Lump sum pensions?

Exactly. Pension amount will not decrease. It will be frozen and you will then have a cash balance plan that accumulates much slower. It is end of 2019 though, not 2020

 

Pitiful !!!!!

 

When does Legacy SP get a lump sum payout or will it always stay an annuity?

 

Do you mean take the annuity? I don't think that makes any sense. Take the lump sum if you're not stupid enough to spend it all and then hit the stock market or get a broker who can invest for you wisely..

 

I agree that the lump sum may be the best choice for many. I took the lump sum in Dec at age 57 with 17 years at Merck. Got around 460K, which, after careful consideration, we rolled into a no-load fund group with an emphasis on income and conservative preservation/moderate growth. Will move some into VA's to offset possible loss of value. Now, even if the wife and I both die early, there will be a nice chunk for the kids to blow.

While Merck pissed me off many times over the past 17+ years, I'm happy I stayed. Was able to accumulate about 1MM between pension & 401K. There is no way that would have happened at my previous employer.

And, I am happy I had the opportunity to "hand-raise" and take the package in December.

 

Congratulations to you and enjoy retirement. I was also able to recently leave and am thankfulfor decades of service (another large pharma company) put into the pharmaceutical sector. There were many rough times and I am truly blessed I made it to 62. I guess the $ amount depends upon where one lives to be totally understanding of the benefits. I do know I had a tremendous amount of stamina to put up with a lot of nonsense through the years and I am very glad the drama is totally over.

 

To poster 123 I think Legacy SP employees can not get a lump sum payout could recent legacy SP now still working for Merck respond?
Thanks

 

There are those who were over 55 and some over 60 who were cut a months away from eligibility for collecting their pension and bridge benefits. Denied their money in any form. No funds to live and no ability to buy into healthcare with even the lowest basic subsidy. Its hard to believe this is the same company lauded as having a culture of trust.

 

Pension earned prior to 2012-only annuity, post 2012-option to take lump sum or annuity. You can obtain estimate from benefits and decide what works best for you. You have option to take only annuity or annuity and post 2012 lump sum.

 

As a sales rep? Did you inflate your daily call level, too?
Some reps got stock options years ago, but never many.
And they didn't go to Average Joes.

Even with stock price increases, no rep made $200K--let alone "never less than $225K" including bonus and options exercised. Keep on dreamin'.

(But then, management misogynists have ways of rewarding their ilk....Winky, winky.)

 

Legacy Schering employees that are still at Merck on 10/1/2015 will have the lump sum pension option. Leave before then and annuity is the only option.

 

225k is absolutely correct for just salary and bonus doesn't include stock options. Specialty sales is where the money is generated not pc

 

Not true. I left in 2013, and planned to start collecting my monthly pension in the next month. I was contacted by benefits, and was told that if I wait until Oct. 1st I will have option to take lump sum or monthly payments. They were unable to provide lump sum estimate, but I requested new paperwork and as soon as calculations are available they will mail them to me. At this time you won't be able to go online and do your lump sum estimate, but after Oct. 1st that feature will be avaiilable on line.

 

Legacy SP. Raised my hand at 57 in 2011 after 13 years with the combined companies. Got my sweet severance. Then, I started looking into the pension (no lump sum option). The monthly increase is so small the more years that you wait. I calculated that if I took it at 65 versus at 61, it would take until I was 115 years old to get the same cumulative amount. Social Security is the same way with a break even point in your early 80's taking at 62 vs 66. Really? 115 years old to break even? I started my pension at 61 and am still working. I want every buck from Merck that I can get. Yeah, it's taxed, but I still get that check every month.

 

Just looked at my spreadsheet. I would have to be 91.33 years old to break even. If I took it at 61.5 instead of 61 it would take me to 119 years old for break even.....

 

If Merck is liquidated or gets sold off or pulled apart what happens to the pension? Could we lose pensions? Is lump sum better here?

 

Wise man say "bird in the hand is better than two in the bush" When you go take the dough, I did.

 

Legacy Schering employees here cannot see their true lump sump pension amount until they make that number available 9/1/2015. After 10/1/2015 Legacy Schering will have the option to take the lump sum and apparently that is whether you are with the company then or not. Whatever number you see now as a Legacy Schering employee is a mix of annuity and lump sum. September will be an eye opener.

 

Wiser man wonders if dough can invest and produce enough feed till lifetime end....

Even dumb ox knows pension can stretch till that very very end...