Anyone have experience with losing their SERMA account if being ISPd.
I'm 25+ years at Intel and have a healthy SERMA balance. Would that be at risk? Hopefully I'd be given the option to retire first if it was. I am eligible via the rule of 75.
15 replies (most recent on top)
@ce
I think you should probably keep up, I was responding to this post: "Thanks all for the posts. I understand the use of SERMA pretty well, I just got a bit paranoid of losing it if I got fired. I'm well over the rule of 75 so it sounds like I should be good regardless. "
How can I check the amount in my SERMA account and how is it determined
@cc no one was talking about getting fired for cause and I never stated this. OP asked about being ISP'd which isn't being fired for cause. Try harder to keep up with the conversation...
@c6
If you are terminated for cause, you get no SERMA.
@ae You don't get the $$$ when you retire. The account is essentially a credit against valid medical charges, you have to pay the bill first before SERMA will reimburse and you have to submit reimbursement documents for each and every charge.
OP, just doing an Internet search on "Intel SERMA" will get you a lot more accurate information than the opinions served up on this site. Some are right, some are wrong, and some are just trolls...
https://intelretiree.com/wp-content/uploads/2022/01/M1032706-Intel-SERMA-FAQ.pdf
- When your SERMA account is created, Intel makes a one-time credit to your SERMA account. The only additional contributions to your account will be payments of interest earned on your account each year following your retirement.
- Your SERMA account is managed by a third party Benefitsolver based out of Des Moines IA
- The IRS classifies SERMA as a "Health Reimbursement Account" (HRA) which fall under ERISA guidelines. It is protected or sheltered as the "S" in SERMA represents.
@aj If you are well over the rule of 75 why the he-l didn't you take the ERP?
Thanks all for the posts. I understand the use of SERMA pretty well, I just got a bit paranoid of losing it if I got fired. I'm well over the rule of 75 so it sounds like I should be good regardless.
Retirement happens automatically whether ISP or VSP..
so long as you have met any one of the 3 Retirement rules.
Someone in HR does the checkoff based on whether you met one of the rules upon your Last Day of work..
SERMA funds are held in a separate trust account that earns US Treasury rate interest once you get the money. Sadly, if you are still working, the money doesn't grow. If you get ISPs or VSP'd and eligible for Rule of 75, you'll get your money. You have to start spending your money within 20 years, otherwise, it goes away. If you spend at least $0.01, the 20 years resets from that date. SERMA can only pay for unsubsidized health insurance premiums, or certain expenses... so best to read up on it vs relying on random strangers on the board (which seem mostly full of id--ts).
Serma and serp+ are not protected in case of bankruptcy. Otherwise they stay with you even if you quit.
@a7. Good point. Maybe get the retirement request in play and then cancel if you're not ISPd. I never thought I'd have to worry about losing it.
@OP in the same boat, manager mum (“I don’t know but I’ll ask”… 2 weeks ago) on whether we’ll be allowed to retire if ISPd so my guess is not. That’s a ton of money between retirement plan money, pension, and unvested RSUs, and my bet is even voluntary retirement would be denied at this stage. If I don’t hear back by this monday from my manager, I’ll be putting in for it and taking my chances.
If you are eligible to retire on your LDO you will receive retirement benefits including SERMA.
Maybe there is an option to roll it over upon retirement. Would think it is safe for now, or for next couple years at least…