but to me it was worth it. I want her or myself to milk it for as long as possible.
$500 a month for life insurance? Damn--were you checking on a 10 million dollar policy? I was paying $600 a year for $250,000. When the policy matured, they did want to jack it up to about 10 times that so I let it expire. Between us owing NOTHIG to anybody other than a few monthly utilities--her SS, Her pension, our savings and a few other things she will be just fine without me.
 

Johney

Well-Known Member
$500 a month for life insurance? Damn--were you checking on a 10 million dollar policy? I was paying $600 a year for $250,000. When the policy matured, they did want to jack it up to about 10 times that so I let it expire. Between us owing NOTHIG to anybody other than a few monthly utilities--her SS, Her pension, our savings and a few other things she will be just fine without me.
No only $100,000. Over 55, high BP,elevated Triglycerides , slightly over the weight limit it wasn’t worth me risking it. We are doing fine with what I’m getting and in the event I would have outlived the policy this was a much better option.
 

bottomups

Bad Moon Risen'
$500 a month for life insurance? Damn--were you checking on a 10 million dollar policy? I was paying $600 a year for $250,000. When the policy matured, they did want to jack it up to about 10 times that so I let it expire. Between us owing NOTHIG to anybody other than a few monthly utilities--her SS, Her pension, our savings and a few other things she will be just fine without me.
Does she know where you buried the gold?
 
$500 a month for life insurance? Damn--were you checking on a 10 million dollar policy? I was paying $600 a year for $250,000. When the policy matured, they did want to jack it up to about 10 times that so I let it expire. Between us owing NOTHIG to anybody other than a few monthly utilities--her SS, Her pension, our savings and a few other things she will be just fine without me.
Don't tell her that..
 
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qdg2

Well-Known Member
Neither UPS or the Teamsters give a crap about how you arrange your retirement. It seems like everyone who is retiring gets treated like they are the first ones to do so. Its almost impossible to get a straight answer out of anyone. When my wife was about ready to retire from her State job the State held an all day class on "retiring". It was a paid day and the instructors explained all their options and helped them fill out all necessary forums. Too bad retiring from UPS isn't that seamless.
My Region/Local whatever want to call it, is administered by Atlanta. I couldn't ever get the calculator to work. Even trying to get that straightened out failed with a convoluted journey to nowhere. So, I just applied. Unfortunately, I made some sort of error on my application. A large amount of time went by and never heard anything. So, I e-mailed and got a stock form e-mail saying "we have 60-90 days...". Well 60 days went by and still nothing. So, I called. Got this woman saying "You made an error on your application and it's going to be rejected.." Me: "When were you going to tell me?". Me: "What do I need to do to fix it?". Her: "We don't normally allow that.....you have to reapply". Me: "WHAT?" Meaning another 60-90 days.
Well, after Lording her superior position over me....she "allowed" me to email the correction. Literally 3 days later I was retired.

Now, there has always been talk of $100 for every year after 35 and so on. The rumors are legend. With some folks getting close to $5k and so on. These increases being closely guarded secrets. We had a couple of folks retire at about the same time here locally. I asked a couple of what they were getting.....one said about what I was getting....one more. I had more years than both of them(full time)(my 7 extra years over 35 meant nothing). So you ask, did you inquire to the Ivory Tower? What would I ask? Should I be getting more? I did get what the contract said. Bob says he's getting more....? Remember, every email I sent was replied with a stock "we have received your inquiry"....

The woman at Atlanta said: "The chart says you get X. We don't recommend comparing what "others" say they are getting...".
Again, I never got to see the calculator or estimate. I got what was in the contract. Atlanta had my employment history down to the day. What theory did I have to argue?

About the Local's involvement, "We don't have anything to do with retirement...send all inquiries to Atlanta". Period.
 
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