Why is 85 the magic retirement # for Union pensions?

[JEDI]

http://www.google.com/search?num=10...e+of+85+pensions?&aq=f&aqi=&aql=&oq=&gs_rfai=

You can retire with full pension if:
age + years of service = 85

It seems that alot of pensions are like that, no matter which union or field.

How was 85 picked as the magic #?

 

[mizzou]

on my other thread, pension rules for state of MO are 80

years of service + age = 80 , bingo full retirement!

 

[ShawnD1]

How was 85 picked as the magic #?

They assume you're going to die at 70. They'll be in for a shock when you retire at 60 and they need to pay full retirement benefits to you for the next 20-30 years. Average life span in the US is 78 years. For women it's a few years longer. It gets longer if you're white, have a higher income, are not overweight, etc. My grandma was something like 92 when she died.

 

[boomerang]

I don't know, but my guess is it was determined through negotiations of some sort. I don't think there's any science behind it, but who knows?

 

[mizzou]

w/ rule of 80 I'm going to hit it at age 53 =D

27 years of service + 53 years old

I would more then likely work somewhere else until I'm set financially to pay my health care premium

 

[SoCalAznGuy]

When you say full pension do you mean you get 100% of your current income for life plus COLA.

You retire at 56 with 29 years of service, making 95,000 a year. Does that mean you will get 95,000 a year for life plus COLA.

 

[Hacp]

When you say full pension do you mean you get 100% of your current income for life plus COLA.

You retire at 56 with 29 years of service, making 95,000 a year. Does that mean you will get 95,000 a year for life plus COLA.

I think its 80%+COLA. But you can work overtime your last few years and drive the price way up.

 

[Scouzer]

i dont get to go until 55... but i'll have 36 years with the company by then >.<

 

[SoCalAznGuy]

I think its 80%+COLA. But you can work overtime your last few years and drive the price way up.

That seems great. If I retire at my 85 mark, which would be 31 years at 54 years old. I would only get 56%. If I wait until I am 60 and retire with 37 years, I would get 85%, and If I waited until 63 I would get 100%.

 

[JEDI]

When you say full pension do you mean you get 100% of your current income for life plus COLA.

You retire at 56 with 29 years of service, making 95,000 a year. Does that mean you will get 95,000 a year for life plus COLA.

depends on how the pension is defined.

for fed govt, it's:
pay x # of yrs worked / 100

so if 90k/yr and 30yrs service, its 90 x .3 = 27k/yr

if your grandfathered into the old fed retirement plan, double that #!!!! ie: 54k/yr

for non-govt pensions, it might be:
# yrs worked x 85 = monthly benefit
ie: 30 x 85 = 2550/month = 30.6k/yr

 

[SunSamurai]

Short lived phenomenon. Enjoy it people.

 

[Hacp]

Short lived phenomenon. Enjoy it people.

I'm just sad that I won't be able to experience the gold mine. Spending 1/3 of my life getting paid vacation sounds pretty nice.

 

[Scouzer]

depends on how the pension is defined.

for fed govt, it's:
pay x # of yrs worked / 100

so if 90k/yr and 30yrs service, its 90 x .3 = 27k/yr

if your grandfathered into the old fed retirement plan, double that #!!!! ie: 54k/yr

for non-govt pensions, it might be:
# yrs worked x 85 = monthly benefit
ie: 30 x 85 = 2550/month = 30.6k/yr

wow thats a junky pension.

 

[Hacp]

depends on how the pension is defined.

for fed govt, it's:
pay x # of yrs worked / 100

so if 90k/yr and 30yrs service, its 90 x .3 = 27k/yr

if your grandfathered into the old fed retirement plan, double that #!!!! ie: 54k/yr

for non-govt pensions, it might be:
# yrs worked x 85 = monthly benefit
ie: 30 x 85 = 2550/month = 30.6k/yr

What about overtime work? Can you work overtime and inflate your pension? Work a shitload of overtime your last 2 years and you can boost that quite a bit.

 

[IronWing]

What about overtime work? Can you work overtime and inflate your pension? Work a shitload of overtime your last 2 years and you can boost that quite a bit.

With my company, overtime and bonuses don't count toward the pension calculation. Only base salary counts.

 

[Scouzer]

With my company, overtime and bonuses don't count toward the pension calculation. Only base salary counts.

Same. I think that's standard, only base salary counts normally.

 

[SoCalAznGuy]

Short lived phenomenon. Enjoy it people.

My Pension is guaranteed, I plan to retire at 55 and get 64&#37; of my highest salary for life plus COLA.

 

[dirtboy]

My Pension is garenteed, I plan to retire at 55 and get 64% of my highest salary for life plus COLA.

All that money and you still can't spell.

 

[Hacp]

All that money and you still can't spell.

You'd think he made enough to afford firefox's spellchecker.

 

[mfenn]

My Pension is guaranteed, I plan to retire at 55 and get 64% of my highest salary for life plus COLA.

Ain't no such thing as guaranteed...

 

[BoomerD]

Every job I've ever had, including my union pension, the magic number was 85, but it also required age 55 as a minimum. 55 + 30 years, 60 + 25 years, etc.

I'm old enough but don't have the requisite number of years in this local. (worked in other locals...don't carry over, spent a few years working non-union when I had to, spent several years as a public employee that don't count as well.) I COULD just say "Fuck it," and get social security disability, which would automatically qualify me for the union pension...but I'd rather work doing SOMETHING than go out that way.

 

[JEDI]

how much does ssd pay?
and how much would you get from your pension?

and cant u still work under ssd if you made under $xx/yr?

 

[BoomerD]

how much does ssd pay?
and how much would you get from your pension?

and cant u still work under ssd if you made under $xx/yr?

Between the two...about $4500/month. AFAIK, you can't work and collect SSDI. (the only reason you get it is because you CAN'T work at all...in any job.)

 

[JEDI]

Between the two...about $4500/month. AFAIK, you can't work and collect SSDI. (the only reason you get it is because you CAN'T work at all...in any job.)

you dont want to be paid 54k/yr to be on vacation?!

if u want to be active and do something, volunteer.

is there any upside on delaying ssdi and pension? ie: will either go up the more you delay claiming it?

 

[BoomerD]

you dont want to be paid 54k/yr to be on vacation?!

if u want to be active and do something, volunteer.

is there any upside on delaying ssdi and pension? ie: will either go up the more you delay claiming it?

Upside? Nope...except that I don't want to go there yet. Will either go up? Perhaps, depending on the economy.

Volunteering? Not for me. No real incentive involved.