Oldfart
Well-Known Member
You leave the money in the Portable. Doesn't have to be moved and you get 4% risk free. It has gotten 4% from day 1. You won't get rich on 4% but when you retire, 4% risk free is very inviting.If it's in the plan you aren't touching the principle or the interest. Take the principle out of the plan and you have to put it at risk to get 4% these days, and will still have it tied up and not getting access to the $300k. But it's a moot point because for much of your FedEx career the percentage deposited annually won't build up much principle. You really have to move up to senior manager level or above and work a long time to have anything. The portable will never pay what the traditional did which is exactly why they went to it. And you don't have the option to leave with a pension at 55. The company really doesn't want a lot of topped out employees anyways and is counting on worn out 15 year couriers eyeing that portable pension lump sum and deciding to take it and go do something else. Person may start at 22, but will have to work until at least 67 and hope SS is still there and have to save religiously in their 401k which means no long weekends going to NASCAR and football games. If they spend their income having a life they'll have a very poor retirement. And don't tell me otherwise because you have a full traditional pension and they won't.