Retirement information meeting

vantexan

Well-Known Member
Ok. That clears things up a little better. Meaning if you are not totally oblivious you read the info provided and start the process 90 days out. It's been discussed much already. But the scenario of looking over your PPA options as a annuity roll over that amounts to peanuts. Or a lump sum that amounts to 1 to 1.5 years of pay. :butt: And as said before, even if you use the estimate calculator, it is based on 45 hrs a week.
They're putting the onus on employees to fund their 401k's as much as possible. The only way this pension works is to start young, work to at least full Social Security age if not 70, and move up into better paying positions. Finish as at least a senior manager, stuff your 401k to the max, hope you don't live to 100.
 

MAKAVELI

Well-Known Member
Wrong, Dave.
I pulled trailers to and from 2 different airports around Houston, and UPS subcontracts to another company to load/unload cargo on their planes. UPS airport management watches them closely, but they are not UPS employees.
Regardless who loads UPS planes, they are employees to one corporation, who are verified through the TSA and FAA to load those planes. Having many thousands of ground contractors employ their own to pick up and load Express freight is just not going to happen.
 

bacha29

Well-Known Member
Getting back to the pension issue. The buyout offer I read in the annual report . Mid level managers were offered a buyout equal to two and a half years of salary. When you come to think of it if it is in a lump sum and cannot be rolled into a tax deferred retirement plan then it's all ordinary income tax in the year it was received at the prevailing rate. Mighty fine buyout. Remember it's one of the 10 best companies to work for.
 

STFXG

Well-Known Member
Regardless who loads UPS planes, they are employees to one corporation, who are verified through the TSA and FAA to load those planes. Having many thousands of ground contractors employ their own to pick up and load Express freight is just not going to happen.
That's not very difficult to accomplish. Ground contractors are all corporations. Getting SIDA badges wouldn't be very hard.
 

Serf

Well-Known Member
They're putting the onus on employees to fund their 401k's as much as possible. The only way this pension works is to start young, work to at least full Social Security age if not 70, and move up into better paying positions. Finish as at least a senior manager, stuff your 401k to the max, hope you don't live to 100.
Basically. Read between the lines. "Hey it's great if you started as a Handler at 21 and worked until you were 66 and retired as a Senior."
 

MrFedEx

Engorged Member
Getting back to the pension issue. The buyout offer I read in the annual report . Mid level managers were offered a buyout equal to two and a half years of salary. When you come to think of it if it is in a lump sum and cannot be rolled into a tax deferred retirement plan then it's all ordinary income tax in the year it was received at the prevailing rate. Mighty fine buyout. Remember it's one of the 10 best companies to work for.

Keep in mind that a 25 year FedEx employee who had the Traditional Plan for their whole career would get less than half of a UPS pension. An ops manager I know with over 20 years and making 120k is going to get just over $3,000 per month.

Our current PPA plan is a total joke.
 

Operational needs

Virescit Vulnere Virtus
Keep in mind that a 25 year FedEx employee who had the Traditional Plan for their whole career would get less than half of a UPS pension. An ops manager I know with over 20 years and making 120k is going to get just over $3,000 per month.

Our current PPA plan is a total joke.
UPS guys in my area get a little over $5,000 a month.
 

Operational needs

Virescit Vulnere Virtus
Keep in mind that a 25 year FedEx employee who had the Traditional Plan for their whole career would get less than half of a UPS pension. An ops manager I know with over 20 years and making 120k is going to get just over $3,000 per month.

Our current PPA plan is a total joke.
Maybe you know the answer to something my coworkers and I were debating. I know the way it used to be, FedEx would take your highest five year's salary to base your monthly TP amount on. A coworker said it was changed to the MOST RECENT five years earnings. Do you know which it is?
 

vantexan

Well-Known Member
Maybe you know the answer to something my coworkers and I were debating. I know the way it used to be, FedEx would take your highest five year's salary to base your monthly TP amount on. A coworker said it was changed to the MOST RECENT five years earnings. Do you know which it is?
On the TP it was the five highest paid years before the pension was terminated in 2008, averaged together, then 2% of that times the number of years worked at least 1000 hrs, up to a maximum 25 years. Thus the most you can get is 50% of highest annual average, taken at full retirement age which is 60. You can take it earlier, but each year you do is a 3% reduction, with 55 being the earliest age and 15% less. Can anyone tell I really, really wanted to make sure I could escape this place as soon as possible?
 

olroadbeech

Happy Verified UPSer
My district is having one as well on the 20th I believe. Although I care greatly about retiring, I'm not sure what they'll have to share will be anything I haven't already heard.

Also, it's about a 50 minute drive for me on a Saturday, so guess who has two thumbs and isn't going?
Can't you call them to find out what it is about?

tell them you can't attend due to whatever and ask them to send you the info. they would probably be happy to do so. :glare:
 

MrFedEx

Engorged Member
They're putting the onus on employees to fund their 401k's as much as possible. The only way this pension works is to start young, work to at least full Social Security age if not 70, and move up into better paying positions. Finish as at least a senior manager, stuff your 401k to the max, hope you don't live to 100.

Correct. This is their agenda, which is to essentially have employees fund their own retirement. Once us oldsters retire, there aren't going to be very many people working for FedEx beyond 3-4 years anyway, making this whole deal basically academic.
 

McFeely

Huge Member
Can't you call them to find out what it is about?

tell them you can't attend due to whatever and ask them to send you the info. they would probably be happy to do so. :glare:

I could, but like I said earlier I'm not all that interested. I've worked at a few places that have had financial planners and 401k people come in with books and pamphlets to keep. The biggest thing for me is to save as much as I can, as early in my career as I can. I've been putting into my 401k for over 20 years now and doing pretty well.

If anyone from my station goes, I'm hoping they'll learn something and maybe have something to share. For me, I'll be at work on that day.
 

vantexan

Well-Known Member
Shouldn't you be doing that anyway? I'm sure you, MrFedEx, are not relying on a pension from FedEx, or anywhere else, for retirement.
Exactly what should we rely on if our pay is being held down? Are you of the opinion that there should be no pensions, no Social Security? Companies should be able to use us for as little pay as possible and if we have no real savings or anything else at 65 then too damn bad? Because after all there are high paying jobs everywhere for everyone, right? We're just here to exist for the wealthy's benefit. Got it.
 

MrFedEx

Engorged Member
Shouldn't you be doing that anyway? I'm sure you, MrFedEx, are not relying on a pension from FedEx, or anywhere else, for retirement.

I have always done 15% in my 401k, and have a second career in real estate. My half of what UPS gets FedEx pension would be inadequate, so I've invested in rental properties and other financial avenues. My spouse has a good job, so I had the ability to save the maximum. I also topped-out in 2 years way back when, unlike today where a lot of couriers are making $17-$18 per hour, with terrible benefits that sap one's ability to save. They will "top out" in 10 steps, which means never.

Just how does someone making such low wages contribute the maximum to a 401k unless their partner makes up the difference?
 
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