Retirement - healthcare benefits

[anonymous]

I was hired about 15 years ago. At the time, I was told at 55 and 10 years of service you would get full medical benefits. Several years ago the benefits were changed to age 60. I’m still a few years away from 60, but when I was trying to find information on it, it now looks like we pay for the healthcare like it’s COBRA. What I can find looks super expensive. So what is the advantage now of retiring at 60? When did this change? Is that what the 401h account is for to pay for healthcare because there is not enough money in that. I’m generally curious how employees retire at 60 now. Thanks.

 

[anonymous]

I was hired about 15 years ago. At the time, I was told at 55 and 10 years of service you would get full medical benefits. Several years ago the benefits were changed to age 60. I’m still a few years away from 60, but when I was trying to find information on it, it now looks like we pay for the healthcare like it’s COBRA. What I can find looks super expensive. So what is the advantage now of retiring at 60? When did this change? Is that what the 401h account is for to pay for healthcare because there is not enough money in that. I’m generally curious how employees retire at 60 now. Thanks.

That doesn't seem right . Did you contact ask HR?

 

[anonymous]

I was hired about 15 years ago. At the time, I was told at 55 and 10 years of service you would get full medical benefits. Several years ago the benefits were changed to age 60. I’m still a few years away from 60, but when I was trying to find information on it, it now looks like we pay for the healthcare like it’s COBRA. What I can find looks super expensive. So what is the advantage now of retiring at 60? When did this change? Is that what the 401h account is for to pay for healthcare because there is not enough money in that. I’m generally curious how employees retire at 60 now. Thanks.

The 401h pays for the medical. There was never a policy that you “got full medical benefits.” There was a “notional account” that helped pay for medical prior to the 401h. So you basically have to hope your 401h covers 5 years of medical if you retire early…which means that you’d need approximately $100-$150k in there. If you were hired 15 years ago, you probably have a small amount in that prior account. I’m not sure how you find info about that - probably through HR.

 

[Old timer]

Interested in your findings with this topic.
Please share if you learn any details.

 

[anonymous]

Contact AskHR, they can explain. Some of the employees there don’t know as much as they should, if you don’t think it’s write, ask for another person or mngr to validate.

 

[anonymous]

Contact AskHR, they can explain. Some of the employees there don’t know as much as they should, if you don’t think it’s write, ask for another person or mngr to validate.

There should be a grid in the HR / Retirement benefits site which lists out total cost, employer contribution and then employee/retiree cost to the right. I was looking at this a few months ago.
I am with you on the 55 thing, that was a zinger for many. I could probably make it to 55 here but no way to 60 ( I am no where close to any of our offices in the US to move into a non-field position). They will lose a lot of good people over that change.