Any chance somebody can tell us what kind of severance is offered? Is it the usual or have there been reductions as some posters said there would be?
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Um, yes there are plenty of conservative investments. Money market, TIPS, bonds, cd’s, diversified annuities...you are just ignorant of investing options. Don’t spread ignorance.
With fidelity, the money contributed by GE that you are vested in, can be withdrawn. You pay tax, there is no penalty, and it is not a loan.
Better than starving in the street next year with $200k tied up inaccessible in the 401k. Probably harder to withdraw it later, too.
There are no "conservative" investments in the current economic/investment/gambling climate..., so take your chances... 40% is better than 100% loss... you're gonna pay taxes on a 401k draw regardless...
I've read/seen that Bitcoin has been on a tear... ;)
@wox horrible advice. Take a guaranteed 40% hit on your retirement rather than just manage it in more conservative investments? What a dumb--s
Stawk mawkets don't always go up forever... don't be a "bag-holder..." cash-out now while you have a "reason" too... so what if you have to pay a "penalty..." it's better than "losing it all...," and you'll pay taxes regardless whether you draw it now or later...
@lsu Agreed, nothing wrong with Fidelity. My advice was based on my desire to have more take home pay available for me to use right away in case finding a new job took longer than anticipated. ymmv
I would reduce 401k contribution only to the match limit. You want to get as much out of GE as possible in your final weeks/months. You can leave your 401k in tact with Fidelity if you want, or roll it into an IRA after contributions cease and you’re off GE payroll. Fidelity is a good place to be, IMO.
Thanks. I just switched my contributions off. I think that's prudent advice.
@aha I meant stop contributing. Sorry for the confusion. I wouldn't pull money out of your 401k unless you get really desperate.
@rti By pull out of 401k, do you mean stop contributing? Or also withdraw from it?
Protected Service also lets you keep your GE medical benefits until your severance runs out. They won't deduct your medical contributions from your paycheck, you will have to pay through a 3rd party. I got hit in March (Power / Atlanta). Medical payments had to be paid monthly to a company called Conexis, but you keep the same coverage. I also recommend you pull out of your 401k now and collect the extra take home while you are in your "notice period".
If you accept the layoff conditions you have continued service with GE for one year from your last day.
This can be important if you are hoping to return to GE, especially for receiving full pension.
What is “protected service”?
That hits me right in the amber waves of grain
I got 2 years paid severance plus free housing. But I am in France. Oh wait they can't lay me off I am protected. Back on vacation I go.
It's the usual, but you have to apply for unemployment before they will start the payments. You can take a lump sum- but you forfeit your protected service
who said it'd be different?