Benefits of staying in J&J after 2025 and the cessation of an old pension plan

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anonymous

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I have 25 years of service with a company and I am not sure whether to stay after January 1 2026 with a new 15% pension plan or get an increase of salary of 25-30% by looking for an outside opportunities and invest the difference? I have another 18 years to go before retirement. What do you consider doing after the old pension is axed? I have been hearing rumors of massive resignations coming towards the middle and end of 2025. Most old timers are waiting to exhaust old pension plan and part ways.
 






anonymous said:
I have 25 years of service with a company and I am not sure whether to stay after January 1 2026 with a new 15% pension plan or get an increase of salary of 25-30% by looking for an outside opportunities and invest the difference? I have another 18 years to go before retirement. What do you consider doing after the old pension is axed? I have been hearing rumors of massive resignations coming towards the middle and end of 2025. Most old timers are waiting to exhaust old pension plan and part ways.
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one thing to add to your model is even though they are switching out the old hood pension for the crappy one, you still earn a bit by staying to 55, as you get the full old pension at 62 instead of 65 - so three years early, and this is worth having. There are also gradations of this basically the longer you stay the less they discount the pension from full if you take it early.
 




Can someone explain the “ new” pension? I’m down to the wire in getting hired by JNJ. I’m 59, how long would I need to work to qualify for the new pension, 10 years?
 




anonymous said:
Can someone explain the “ new” pension? I’m down to the wire in getting hired by JNJ. I’m 59, how long would I need to work to qualify for the new pension, 10 years?
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There is no pension, JNJ justs contributes 15% of your salary to a retirement savings account. The 15% is fully funded by JNJ, so they don't deduct it from your paycheck. Since you're already over age 55, you would be immediately vested. Upon leaving JNJ, you can rollover all the cash in the account into your own IRA.
 
























anonymous said:
You don’t qualify for the pension as a new hire. You would get 401k
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You don’t make sense according to another post. JNJ contributes 15% of your salary. How I understand it is since you are over 55 years old, you would be immediately vested. Tell me it I’m wrong folks. I think you only need to work at JNJ for 5 years to get it.
 








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