Company pension
Former company who I have a pension is going to turn it over to an insurance company (yet to be determined). As I understand it since I am vested there will be no changes. However I don’t think it will be guaranteed by the pension guarantee (federal government) board but maybe guaranteed by the State system. Should I start to worry? Anything I can or should do?
Terry Says
Even if the company is turning over management of the pension to an insurance company, it still has a fiduciary responsibility to its employees. That only ends when the company is sold or goes out of business.
But the insurance company might calculate benefits differently. And this may be an opportunity to roll over the “present value” of your future pension into an IRA. Ask your HR department.
