Anyone heard anything new about the pension? Specifically if they'll require people to roll them to other qualified accounts?
4 replies (most recent on top)
Don't be too quick to take it out - you really want to see how much each month the pension will generate. If you think you can invest and generate more than that, then take it out, otherwise it's best to leave it. More times that not, you will not be able to generate the same amount of money each month, for a fixed period of time.
I wish they required that, but remember the pension is a fund that is still paying people who retired and earns money for ADP beyond the 3.5 of growth that your pension earns without their contributions. That additional earning can help fund the pension and keep it secure which is the point of a pension, long term, locked in money. The rules built for the pension to ensure this security prevent moving your portion to a new fund early.
My understanding is you can take it out at age 55 and beyond to put in another account. Which is a smart idea.
My understanding is you cannot take it out of ADP until you leave. I would love to withdraw and invest it myself in my own IRA.