If company files BK. Is our money safe that we have in 401k? I mean i understand if you get fired or whatnot you can cash out your 401k (subject to penalties) but what happens if the company goes under? I am not sure i have seen this addressed anywhere yet?
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All this pension talk reminds me of how the union caved and let the company freeze the pensions.
https://www.millimanbenefits.com/ MILLIMAN This has our pension info in it. Don't know if it's used across FTR. Found a break down of our specific pension plan on HR under "pension". Got to find the one for your Contract.
Only employees with the largest pensions actually take a hit. The Pension Benefit Guaranty Corporation maximum annual payment, which rises with inflation, is $54,000 this year for workers who retire at age 65. Pbgc is an organization that covers pensions for companies in chapter 11. Federally insured...that's all that i could find
If Frontier goes chapter 11 they are not obligated to provide a company match. The 401k remains yours. The pension is protected under ERISA.
401k is yours and can be rolled over to an Roth IRA. If the company provides any kind of matching contribution they can cease during bankruptcy but they can’t touch what you have now in your 401k. Your pension is protected up to a point being federally insured. I’ve had a devil of a time finding out how much though. If anyone knows please let me know. When FairPoint went bankrupt they froze the employees pensions and took away healthcare for retirees.
You can thank IBEW for your secure pensions and 401k plans. Our union is strong but the sad fact is that there are too many employees that refuse to pay union dues. This is unacceptable and we know who you are.
Unless you’re a fool and have all your 401k in FTR stock, you should be ok. If you do have a lot of it in FTR stock then your retirement stress levels should have been triggered a long time ago
Roll the 401k over to an IRA.
Do you have a pension here? Id be more concerned about that.