UPS Pension Plan Rolled Into IRA!? HELP making no sense

[bjbrown]

Very confused! basically I worked as a full-time driver for 15 years between 2007-2022. I'm vested and credited with 14.7yrs service (which should be over 15 but that's another issue) anyway here I am 2 yrs after being fired and I get this letter in the mail saying my UPS pension plan has been rolled over into this IRA at inspira financial. The amount is only $3500 !? What is going on? I was under the impression I would be receiving a monthly pension of atleast $500 a month after I turn the appropriate age (I can't remember what under 15yrs service monthly pension amount was but $3500? That's like $275 a month for 1 year and how can they just roll it over into IRA without contacting me and literally 2 years after leaving UPS! Help plz

 

[DELACROIX]

Do you have any part time years ?…What’s your local ?…

 

[Well-Known Member]

Very confused! basically I worked as a full-time driver for 15 years between 2007-2022. I'm vested and credited with 14.7yrs service (which should be over 15 but that's another issue) anyway here I am 2 yrs after being fired and I get this letter in the mail saying my UPS pension plan has been rolled over into this IRA at inspira financial. The amount is only $3500 !? What is going on? I was under the impression I would be receiving a monthly pension of atleast $500 a month after I turn the appropriate age (I can't remember what under 15yrs service monthly pension amount was but $3500? That's like $275 a month for 1 year and how can they just roll it over into IRA without contacting me and literally 2 years after leaving UPS! Help plz

If you're owed less than $1000/mo at normal retirement age and no longer employed, and ineligible to draw an early pension now, UPS has the option to pay you off now and not wait until you are at normal retirement age.

The $3500 is the present value of your 15 year pension. Invest it now and it will be more than $3500 when you turn 65.

 

[Brownwind]

If you're owed less than $1000/mo at normal retirement age and no longer employed, and ineligible to draw an early pension now, UPS has the option to pay you off now and not wait until you are at normal retirement age.

The $3500 is the present value of your 15 year pension. Invest it now and it will be more than $3500 when you turn 65.


View attachment 505900

Yikes.

 

[burrheadd]

Very confused! basically I worked as a full-time driver for 15 years between 2007-2022. I'm vested and credited with 14.7yrs service (which should be over 15 but that's another issue) anyway here I am 2 yrs after being fired and I get this letter in the mail saying my UPS pension plan has been rolled over into this IRA at inspira financial. The amount is only $3500 !? What is going on? I was under the impression I would be receiving a monthly pension of atleast $500 a month after I turn the appropriate age (I can't remember what under 15yrs service monthly pension amount was but $3500? That's like $275 a month for 1 year and how can they just roll it over into IRA without contacting me and literally 2 years after leaving UPS! Help plz

Why’d you get fired
Must be a real friend-up

 

[Jones]

If you're owed less than $1000/mo at normal retirement age and no longer employed, and ineligible to draw an early pension now, UPS has the option to pay you off now and not wait until you are at normal retirement age.

The $3500 is the present value of your 15 year pension. Invest it now and it will be more than $3500 when you turn 65.


View attachment 505900

That's pretty messed up. In my local he would be vested (at 5 years) and draw his full accrued pension at age 60.

 

[542thruNthru]

If you're owed less than $1000/mo at normal retirement age and no longer employed, and ineligible to draw an early pension now, UPS has the option to pay you off now and not wait until you are at normal retirement age.

The $3500 is the present value of your 15 year pension. Invest it now and it will be more than $3500 when you turn 65.


View attachment 505900

What supplemental language or pension is this?

 

[Well-Known Member]

What supplemental language or pension is this?

The UPS/IBT pension.

 

[Well-Known Member]

That's pretty messed up. In my local he would be vested (at 5 years) and draw his full accrued pension at age 60.

Yep. The UPS/IBT Pension is about the worst in the Company. We didn't steal enough from the West.

 

[Wally]

Very confused! basically I worked as a full-time driver for 15 years between 2007-2022. I'm vested and credited with 14.7yrs service (which should be over 15 but that's another issue) anyway here I am 2 yrs after being fired and I get this letter in the mail saying my UPS pension plan has been rolled over into this IRA at inspira financial. The amount is only $3500 !? What is going on? I was under the impression I would be receiving a monthly pension of atleast $500 a month after I turn the appropriate age (I can't remember what under 15yrs service monthly pension amount was but $3500? That's like $275 a month for 1 year and how can they just roll it over into IRA without contacting me and literally 2 years after leaving UPS! Help plz

 

[DELACROIX]

Yep. The UPS/IBT Pension is about the worst in the Company. We didn't steal enough from the West.

I’ve been saying that for years…but did anyone listen !

 

[542thruNthru]

Yep. The UPS/IBT Pension is about the worst in the Company. We didn't steal enough from the West.

 

[oldngray]

View attachment 506442

Nobody stole anything from you. You are overflowing with generosity. And willing to keep on giving.

 

[bottomups]

Yep. The UPS/IBT Pension is about the worst in the Company. We didn't steal enough from the West.

No worries. If the fund fails the taxpayers can bail you out also.

 

[Just A UPS Guy]

We didn't steal enough from the West.

You mother...

 

[Just A UPS Guy]

Nobody stole anything from you. You are overflowing with generosity. And willing to keep on giving.

 

[Brownwind]

It serves as a reminder to plan ahead when you are able things change and you pretty much have to cover yourself when you retire.

 

[Wally]

What supplemental language or pension is this?

 

[oldngray]

View attachment 506467

 

[Been In Brown Too Long]

Very confused! basically I worked as a full-time driver for 15 years between 2007-2022. I'm vested and credited with 14.7yrs service (which should be over 15 but that's another issue) anyway here I am 2 yrs after being fired and I get this letter in the mail saying my UPS pension plan has been rolled over into this IRA at inspira financial. The amount is only $3500 !? What is going on? I was under the impression I would be receiving a monthly pension of atleast $500 a month after I turn the appropriate age (I can't remember what under 15yrs service monthly pension amount was but $3500? That's like $275 a month for 1 year and how can they just roll it over into IRA without contacting me and literally 2 years after leaving UPS! Help plz

Kind of pays to not get sh#t canned, huh? I retired in 2018 with 32yrs. in. The amount they quoted me as the value of my pension was $207k. Coming up on 7yrs retired now in a few months, I'm into them for more than twice that amount already. This is in the Western Conference.

As to the low amount, a pension is worth far more if you complete the term vs. getting out early, as my numbers above show. $3500 does sound low though. Not only that, since you "left" early, you would have had to wait until full retirement age of 65 to collect penny one. I did the full requirements to retire and was able to do so at 49 years old.

They rolled it into an IRA on your behalf so that you don't get hit with the 10% penalty and income taxes on that $3500. You're free to move it to an IRA of your choosing, or just withdraw the money and pay the penalty and taxes.