Let’s say you have less than 20 years with AT&T and have accrued X amount of pension, what are the options, when you leave the company? What percentage is the payout? Can you roll into 401K?
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You have to roll your pension into an IRA when you leave the company no matter what.
[Take the monthly annuity, live to a 100 and stick it to them.]
What do you think you'll get per month? Let your money make money. Don't let them keep the money you deserve and give you only pennies per month.
Ho----s and blow.
Please speak to your wealth manager. Take the lump sum and reinvest into a rollover or IRA. Make your money make money for you.
I had 21 years & I opted for the lump sum and rolled it into a retirement account to grow….. you can’t draw from your retirement pension until 59 1/2 so what you do is leave enough money in your current Fidelity 401(k) to last you till you’re 59 1/2 and roll the rest of it into the same retirement account with the Pension lump sum money.
Find a fee-only, full fiduciary, financial planner. Most will be CFP credentialed. Read their form 12ADV as to how they get paid and verify they sell no products and receive no commissions. Listen to what he or she says.
You’ll pay about $200/hr in most places for help, but the planner sells nothing and has no commissions to color the advice. Suggestions:
Garrett Planning Network or Appella Wealth are two places to look.
Nowadays, most of them will meet by video, they don’t need to be local.
your "wealth manager" is sales taking an annual % . How much risk do you want ? do you think the market is fairly priced or expensive ? most people should buy voo or s&p walk away , sleep at night
Take the monthly annuity, live to a 100 and stick it to them.
Talk to your wealth manager, don’t use this site.
Why would you think about going back to ATT and give them another swing at you. Find another company that maybe has a pension and appreciates your talent. My gosh, run.
If the company needs and wants your irreplaceable services bad enough, you will be hired back on your terms. No gap, name your salary, work location ( telecommute), work days & hours, with no payback of severance. Seen it happen several times, guess the company didn't know what they had 'till it was gone.
"I think you have to complete a break in service before being rehired anyway, regardless of whether you do anything with the money. I've always heard 6 months, but it should be on hronestop."
I always hear it too, but apparently there can be exceptions, as the same surplus policy also talks about your Severance and what happens if you get re-hired BEFORE 6 months. They will want part of it back. So since they're covering that scenario, I assume people do get re-hired within 6 months sometimes.
spend it all on a boat, if you need food, catch fish
@wpp+1oYvGOhq
I think you have to complete a break in service before being rehired anyway, regardless of whether you do anything with the money. I've always heard 6 months, but it should be on hronestop.
There are a lot of different pensions, but I think in most cases it's best to roll it to an IRA and invest from there.
I left with 15 years service and kept mine in my 401k. Came back after 11 months and worked 18 years more. I still have all of it in my Fidelity 401K. I get monthly distributions from it. It worked out great.
Roll the lump sum into a 401k S&P 500 index and leave it alone to grow over time
Duh, buy penny stocks, or just invest it all in T shares!
buy some gold bars at costco, preferably during work hours.
Take the money and invest in crypto currencies. You won't regret it.
You can roll it into an IRA, or cash out (- 20% taxes and 10% penalties), or leave it as it is, and hopefully be able to use it after 55.
One thing I suggest, whatever you're planning, don't do it in the first 6 months after leaving AT&T. There are actually some rules about it in the surplus policy. I don't know why, exactly, but the way I understand it, if you roll it or cash out, and somehow end up either finding another position with T, or with another company that may conduct business with T which could classify you as a contractor (and it's possible if you're looking in related fields and industries) you might get blocked by T from getting that job:
"IMPORTANT NOTE: Employees who have requested or taken a distribution of AT&T pension or 401K savings plan funds may not be rehired as employees or engaged as Supplemental Staff (SS) or Non-Payroll Workers (NPW) until the completion of a 6-month break in service."
Maybe someone can explain it better. I guess it makes sense if you're being re-hired at T, but for Non-Payroll Workers, I don't see how it's any business of theirs what you do with your money, as they're not involved in it anymore when you're NOT on T's payroll.