Thread regarding ExxonMobil Corp. layoffs

December vs January resignation

I know vacation accrual is no longer a thing, so this is down to the pension lump sum payout, which I plan to take. This is for a resignation, not a retirement.

  1. Does anyone know when and on what frequency the company recalculates its lump sum offers? In the context of increasing interest rates, What I’d like to avoid is putting in my resignation too late and thus “working for free” because the extra salary doesn’t make up for the reduced pension payout.
  2. When calculating how much they will offer for the lump sum (ie what interest rate they will use) does the company do it based on your resignation date, your last day on the payroll, or whatever day Benefits gets around to your file?

Thank you all.

by
| 1884 views | | 2 replies (last ) | Reply
Post ID: @OP+1jlUbS9H

2 replies (most recent on top)

You are missing the point here.

The lower the interest rates, the cheaper the stock market becomes.

If you take the lump sum and roll it over a 401k and invest in 100% stocks, then you will be converting a low yield investment (money markets managed by EM) into a high yield investment (stocks, managed by you).

Take the $ and invest in stocks. When the market recovers you will come way ahead.

by
| | Reply
Post ID: @1kre+1jlUbS9H

There are several ways to obtain a pension estimate. Look for the ExxonMobil Benefits Service Center Web site or call 1-800-682-2847.
https://www.exxonmobilfamily.com

If you use the online calculator, set the commencement of benefits date to start 3 months after your last day of work to see the lump sum. (Most people set their last day as the last day of the quarter.) The payout is only an estimate until they get the latest interest rates. (The pension lump-sum interest rate is determined in advance every three months and is applicable for a given quarter.) Lump sum calculated using three interest rates for high quality corporate bonds and IRS-prescribed mortality.

I suggest talking to your financial advisor. Or call EY (available to employees) to talk through your situation and to get a second opinion. Proceed cautiously as there may be tax implications depending on how your want to take the distribution.

by
| | Reply
Post ID: @xsw+1jlUbS9H

Post a reply

: