Ask Terry Questions Pension termination

Pension termination

By Terry Savage on May 14, 2023 | Financial Planning / Retirement

Terry , I recently received a “notice of intent to terminate ” my pension plan. This plan was frozen in 2013. The proposed termination date is June 30 2023. Retires already receiving their pension are not affected. I am 60 years old and still working. Would you being willing to review information provided me or recommend someone to advise me on the options they are going to offer. I am trying to figure out what calculation they will use to determine lump sum they will offer me. In the fall2023 I will receive an a personalized statement of my pension. According to my letter , they will provide me a Benefit Distribution Election Kit in 2024 and i have 30 days to respond . I had over 24 years in this Employer when this pension plan was frozen. My tentative retirement plan was dependent on this monthly income. I called the help line they provided but could not get a direct answer. Thank you in advance for your help.

Terry Says

They won’t give you a direct answer or advice because they are not qualified to do that. You need a sophisticated financial planner with software to evaluate the offer. I think this is the perfect time to get one of those — a FEE-ONLY Fiduciary planner who is on your side, not trying to sell you something.
I urge you to read this article on my website to make sure you get matched with the right person. If you have any questions, please write back.

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