I’m just curious, can anybody tell me how the severance pay works just for knowledge I was told the 60 days that you do get paid is the actual severance. And do you get the Christmas and annual bonus as well? How does all this works?
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go/severance
Is 26 weeks minimum for both bank and association? I am seeing different things in different chats.
Man i have been waiting to get laid off and it’s not happening and everyone on my legal in my group got laid off. Now i just hang around til it’s bonus time but the layoff money is so good compared to most companies sigh because otherwise you absorb everyone’s work and drown in it. People have gotten new jobs while getting almost their entire salary from USAA for a year.
I was laid off in August and just separated this week. In addition to the severence, they also include the prorated annual bonus. Insurance lasts an additional month with a 65% subsidy for COBRA for 6 months. A little heads up, if your password expires during the 60 day period, you can't change it and have to get a temp password everytime you log into workday. After separation, you'll get a temp and will be able to change to a permanent but with very limited access.
To answer your questions directly:
The 60 days is NOT the severance — it's the WARN Act notice period. You're classified as an "active non-working employee" during those 60 days: you get your regular pay and benefits, you keep seniority/eligibility for things like the Christmas bonus (which typically requires you to be active on the payout date), and you can still apply for internal roles. The actual severance starts after day 60, and you usually have to sign a severance agreement (general release) to receive it.
Per USAA's plan as described here: 2 weeks of pay per year of service OR 2 weeks per $10,000 of base salary — whichever is greater — with a minimum of 26 weeks and a cap of 52 weeks. It's paid as a lump sum within ~15 weeks of signing, and it's taxed as supplemental wages (federal 22% + FICA + state, so budget roughly 30-35% withheld).
On bonuses: the Christmas/annual bonus question is trickier — eligibility usually depends on being employed on the payout date, so the 60-day period can work in your favor, but check the exact plan language on the severance agreement.
Two practical tips: (1) read the agreement carefully before signing — you typically have 21 days to review and 7 days to revoke an ADEA release; (2) use the 60 days to apply internally while you still have employee status, since that's the window where your applications count as internal.
May u ask which group you were in that was impacted and got that severance?
@bc I was given my notice with the August layoffs, I received 26 weeks severance and I was only with the company for 3 years.
I saw that one too but it’s outdated. It’s from 2025 (the severance) and it’s just
A PDF.
@aa it is not hidden. I looked at it today! Also there is no more bank severance and association it is just one plan. After the 2 months active non working employee period ends, It is 2 weeks per year of service OR 2 weeks per $10,000 whichever is greater but not to exceed 52 weeks of pay.
I do not know about the bonus pay outs from the policy but I’ve heard the Christmas bonus you are eligible for if you are an active employee.
How many impacted and which group???
If you have a boss you is ethical this will be a smooth transition. If you have one who is not and KARAM smacks back- this will be an interesting ride.
It is good to know these things. Thank you for sharing.
I wonder if anyone who recently got impacted can shed some light on it too. The severance policy was hidden on connect. I wonder if it’s still the same.
As someone who was impacted last October … you’re paid for the 60 days, they have you classified as an active non-working employee. You lose all system access within a few hours. You can still apply for internal roles, if you’re not able to land another role, then on day 61 is when you can sign your severance agreement, if you’re a bank employee, it’s 2 weeks of salary for every year, max 52 weeks, minimum 26 weeks, it’ll be paid out within 15 weeks, expect 30-35% in taxes to be taken out, if you do not want federal taxes taken out, then email payroll and they’ll send you a W4 to sign.