ziggy29
Moderator Emeritus
About 3-4 years ago Megacorp #1 sent me a pension buyout offer which I quickly disregarded after a quick running of the numbers. Well, today I got another one, and while I don't think I'll bite, they are really upping the ante.
The last buyout offer I received was for a lump sum of about $25K. This one is over $48K. It's almost to the point of being tempting; I'll be 49 in two days and this pension would be for $657 a month, no COLA and with 100% surviving spouse income, starting on 11/1/2030 (at age 65).
Maybe in a couple more years they'll come back with an offer of $60-70K and it will start to really catch my eye. My off the cuff math and Excel work suggests this is about where they would really get my attention.
Anyway, my question to those of you who have been offered these in the past: Has it been your experience that if the employer is determined enough to get pension liabilities out of their books, these offers can keep coming and usually get better over time? I do like the three-legged stool approach to retirement income and this my only DB pension in that "third leg". That said, it's certainly possible to entice me with a good enough offer.
The last buyout offer I received was for a lump sum of about $25K. This one is over $48K. It's almost to the point of being tempting; I'll be 49 in two days and this pension would be for $657 a month, no COLA and with 100% surviving spouse income, starting on 11/1/2030 (at age 65).
Maybe in a couple more years they'll come back with an offer of $60-70K and it will start to really catch my eye. My off the cuff math and Excel work suggests this is about where they would really get my attention.
Anyway, my question to those of you who have been offered these in the past: Has it been your experience that if the employer is determined enough to get pension liabilities out of their books, these offers can keep coming and usually get better over time? I do like the three-legged stool approach to retirement income and this my only DB pension in that "third leg". That said, it's certainly possible to entice me with a good enough offer.