ABBOTT PENSION RETIREMENT

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It's a real example. It's 100% match of up to 7% of salary for people who were eligible to stay in the previous ("old", annuity retirement) plan. It's 100% match of up to 9% for those under the new FutureChoice plan that began Jan 1, 2005.
 




Anonymous said:
Thank you Anonymous #10. And thank you Anonymous #6. We at Solvay know that the provisions of a possible Solvay retirement are likely to be different than for Abbott. We are working with our HR, but the process is slow, and so far even the basics of what the Abbott provisions are is not forthcoming. We only have some “hints”.

So, here again is a request for basic info if some kind soul would tell us:
1. Is full retirement calculated on the basis of age + yrs of service = 72?
2. At full retirement, how is monthly pension then calculated? [We heard 60% of average of last 3 yrs of base salary. That seems high.]
3. At less than full retirement (for example, 70 vs 72 (or whatever)), how is monthly pension then calculated?
4. What about medical benefits for retirees? For example, “standard Abbott med/dental plan with COBRA payment of 50% up to age 65, and then you’re on your own.”
Thanks to anyone who would help us. If it would help I will get an anonymous external email address and even a fax number.
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At Abbottit is according to the age you retire. 57 is the prime time. anything less than that age you take a real hit on pnsion benefits. The important thing is your 401K. If you have a good amount of money in your 401K plus your pension at 57, according to your last three years salary, actukllay make more money than working. I would not depend on teh pension under any circumstances.
 




Anonymous said:
At Abbottit is according to the age you retire. 57 is the prime time. anything less than that age you take a real hit on pnsion benefits. The important thing is your 401K. If you have a good amount of money in your 401K plus your pension at 57, according to your last three years salary, actukllay make more money than working. I would not depend on teh pension under any circumstances.
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Good point. The pension won't do it all by itself. But if you hang around, it can be very nice... mine will be about $45K/year... but then again, I have been here since the office was in Ravenwood. I am just sticking around until next year, when we are supposed to get stock grants... my DM says those will probably come in Sept, and she is normally right on the money with her info.
 




Anonymous said:
Good point. The pension won't do it all by itself. But if you hang around, it can be very nice... mine will be about $45K/year... but then again, I have been here since the office was in Ravenwood. I am just sticking around until next year, when we are supposed to get stock grants... my DM says those will probably come in Sept, and she is normally right on the money with her info.
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Haven't heard anything about the stock grants. Could you please elaborate. Thanks
 








Anonymous said:
On another thread is this:

" Is the retirement formula at abbott labs, for full retirement benefits, still...your age + your years of service = 72? Do you still get 60% of your salary on the average of your last 3 years of service ..... "

Can anyone verify the "72" as qualifying for full benefits? Can anyone verify the "60% of the av of last 3 yrs"?
Thanks
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60% not likely. That means if you have a average salary of $100,000 the last 3 years your pension will be $60,000. Full pension would probably be around $30,000. Everyone is different though.
 




If you retire before 62 many companies will offer a higher monthly payout until you turn 62 when your benefit will be reduced. Most reductions are egual to what you will receive from social security so the total benefit is the same as you received before you turned 62. Now this would be just one option available to employees thinking about retiring early.
 




Anonymous said:
If you retire before 62 many companies will offer a higher monthly payout until you turn 62 when your benefit will be reduced. Most reductions are egual to what you will receive from social security so the total benefit is the same as you received before you turned 62. Now this would be just one option available to employees thinking about retiring early.
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Can't remember the last time I saw a 62 year old Abbott rep running around with a bag, or a 75 yr. old rep with a short skirt on talking about synthroid...pension isn't all that big a deal unless you started with the company right out of college and managed to survive to the old age of 62. That's not much of a life. Lifer with this company is like a prison sentence with $$$
 




Anonymous said:
pension + 401K + medical insurance for retirees + annual profit sharing = best deal going. granted, there's always something to complain about, but the benefit plan is certainly not one of them.
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With all the talk about OEC terminations what happens to all the retirement plans if you are fully vested and then terminated after the trip to the GS?
 




3 years as a rep...received an estimate of my pension: if I retire after 20 years it was like 4k/month. If retire at 30 years it was 11k/month. Again, that's in current dollars and at the rep level. So, if you move up the company ladder then it should be more.
 




I was at abbott for 8 yrs and made approx 115,000 a yr for 8 yrs.
When i turn 65 my spouse and i will get 700.00 a month from abbott
until we die. if i die 1st , then my spouse will contine to get the 700 per month until their death. Agan, this is the abbott pension portion, Not my 401k, that is a seperate plan.
The abbott pension portion is 100% funded by abbott.
This is just 1 example, obviously the more years you put in with abbott the
more you will get at retiremnt.
 




Anonymous said:
I was at abbott for 8 yrs and made approx 115,000 a yr for 8 yrs.
When i turn 65 my spouse and i will get 700.00 a month from abbott
until we die. if i die 1st , then my spouse will contine to get the 700 per month until their death. Agan, this is the abbott pension portion, Not my 401k, that is a seperate plan.
The abbott pension portion is 100% funded by abbott.
This is just 1 example, obviously the more years you put in with abbott the
more you will get at retiremnt.
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TAKE THE MONEY WHEN YOU TURN 50 - the earliest date you can draw the pension.

REASON: Abbott has the legal right/ability to change retiree benefits and reduce the payout. You will regret waiting until you are 65 to collect since the $700.00 is not inflation adjusted. Your $700 adjusted for inflation (CPI extended out 15 years) is like the equivalent of getting $1200 at age 50. Additionally, you can bet we will have a social welfare system that will tax at European/Canadian levels, and thats assuming Abbott does not gut the fund and adjust . Many a pension plans have been reduced or wiped out, even after you "think" you are fully vested (just ask a United airline Sr. pilot) . Not only are young/new employees at the greatest risk (no way will the pension be available) - but so are the rest of us. Take the money early, pay your taxes at todays tax rate, and RUN.
 




Anonymous said:
You all are crazy and don't realize what you have here. Look at the matching in our 401k and the fact that the retirement savings plan offer a Roth. That is great!!! Also, look at our Pension. We can take a lump sum which is very rare with other companies. The fact that we have pension is incredible.
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This is the first I'm hearing about a Roth Ira. Could you please elaborate?
 








Anonymous said:
What, you telling us you don't know how to get to the benefits website? Just go ahead and shoot yourself
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Honestly I do. I have never seen or heard anything about a Roth Ira. I'm in the process of converting an IRA Ive had for years to a Roth Ira. It's a good deal.Split the taxes between 2012 and 2013.
 








Anonymous said:
3 years as a rep...received an estimate of my pension: if I retire after 20 years it was like 4k/month. If retire at 30 years it was 11k/month. Again, that's in current dollars and at the rep level. So, if you move up the company ladder then it should be more.
Click to expand...

Haaaaaaaa... oh, you are killing me! Haaaaaaa. What a riot. So you are thinking that the pension alone will give you $132,000/year? Oh this is too rich... you better go figure again. You are thinking that you will get >$2,000,000 if you live 20 years past retirement?
Go ahead and spend it now and see what happens...
 




I recently left Abbott and am looking to roll over my pension. I have 3K in pension and fully vested. I usually do yearly Roth IRA. I do not see any benefit between rolling to a Roth IRA and cashing it and doing it myself separately. I do not want traditional IRA.

Can you guys suggest what other roll-over options do I have other than IRAs? I want to minimize my tax burden.

Is it possible to roll-over to another rolled-over 401K plan from a previous employer with Fidelity or with Abbott roll-over 401K. I am trying to minimize my tax burden. Please advise.
 




Anonymous said:
3 years as a rep...received an estimate of my pension: if I retire after 20 years it was like 4k/month. If retire at 30 years it was 11k/month. Again, that's in current dollars and at the rep level. So, if you move up the company ladder then it should be more.
Click to expand...

Share with me whatever you're smoking. At nearly 30 years with the company, and a 6 figure salary, maxing out the pension deductions....I will get about 40k per year with my pension. Your figures are simply wrong. I know as a rep you're not compensated at a level that would provide the numbers you're dreaming about.
 




Anonymous said:
Thank you Anonymous #10. And thank you Anonymous #6. We at Solvay know that the provisions of a possible Solvay retirement are likely to be different than for Abbott. We are working with our HR, but the process is slow, and so far even the basics of what the Abbott provisions are is not forthcoming. We only have some “hints”.

So, here again is a request for basic info if some kind soul would tell us:
1. Is full retirement calculated on the basis of age + yrs of service = 72?
2. At full retirement, how is monthly pension then calculated? [We heard 60% of average of last 3 yrs of base salary. That seems high.]
3. At less than full retirement (for example, 70 vs 72 (or whatever)), how is monthly pension then calculated?
4. What about medical benefits for retirees? For example, “standard Abbott med/dental plan with COBRA payment of 50% up to age 65, and then you’re on your own.”
Thanks to anyone who would help us. If it would help I will get an anonymous external email address and even a fax number.
Click to expand...

Don't waste your time. Almost nobody, NOBODY, in field sales gets to full retirement. Once, years ago, I did know of a guy that made it to full retirement. He died 6 months later. You won't get to full retirement because you will be let go before you make it. How many reps do YOU know that hit 65? Some managers, maybe, but I bet in the field sales force right now, 10 might make it.
 




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