Newbie Here.. Want more info on Pension plan

[david426]

Hello everyone. I'm a Newbie. Actually I have over twenty years with UPS. I heard about this site at work. I was interested in more (unbiased) information on our Teamster retirement/ Health & Welfare Fund. How many companies contribute to this fund today? How many companies used to participate? Does UPS really put in .60 cents to the Dollar? Just wanted more information that is accurate. Thanks... david

 

[wily_old_vet]

There are many plans throughout the country, the largest being Central States. You should receive a yearly ERISA statement from your plan which gives you basic info and tells you how to get more detailed info. However well or badly your plan is doing, max out your 401k contribution. Don't depend on others.

 

[abbear]

I am in the Western Conference pension. Several years ago our pension "fully funded" itself (meaning it has enough money to pay the benefits it is required to). The projected benefit was reduced and folks were hot. In retrospect, however, it was a good thing because now they don't make benefit projections based on the large gains the stack market had been making and the payments are more reality based.

We are not having the problems of the Central States pension.

And for those who wish that UPS held our pension solely remember Continental back in the 80's (lost all of their pension), United, Delta, and Northwest. What happened to their pensions was the result of them being single payer plans.

But with UPS once again trying to get its finger into the pie I have to agree: MAX OUT YOUR 401K.

 

[fivestarJ]

And for those who wish that UPS held our pension solely remember Continental back in the 80's (lost all of their pension), United, Delta, and Northwest. What happened to their pensions was the result of them being single payer plans.

Your comparing apples to oranges. UPS is not a passenger airline. UPS makes WAY more money than the passenger airlines being that it is a diversified company with many facets to its business. I don't agree with many things that the company does, but they should not be forced into a multi-employer plan.

 

[Tyrone Slothrop]

FWIW, the 401(k) plan is based entirely on the US stock market. If you have faith in it, go ahead. Not to sound too Libertarian, but I would look at gold, and think of going long on domestic oil as an investment. You may want to keep a large amount of money liquid. Consider Euros, or if you really want to go where the money is, put it in Dihrams, it should be safe there.
I really can't see the USA as a place to bet my future on at this point in time.

Good luck, any saving you can do is to your future benefit. Don't plan on any pension plan to take care of you.

 

[moreluck]

TS.....get it right.....It's "dirhams". Maybe you could go where that money is located too.....you'll be safe there!!

 

[Tyrone Slothrop]

Thanks moreluck,

Fast fingers and all...you are correct...so nice of you to point that out.

I don't plan on leaving at this point. I still believe in America, just not the people who've hijacked it. The only American commodity I would invest in is long on domestic oil. I don't have the stomach for defense stocks.

Do you have any financial advice for our young friend? Do you think 401(k)'s are a persons best investment, especially when they are not matched, as is the case for Teamsters, which is what the original poster said he was?

Do you have anything to actually offer to the thread? You know, like on topic? Grow up.

 

[abbear]

FWIW, the 401(k) plan is based entirely on the US stock market.

Actually, no it's not. While US stocks do make up the majority of the offerings there is a new foreign stock plan as well as bond and stable value funds.

 

[abbear]

Your comparing apples to oranges. UPS is not a passenger airline. UPS makes WAY more money than the passenger airlines being that it is a diversified company with many facets to its business. I don't agree with many things that the company does, but they should not be forced into a multi-employer plan.

I only used those because they came to mind. We can talk about the steel industry if you'd like or the problems with the auto companies as well. UPS is doing well right now but don't tell me they won't come after a pension plan they control when things get tight. Someone said trucking companies went down to 15 paying into the multi-employer plans and I agree that's bad. But I also believe that there are a lot of mergers and buy outs in that number which means that we really haven't decreased but rather shifted the responsibility to the resulting corporations just as has happened when UPS bought Overnight.

 

[Tyrone Slothrop]

Actually, no it's not. While US stocks do make up the majority of the offerings there is a new foreign stock plan as well as bond and stable value funds.

Abbear, I am retired, and have moved all of my 401(k) money out of the Teamster-UPS plan. I just tried to access the plan, and can no longer do that. Is the foreign stock plan based on foreign exchanges? Is the stable fund no longer based on US government bonds?

<O</OPoint being, since there is no match (for Teamsters), one may do better looking outside conventional 401(k) plans and invest in other venues, whether or not that investment has a tax deferred status. As always, due diligence is required.<O</O

 

[abbear]

Abbear, I am retired, and have moved all of my 401(k) money out of the Teamster-UPS plan. I just tried to access the plan, and can no longer do that. Is the foreign stock plan based on foreign exchanges? Is the stable fund no longer based on US government bonds?

Here is info on the foreign option:

"The EAFE (Europe, Australasia, and Far East) International Index Fund seeks to match the performance of the MSCI (Morgan Stanley Capital International) EAFE Index while providing daily liquidity. The MSCI EAFE Index consists of more than 1,100 stocks in developed countries outside of North and South America and represents approximately 60 percent of the total market capitalization in those countries. In order to facilitate daily liquidity, the Fund may hold up to 20 percent of its value in international equity index futures."

"The Stable Value Fund invests in contracts issued by major insurance companies and banks that agree to pay interest for designated periods of time and to repay the principal at the end of the contract period. The Stable Value Fund is intended to yield a competitive rate of return, while at the same time preserving principal."

There is a separate bond fund and you can now self manage outside the plan (for a fee) if you so desire.

I wish that UPS would match for hourly as they do for salary. But, still, for folks like me it is a good way to sock money away that I wouldn't otherwise.

 

[ups79]

any of you remember when the stable value fund was originally called the guaranteed fund? it was until one insurance group the massachuettes(sp) mutual(I believe)went belly-up. no-one understood how in the heck could the guaranteed fund lose money. if it says the stable value fund cannot lose principal, I believe that too is misleading.

 

[moreluck]

Ben Stein has always been a big fan of saving money. He has a new book out......
**************************************
Author and finance expert Ben Stein's new book, "How To Ruin Your Financial Life," is a tongue-in-cheek look at money and financial planning. In it, Stein lists 55 rules to help readers figure out what kind of financial shape they're in.

Stein tells The Early Show co-anchor Rene Syler, “People know that there are a million books, telling them how to get rich. My book tells you how to get poor and ruin your life. If you recognize yourself in it, you’re doing something wrong. Turn around and do the other thing.”
***************************************

I believe it's true that folks forget how to save $$ because HDV TV came out and then plasma TV came out (or vice-versa) and they have to have the newest, the best, the longest vacation, the most exotic restaurant experiences, etc. etc. I actually have a relative who is 62 yrs. old. and made the statement, " I should start saving for retirement pretty soon." DUH!!!! This person is a teacher........35 years. He should know better.
I think "saving" is the key. You must put aside $ for the proverbial rainy day.
So what if your car is 10 yrs. old as long as it still runs. You wear denim.....guess what? Denim has not gone out of style since old Levi invented jeans. The shirts/ blouses at Saks & Nordstrums don't last any longer than the shirts from Walmart.......AND you can wash the Walmart ones yourself instead of paying a dry cleaner. There are hundreds of ways to save.....just do it.

 

[moreluck]

Give this some thought.....

"This is going to stun you right now by telling you that when you leave the labor force, unless you have a rare and extremely good pension, you are going to need to have saved up about 12 to 16 times your living expenses for the last year you worked -- and preferably more."

 

[ups79]

just found it on my dec. 1992 401k statement. It was the mutual benefit life insurance company that went belly-up on there loan from our 401k plan. actually before the guaranteed fund became the stable value fund it was referred to as the fixed rate fund.

 

[Tyrone Slothrop]

Here is info on the foreign option:

"The EAFE (Europe, Australasia, and Far East) International Index Fund seeks to match the performance of the MSCI (Morgan Stanley Capital International) EAFE Index while providing daily liquidity. The MSCI EAFE Index consists of more than 1,100 stocks in developed countries outside of North and South America and represents approximately 60 percent of the total market capitalization in those countries. In order to facilitate daily liquidity, the Fund may hold up to 20 percent of its value in international equity index futures."

It seems as though it is heavily invested in UK and Japanese stocks. still believe that one could do much better than a Teamster-UPS 401(k) by investing in gold and domestic oil futures. Confidence in the status quo, or lack thereof, should be a guiding factor. I have yet to see a financial advisor suggest putting money into a non-matched 401(k).

If you want an eye opening, do a little reseach on a Mr. Richard Rainwater. He seems to do quite well, investment wise.

As he said:
"I don't want the world to wake up one day and say, 'How come some doofus billionaire in Texas made all this money by being aware of this, and why didn't someone tell us?'"

Good luck in your investing, and don't pay too much mind to what is said at this, or any other website. Free advice is worth what you pay for it.

In the meantime, cash, gold, and long on domestic oil. I've made enough to last my lifetime, just working on the kids lifetimes now

 

[pkgdriver]

FWIW, the 401(k) plan is based entirely on the US stock market.

I got plenty of gold and commodities in my self managed part of the 401k. Euros and putting your money on the dollar falling are avaliable also.

 

[fivestarJ]

FWIW, the 401(k) plan is based entirely on the US stock market.

I got plenty of gold and commodities in my self managed part of the 401k. Euros and putting your money on the dollar falling are avaliable also.

I have a SMA account as well with various investments. How do you buy commodities?

 

[pkgdriver]

I have a SMA account as well with various investments. How do you buy commodities?


off the top of my head.. PCRDX,GLD(gold),VAW
Dont know about Pork Bellies but you can get into commodities somewhat by these funds/etf's. There are others also.