I worked 6.5 years PT. When I retire as a FT pkg car driver. How will my PT years be counted towards retirement? And what will they be worth?
The UPS Pension Plan for part timers is a separate company run trust, it only pays for the time you have vested in that plan. You have 7 years in the monetary benefit for those part time years depends on when you left the plan, so do simple math 7/30 percent of what the plan was maxing out at the time. Let us say in order to keep it simple you left the plan when it was paying 1,600 with 30 years in, your seven years will add up to roughly 400 dollars at age 65. You then add that to your full time years and get a final retirement figure.
That 400 dollars under the UPS Pension Plan is reduced 6 percent for every year prior to age 65, so if you decide to retire at age 55 that monetary benefit will be cut by 60 percent to again roughly 150 dollars.
Your monetary benefits under both plans will be reduced 6 percent accordingly unless you reach a stated service level. Contrary to popular belief those part time years will never bypass that 6 percent penalty no matter how many years you work under the IBT/UPS as a full timer. It will be basically dog biscuit money when you decide to leave.