What exactly keeps an employee parked at a particular jerb for years, until retirement?

5/29/2013 12:14:26 PM

laziness

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[Edited on May 29, 2013 at 12:19 PM. Reason : except i have a pension and will probably be leaving shortly]

5/29/2013 12:16:20 PM

I have a pension, so that's the only reason I'm still here. 20 years until sweet, sweet retirement at 48

5/29/2013 12:21:33 PM

sounds like a job for Old Economy Steve

5/29/2013 12:26:50 PM

I don't have the patience to do the same shit for 25 years.

5/29/2013 12:30:09 PM

Someone get me a job with a pension :-(

5/29/2013 12:38:04 PM

liking your job, maybe?

pension is a huge #1 for me, though followed by bigman's suggestion of laziness

if you don't hate your job, you're vested, and you're okay with the pay...why leave? you won't necessarily like a new job any better and unless you stay within the same company, you'll likely lose any long-term benefits

most companies (though certainly not all) offer a path to promotion (which in my mind means a change of pace, new/better duties, and a salary bump)...and when they don't, you can sometimes just change jobs within the same company without losing anything

i still have 24 years until full retirement, but my current plan is to stay with the same company (either through promotions or changing jobs as the mood suits me) so i can retire in my early 50s

5/29/2013 12:46:07 PM

5/29/2013 12:46:39 PM

What's a pension? Amirite

My job has one but its pathetic. I'm doing what I can to boost my 401k as well as my iras outside of the workplace. Cause y'all know social sukkurrity won't be around when we retire!!

I also invest in the lottery, it should pay off hugely soon enough in the future so I can retire before all you bastards.

5/29/2013 12:57:02 PM

oh, i'm counting on SS to be completely gone before i retire...and i'm not really relying on my pension, just hoping for it

ideally, my and my wife's IRA/401k contributions alone will give us a comfortable retirement...if the pension pays out as well as it does for our current retirees, though, that would be awesome

5/29/2013 12:59:49 PM

They killed the pension for new employees a few years before I started working with this company.

My ING advisor told me to just keep my guap in my sock.



I really did get the impression pensions in general were going away with most companies, where the greediest ones would not only kill the pension for new hires, but also stop funding for existing employees. Then move to a model of paying out 401K contributions once a year at the end of the year to retain their talent.

[Edited on May 29, 2013 at 1:13 PM. Reason : MOAR.]

5/29/2013 1:07:36 PM

i think i prefer that model, anyway (paying out/matching 401k contributions, rather than managing a whole pension)

but that's not how mine is set up, so i'll just roll with what i have

5/29/2013 1:18:37 PM

I probably wasn't very clear....


Old model:
-Pension
-401K, contributed to and matched every pay period.

Current model:
-No pension
-401K, contributed to and matched every pay period



New model some companies are going to:
-no pension
-401K, you contribute every pay period. The company matches once a year at the end of the year.

5/29/2013 1:33:03 PM

Some people are just satisfied with location, especially if a particular job isn't abundant in the area. Another may be that the sig. other is the breadwinner, so the other person may have a job more flexible with PTO so they can take care of errands, kids, etc.

5/29/2013 1:45:12 PM

Quote :

"I probably wasn't very clear.... Old model: -Pension -401K, contributed to and matched every pay period. Current model: -No pension -401K, contributed to and matched every pay period New model some companies are going to: -no pension -401K, you contribute every pay period. The company matches once a year at the end of the year."

my current situation is a pension and NO 401k matching, anyway...the new model wouldn't be as advantageous as my current situation, but at least there's some benefit to it (as opposed to no pension and no matching whatsoever)

5/29/2013 1:48:14 PM

I like where we live, the pay is top notch for my industry, I do different stuff all the time (every project is new), the benefits are great, I've been able to move around internally for different experience without "starting over", and they do reward loyalty (as much as a modern company does that is). So I don't really have a reason to move companies at the moment. Wife works for the same company too.

Right now, I don't see myself switching companies within the same industry unless I had a slam-dunk for a better opportunity with like 25%+ more pay or something or I get laid off during a big downturn.

[Edited on May 29, 2013 at 1:53 PM. Reason : ]

5/29/2013 1:51:23 PM

My work matches up to 5% each pay period. Is there a limit to what they match emce? What's the difference between per paycheck to end of yr except that it prevents growth on that money until its paid in....it's still pre-taxed...

5/29/2013 1:52:08 PM

Quote :

"What's the difference between per paycheck to end of yr except that it prevents growth on that money until its paid in....it's still pre-taxed"

i think you got it...it's just that you lose 11-12 months of potential investment income

also, my 401k is a roth, so it's after tax

5/29/2013 1:53:31 PM

When I started, we still had a pension and 100% up to 5% each pay period in the 401k. Now that they stopped the pension, we still get the same 401k arrangement and then receive an additional annual lump sum payment into the 401k based on company performance and personal years of experience in place of the pension.

I like having my 401k be a traditional 401k and then having a Roth IRA as well. Getting a little bit on both sides of the pay now/deferred taxes argument since I don't know right now which will really end up being better.

[Edited on May 29, 2013 at 1:57 PM. Reason : ]

5/29/2013 1:55:49 PM

Quote :

"I like having my 401k be a traditional 401k and then having a Roth IRA as well. Getting a little bit on both sides of the pay now/deferred taxes argument since I don't know right now which will really end up being better."

i think you'll be hard-pressed to find an economist or financial advisor who will tell you taxes will be lower in the future (unless you're specifically planning on a lower gross income as you get older?)...but i understand your point

5/29/2013 2:00:34 PM

Are pensions common at all anymore? I thought they were almost dead.

Are there any safeguards against employees getting laid off for "economic reasons" a few years before they hit pension qualification?

5/29/2013 2:00:43 PM

Most companies let you keep your healthcare and other benefits upon qualified retirement, otherwise retirement isn't any different from quitting.

5/29/2013 2:01:09 PM

I can divide my 401k into a traditional and Roth, I have a 60/40 split right now with my own Ira on the side. I just want a lot of diversity though I like Roths because you're locking in the tax rate of today and taxes never go down so...

The pension we have offered to us right now can pay the light bill, which I guess is better than nothing.

5/29/2013 2:04:50 PM

Quote :

"Are pensions common at all anymore? I thought they were almost dead."

this is probably true, overall

Quote :

"Are there any safeguards against employees getting laid off for "economic reasons" a few years before they hit pension qualification?"

specifically? probably not in most states...but i think that a lot of companies have vestment tiers (ours does, anyway), so that if you did happen to get laid off, you'd still be qualified for some benefits

maybe that's not common, though

Quote :

"Most companies let you keep your healthcare and other benefits upon qualified retirement, otherwise retirement isn't any different from quitting."

i don't know, i think that's a significant difference...healthcare ain't cheap

5/29/2013 2:05:43 PM

Quote :

"Is there a limit to what they match emce? What's the difference between per paycheck to end of yr except that it prevents growth on that money until its paid in....it's still pre-taxed..."

Question 1. I'm matched at 8%, plus some other things I'm not going to go into...


Question 2. It does two things. The first, like you guessed is it shifts the benefit of interest on that capital away from the employee, and into the pocket of the empliyeer.

Second, it acts as a retention mechanism. Employees are much more hesitant to leave for a new job before the December lump sum payout, else they lose eligibility for the matching contribution.
IBM recently moved to a model like this.

5/29/2013 2:39:28 PM

I ask because my dad worked at a company that still technically had pensions for its employees. He'd been there 20+ years, and as he and many others neared retirement age, the company started cutting back on what the pensions guaranteed, forcing people to switch into lower-paying jobs, threatening "necessary" layoffs if enough people didn't take an optional early retirement with reduced benefits, etc. In today's work climate I wouldn't expect any different from pretty much any company.

5/29/2013 2:47:18 PM

Quote :

"What exactly keeps an employee parked at a particular jerb for years, until retirement?"

fear of getting canned if the employer finds out about the job-search and fear of not finding another job

5/29/2013 4:04:00 PM

I'm learning a lot right now so I'm sticking around for the time being.
Also, roth 401k wtf

5/29/2013 4:10:51 PM

Pensions? Retirement? What the fuck are those things? I thought you just work and then you die.

5/29/2013 6:07:01 PM

A pay scale based on seniority with no provision for lateral movement at the same pay grade.

Sound ridiculous?

It is.

5/29/2013 6:12:40 PM

yup, and it's called General Schedule


good thing about our union is it makes it hard to get rid of our benefits; they generally just screw over new hires (which they did recently by increasing the pension contribution for people hired after December 31, 2012)

5/30/2013 8:17:23 AM

omg

1/30/2014 9:13:08 AM

I'm contractually bound to my job until 2019. Also, I'm pretty sure we're still guaranteed a pension after 20 years of service. For which I'll be eligible when I'm 43.

Also, got dat Roth tsp.

1/30/2014 10:24:18 AM

Pensions do still exist. However they are becoming less common. Not necessarily all because of the economy, but also because ERISA laws make them pretty risky to have if you are a plan sponsor. The current trend for companies that want to keep pension benefits along with relieving liability risk, is to have the pensions funded in a way where both the company and its employees feel the effect of economic risk, such as a cash balance defined benefit plan.

Basically the pension of yesteryear is gone because finding a way to fund them where the plan sponsor can make sure they are going to net X dollar amount for the participant is too hard to do in the recent economy.

1/30/2014 10:44:34 AM

I have a pension plan with Duke, no 401K matching though. Health benefits are stellar, and the people I work with in the department are mostly okay to work with. I'll stick it out here until they kick me out...or I hit retirement.

1/30/2014 10:46:46 AM

I'm vested in the state employees' retirement plan. So in theory if I just leave that money parked there, I'm good, though I'm sure the monthly payout would be pretty small.

Unless the state goes bankrupt. The judge in Detroit's bankruptcy ruling really screwed over millions of local and state government employees expecting pensions when he ruled that the city can renege on the pensions owed to their teachers, firefigheters, policemen, etc.

1/30/2014 10:58:52 AM

Quote :

"Unless the state goes bankrupt."

while certainly a possibility, NC has a pretty solid track record for its management of TSERS...of course, i don't know if that includes some sort of protection if the state went bankrupt

1/30/2014 2:22:31 PM

Quote :

"I don't have the patience to do the same shit for 25 years."

[Edited on January 30, 2014 at 2:36 PM. Reason : though my job does include a pension, i don't seriously consider it as part of my compensation]

1/30/2014 2:36:02 PM

Quote :

"though my job does include a pension, i don't seriously consider it as part of my compensation"

is that because you don't want to count on it or because it's not very good?

1/30/2014 2:49:24 PM

the former

[Edited on January 30, 2014 at 3:01 PM. Reason : but also probably the latter too lol]

1/30/2014 3:01:07 PM

i put everything in the mattress

1/30/2014 3:05:17 PM

My retirement planning involves making casual remarks about how I like to live small, and I'll probably always want to work.

When I greet you at Wal-Mart thirty years from now, you'll know I'm living my dream.

1/30/2014 3:17:51 PM

^ that kind of talk makes me want to seduce you, spit in your butthole, and claim you as mine

1/30/2014 3:20:54 PM

You're such a tease.

1/30/2014 7:56:02 PM

Quote :

"When I greet you at Wal-Mart thirty years from now, you'll know I'm living my dream."

I like to tell people I'll work my retirement at Target or Starbucks. I also plan to use my full Social Security check to buy a loaf of bread every week.

But seriously, you will more than likely need at least 70% of inflation adjusted income in retirement. Start saving!

1/30/2014 8:13:29 PM

I hope everybody's already saving and investing. But stuff happens so I'm definitely not counting on a comfortable retirement.

1/30/2014 8:28:04 PM

Unless the US market collapses I'm not too worried...

1/31/2014 12:08:48 AM

Even with the TSERS pension and whatever 401(k) I have available to me upon retirement, plus whatever I can stuff in an IRA over the years (that will have to wait until the wife finishes school)--I expect to have to work until I'm so weak or so sick I can't.

Realistically, Social Security will be only a memory by the time we hit our 60's. Inflation will have likely decimated the buying power of our retirement savings. Even those of us who make good money today will probably be dependent on the charity of our children and a meager income from part-time work in our sunset years.

Just a cheery thought for the night.

1/31/2014 12:57:02 AM

What jobs have pensions?

1/31/2014 7:44:31 AM

public/union jobs

1/31/2014 8:02:04 AM