Is there any benefit remaining for retiring at 50 with 25 years? I’m curious since retiree insurance is off the table now.
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"If you have a defined benefit pension you get a significant bump at 25 yrs and MR 75 eligible. 30 yrs is next meaningful bump. Pension is reduced a certain percentage for every year under 30 yrs of service. With interest rate changes the lump sum difference isn’t as extreme though."
Not everyone. Only some pension plans are impacted by Rule of 75. The BellSouth Mgmt plan is cash balance, so its unaffected by MR75 or seniority rules. I get interest credits every year, but no bump when I hit 20, 25, or 30 years of service.
Run your numbers for at least 5 years at fidelity. 52 and 27 years was my optimal date. Pension grew by 35k each year after 25 to 27 then dropped to 20k a year from 28 to 30.
I left at 50/25. Best decision I ever made.
I would recommend plugging in your numbers into the Fidelity Pension estimator tool.
The estimations provided by this tool were surprisingly accurate when I was making a decision to leave in 2021 after meeting the MR75 at age 50.
If all else fails, and you don't trust the estimation tool, call Fidelity to verify the numbers.
Yes you need to be 55 or have 30 years or else you take a penalty on lump sum pension. You can verify this on netfidelity
MR 75 was to "Lock your Bennies", but not much to lock anymore.
I believe you get adoption assistance, pet insurance, and legal assistance in retirement. Not mandatory, only if you want it. It's a great deal!
Weird formatting on my last post:
If you are at least 50 but younger than 55 - 25 years
If you are at least 55 but younger than 65 - 20 years
I'm sure this is all documented somewhere, but it has been a constant source of confusion for many for years.
"I don't believe age 50 and 25 years counts as anything toward MR75."
I turned 50 and hit 25 years in the same year - MR 75 eligible and left.
This is documented, but people still are fuzzy on it.
MR75 in a nutshell
30 years - you're good to go regardless of age.
= 50 you need at least 25 years
= 55 but 65 you need at least 10 years
Some people have mistakenly add their age to their service and not been MR75 eligible. Example, someone who has 23 years of service and is 54 (77) - Not eligible until they hit they turn 55 with 24 years. Someone who has 23 years of service and are 52(75) - not eligible until they hit 25 years of service @ age 54.
NO
Maybe get a job with better benefits? Work for your city 15 years and get retiree benefits?
I don't believe age 50 and 25 years counts as anything toward MR75.
It's age 55 and 20 years, age 65 and 10 years, or 30 years any age.
"If you have a defined benefit pension you get a significant bump at 25 yrs and MR 75 eligible. 30 yrs is next meaningful bump. Pension is reduced a certain percentage for every year under 30 yrs of service. With interest rate changes the lump sum difference isn’t as extreme though."
This - You get less than half prior to MR75. The difference for me between 25 and 30 was less impactful and I think age may come into play as well. Hypothetically, if I left the day before hitting my MR75, my annuity would have been about 1200 a month. If I waited, it was going to be like 2700 a month. For 25 to 30 years, it would have been like 4K for 30 vs. 2700 for 25. I didn't take the annuity, but the lump sum had similar ratios when plugged into the calculator (of course the interest rate segments change).
Yes, if you reside in-region and fiber HSI is available in your home, you can get it for $10 per month.
sadly, rule of 75 gets you basically nothing…telephone discount concession yet competitor deals are much cheaper..
Nope. With all your retirement benefits and concessions being taken away, you now have to work until you’re 75. That’s the new rule of 75
If you have a defined benefit pension you get a significant bump at 25 yrs and MR 75 eligible. 30 yrs is next meaningful bump. Pension is reduced a certain percentage for every year under 30 yrs of service. With interest rate changes the lump sum difference isn’t as extreme though.
Where are you getting off? Stankey stated 3 years and out, not 5 and out.
Nope. Welcome to att. Theyve come right out and said they don’t want loyal employees who stick around entire careers. They prefer you to spend no more than 5 years here before moving on. They don’t want to pay for experience. They don’t want to be a company that’ has the best people. They want cheap labor or ideally no labor at all. You and I are nothing more than cattle.
Not any more. Concession on services is weak. HC costs are about the same as open market. Hope your pension is large enough so that you can take a lump sum.
Product discounts
Run, Forrest, run! Don't stop and don't look back. Life is like a box of chocolates, and stinky just slipped some antifreeze in your bon bon. But randy took a really big sh-t in the box years ago and ruined the whole thing anyways.