Pfizer's Pension is 28% UNDERfunded

Total Assets $9,977,000,000
Total Liabilities $13,946,000,000
Funding Gap/Deficit -$3,969,000,000
Percent funded 72%

Total cost of King Acquisition was $3.6 billion and Wyeth was $68 billion. What gives on the lack of funding?

 

Typical corporate play; if we go BK these numbers will be wiped away in the restructuring; Lipitor may end up causing this to play out

 

Pull your pension out lump sum now if you can. They have the power to end the pension. Get it while you still can.

 

Although it may be underfunded, it is insured by PBGC. If Pfizer goes bankrupt tomorrow, you'll still get up to $4500/month at age 65 if you're vested. If you're 63+ right now and expect more per month, then you might get screwed out of any above $4500/mo this year.

Me, I've got 10 years in and will only get about $1500/mo. at age 65, if the pension ends or Pfizer goes bankrupt. Bush and the Repubs passed a law protecting much of your pensions a few years ago.

http://www.pbgc.gov/workers-retirees/benefits-information/content/page14090.html

Q. What is the maximum amount that PBGC can guarantee by law?

A. PBGC's maximum benefit guarantee is set each year under provisions of ERISA. The maximum guarantee applicable to a plan is fixed as of that plan’s termination date except for cases where termination occurs during a plan sponsor’s bankruptcy, in which case the maximum guarantee may be fixed as of the date the sponsor entered bankruptcy. An earlier date also may apply to certain airline industry plans. For 2009 and 2010, the maximum guaranteed amount is $4,500.00 per month ($54,000.00 per year) for workers who begin receiving payments from PBGC at age 65. The maximum guarantee is lower if you begin receiving payments from PBGC before age 65 or if your pension includes benefits for a survivor or other beneficiary. The maximum guarantee is higher if you are over age 65 when you begin receiving benefits from PBGC. A Web link at the end of this booklet will take you to a table that shows PBGC's maximum guarantee at various ages. For certain disability benefits, special rules apply (see the following question). Other guarantee limitations that may apply are described in the questions and answers that follow.

 

The government should not be bailing out anybody's pension funds. If Pfizer made the pledge in lieu of salary Pfizer should bring their payments up-to-date.

Problem is, the pension is probably 100% vested in Pfizer stock!

 

I agree no .gov bailouts but the PBGC is an insurer that requires premiums from the pensions. But like the FDIC it could be bankrupt itself and require bailouts or higher premiums from those solvent in advance.

Everything the government touches they screw up, tax us more and print more useless dollars to cover their asses.

Yes, Pfizer needs to fully fund it but I suspect it's in the dumps because they invested in risky equities.....like Pfizer stocks etc.. Recall that the DOW was at 14,000 a couple of years ago, now it's 1/3rd down.....hmmmmmm

Yet these clowns can cut a $2.3 billion check to Uncle Obama in a second?

 

Talk to your financial planner. I am willing to bet they will recommend a lump sum withdrawal. Roll it into an IRA and you control the tax when you withdraw.

 

If Pfizer lays you off before you reach your legacy magic number, you cannot take a lump sum. It is my opinion that this is why Pfizer seems to target many older reps.

 

wrong! W-L can take lump any time after 55YO.

 

Pfizer probably paid $2.7 billion to the government center for medicare services just to cover the donut hole gap shakedown from Obama for healthcare support.

 

Praise Jesus that Legacy Wyeth has this option while in the employ of this shit can called pfizer...

 

Here's the bad part of a pension. You could retire, take one payment, die, and then the payments stop, your family gets not another red cent.

Oh, and once the PBGC moves in, kiss your lump sum withdrawal good bye. They do not allow it.

 

This is why a lump sum is a good choice if available

 

What an idiot you are. You work for Pfizer, the ultimate screw-up organization, yet you say the government screws everything up. Government actually does much better that private industry but your mindless ideologies prevent you from seeing that. One easy example - Medicare admin expenses are 1.3% whereas admin expenses for private medical care runs between 20-30%.

So spare us your bitter, white Conservative braying. You obviously didn't notice in 2012 that the majority just don't buy it anymore.

 

A company can't just decide not to pay qualified/vested employees a pension. The company must be bankrupt before they can do that. Pfizer is far from bankrupt.

W-L does not have the option of a lump sum, although they can get early retiree payouts as early as 55.

 

Who is the bitter one I ask ? Note - Medicare does not really effectively "administer", they just process payments, and it does a poor job of catching fraud and abuse. Once the "affordable" care act kicks in - panels will ensure that care is rationed which will help reduce the spending gap. OK - as long as you are not the one being rationed.

Do you REALLY believe Medicare expenses are only 1.3% ? The dumbing down of the electorate has achieved critical mass.

 

For the W-L pension, and I believe Pfizer - you select the spouse option and while the payout is lower, the spouse gets 50% after the employee dies.

 

For the W-L pension, and I believe Pfizer - you select the spouse option and while the payout is lower, the spouse gets 50% after the employee dies.

 

Alas, when a pension plan is funded between 60 and 80% (that would cover the Pfizer plan's current level) you cannot withdraw the entire lump sum you are entitled to. You get the LESSER of: (1) 50% of your accrued benefit; or (2) The amount of your benefit guaranteed by the PGBC. This was defined in 2006 legislation.

It's despicable that Pfizer has 40 billion cash sitting in the bank but our pension plan is underfunded. It shows you what contempt leadership has for us.

 

oops-wrong again......W-L does have the lump payout.....where do we get these people....look it up!