Pension Plan

Discussion in 'Pfizer' started by Anonymous, Jul 31, 2014 at 12:49 PM.

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  1. Anonymous

    Anonymous Guest

    Finally an option to take my pension in a lump sum!! I have been waiting for this since I was "terminated" : )
     

  2. Anonymous

    Anonymous Guest

    I'm sure it was always there-you just didn't know it. It's not something that is normally added on post termination.
     
  3. Anonymous

    Anonymous Guest

    Are you legacy Pfizer, or Warner Lambert? I believe Warner Lambert was the only option that did not offer a lump sum payout
     
  4. Anonymous

    Anonymous Guest

    What were the rules in your case ? Was it turning 55 or something else ?
     
  5. Anonymous

    Anonymous Guest

    Pretty excited here! Any guesses at what percent they are going to offer these lump sums???
     
  6. Anonymous

    Anonymous Guest

    Lump sum may be a good deal if

    1. You are in poor health and expect to die young

    2. You have substantial other investments that will generate reliable income

    3. You invest or purchase an annuity with every cent of the lump sum

    4. You do not divert any of the lump sum for immediate use e.g. second home

    5. You are comfortable assuming the risk that you will run out of lump sum money before you die

    6. You are a knowledgeable investor, and will adhere to your strategy

    7. You expect to leave money to your inheritors

    If several of these situations apply to you, good luck. If not, fully understand that lump sum distributions favor the company and not you.
     
  7. Anonymous

    Anonymous Guest

    This is nonsense. How does one know when they're going to die? I retired 4 1/2 years ago, looked at annuities, it would have meant putting my lump sum, in a product that wasn't retrievable should I decide I wanted to use it for something else. I interviewed 8 independent investors and for starters declined the one PFE tries to get you to use which is probably the one you work for.

    In those 4 1/2 years, I've: 1) drawn more than I ever would have in ANY annuity 2) still have almost exactly (down a hair today) what I started with and 3)can become more aggressive or less aggressive as the economy and interest rates change (ie, more bonds, buy higher return rate MLPs, change my bond equity ratio) etc.

    \Why give my retirement away to some company selling annuities? I can leave it to my kids - or not. It's my call. None of this is true with annuities.
     
  8. Anonymous

    Anonymous Guest

    I wonder how much pension is accumulated with about 6 yrs of service as a phr?
     
  9. Anonymous

    Anonymous Guest

    Is this an option for Legacy Warner Lambert? Did you get a notice via mail?
     
  10. Anonymous

    Anonymous Guest

    Generally speaking, if you expect to live longer than average, i.e if you are in good health, and have long lived family, stay withe the pension. If you are less than healthy, i.e. type 2 diabetes, obese, smoker, etc. then the lump sum might be better.
     
  11. Anonymous

    Anonymous Guest

    Agree 100%. I did the same-got a good financial advisor to handle my money and have experienced the same situation as you. I know a lot of former Wyeth people who retired and every single one of them took the lump. To do otherwise is foolish in most cases. If you get $1,000,000 invest conservatively (5%), you will get $50,000/year. Your company annuity is less than that so where is the downside. Just don't get stupid with your money and you will be ahead of the game.
     
  12. Anonymous

    Anonymous Guest

    Under what conditions can a Legacy Pfizer employee take the lump sum? I thought they got rid of that option? Can you only take the lump if you are terminated?
     
  13. Anonymous

    Anonymous Guest

    What about Pharmacia reps?
     
  14. Anonymous

    Anonymous Guest

    For all the morons who want to jump on a lump sum distribution: Please help Pfizer de-risk the plans and by all means, take your lump sums before RP-2014 kicks in.

    If you act now, you will make the plans more secure for the rest of us. Please pull the plug NOW!
     
  15. Anonymous

    Anonymous Guest

    I had exactly that ($1 million) and got a good adviser and have pulled $60K each year and still have what I started with. Add to that the $30K Social Security and I'm doing just fine. I'm in some high return MLPs though but 550% bonds so my risk is nil and using 10% stops under every stock.
     
  16. Anonymous

    Anonymous Guest

    I wouldn't put money into an annuity myself, but there is a role for some level of guaranteed income. The scary thing you allude to is "spending the money on something else" If that something else is a Z06 Corvette Stingray, you are nuts.
     
  17. Anonymous

    Anonymous Guest

    I'm not the person you replied to, but you have pulled 60K during several years of great stock market performance, and the value of your 1 mil will erode due to inflation. No one recommends an average annual withdrawal of 6% - and when the market tanks/stalls, your 60K will be significantly reduced. Things will not be so pretty then. Much better to go for a lower average withdrawal - at least one that protects you from inflation. Today's low inflation rates will not last
     
  18. Anonymous

    Anonymous Guest

    You are such an clown. You take the annuity (if it's there). I'll take my lump and run. When they stop funding and the government takes it over and reduces your payout (especially if you are less than 65) you will see what a schmuck you are. Go ahead and trust Pfizer, after all-they care deeply about you.
     
  19. Anonymous

    Anonymous Guest

    He's not in a lot of stocks-it's invested conservatively. If he had a stock dominant portfolio he would have been pulling in much more than 6% (probably more like 12-15%). He's conservative so he doesn't take a bath in a downturn. Thats why you get a good financial advisor for guidance-not an insurance guy to sell you an annuity.
     
  20. Anonymous

    Anonymous Guest

    Exactly ! And speaking of the ravages of inflation, what about the return on an annuity? Inflation in cost of living cuts a swath across everything. Insurance salesmen make about an 8% commission when they sell an annuity. I'll pocket that myself thank you!