Ex Warner Lambert/Reports of Lump Sum Pension

Sorry you were let go after 20 years in your 40's. I am sure that was rough as my friend at another pharma company at age 46 just went thru the same deal. Pensions, severance, etc. always gets taxed it is just the largest payments get taxed the most. I would talk with a certified financial planner. However, most advise take the lump so it has a longer span to grow.

 

I'm trying to figure out my lump sum using the pensionbenefits.com calculator. I found my old severance paperwork and see I have 2 numbers...if I start collecting at 55 I get around $820, if I start collecting at 65 I get around $1200/month. Anyone have an idea of how to calculate the lump sum with having 2 numbers?
Not sure what to put in for the determination date and the benefit date (was thinking July 15 for both dates...not sure if that is right). The number I am getting is much higher than I expected. I'm 41 if it matters.

 

Can't roll it into a Roth. However, you can roll it into a tIRA or another 401K (if your plan allows for roll ins) and later do conversions to Roth.

 

If you're ex-Warner-Lambert, you are 100% vested at 62, not 65.

Go to Fidelity and do the pension estimators; should be the same monthly dollars.

 

I'm confused. The pension calculator says nothing about "fully vested at 62 or 65 or whatever" (I'm WL legacy). It says I can start re diving $x when I retire, from age 55 on. I fear that I might have missed something important in the fine print? Better talk to the pros.

 

Use the pension estimators. You can start collecting at 55 w/10 years, but it begins at 60%.

Adds a % every year until you hit 62. If you wait until your're over 65, payout increases.

 

Quote above is right

 

1) Sorry, did I read that right, that Wyeth legacy people are also being offered lump sums before age 55 in lieu of the monthly payment? I moved out of the country in 2010, so I'm not surprised I didn't receive any correspondence about it.

I was severed with the merger in 2009 and have one year to go until I'm 55. There's no way I'm going to let that money sit there in hopes that it's still around 10 or more years from now, so I was going to take the lump sum next year anyway. I'd just as soon get it now as wait a year, as I'm going to have to deal with tax issues/penalties anyway.

2) Either way, what's the contact number regarding pension information? Everything in my severance folder is out-of-date/no longer operating.

3) Also, I read another thread about people having trouble actually getting there money. Any one have any experience with this?

Thank you.

 

SB *their* money. My bad.

 

My situation: Curr age-59 worked for WL for 18.5 years worked at ages 22 - 41 sales rep

Option 1: $132,910
Option 2: same
Option 3:$106,328
Option 4: $810.11
Option 5: $852.29

My numbers seem ridiculously low, am I too assume leaving WL at a young age of 41 hurt my pension payout? I see people with less years empliyment than I getting 3x higher payouts.

Can someone help me with an answer why my payouts are so low?

 

A lot of people lie on these boards about the pension, payments, etc. One needs approximately 30 plus years as a rep to get approximately $70,000 not a lot considering federal pensions and state pensions in some states. Hope that helps; you do not have that much time in.

 

Your numbers are in line with mine, our lump sum payouts are based on the Option 5 number (pension) + age. So yes, because you left WL early, you didn't build up a big pension. If you had a bigger Option 5 number (more years of service, higher salary when employed at WL), then the lump sum offer would be higher.

 

Thanks for answering my question....decided yesterday not to take the lump sum....estimated my longevity and it didn't make sense to take it in one lump payment, fortunately I have another pension from current job. What did you take?

 

I took Option #5 (the pension). I talked to 3 folks who also took Option #5. I don't know anyone who took Option #1. For me, it also came down to longevity and the fact that the offer I received, was OK. It wasn't a great offer from Pfizer.

Poster #32

 

Thanks again for responding.....you were in the same boat as I....with this week's market adjustment or correction or whatever bullshit they call it, I'm now very happy with my choice. At least our monthly payout is locked in.

 

Annuity sounds good up front but just remember it will never increase. Think about that 20 years from now......

I'm cashing out and rolling it into my 401K.

 

What was the number to call. I misplaced my latter

 

Not sure what the number was but you had to make your decision by August 21st.

 

Is someone able to give me a phone number to call regarding this? I worked for WL for 17 years in Halifax Nova Scotia until they closed the facility. I am 62 now and need to contact someone regarding my pension since I have never gotten anything from them.

 

Always take lump sum