Saturday, December 23, 2017

Retirees in their late 70s work menial jobs as their pensions have failed them

Peter Whoriskey has a stinging article on how the capping and sometimes termination of pension benefits is affecting older Americans in this Washington Post article, “I hope I can quit working in a few years”.


The story has many examples of many seniors in their 70s working menial jobs (one as a greeter at Walmart at 79).  Most workers have not been able to save enough to get ahead of the game. 

Thursday, December 21, 2017

MetLife and the pension risk transfer business

The Wall Street Journal has an important story in the pension risk transfer businesses, where large insurance companies contract to take over the obligations of employers who want to reduce pension exposure risk.

In particular, Leslie Sicsm reports that MetLife has hired an outside law firm to help it trace and fulfill the obligations it has taken on. 

The company wants to account for its obligations by Feb. 1.

Recently MetLife transferred some of its retirement annuities (mine in particular, through Wells Fargo) to Brighthouse. 

Saturday, December 09, 2017

Trump's tax plan hurts some retirees and is not that good for big business (Forbes)

The pro-business Forbes magazine in an article by John Wasik, is quite critical of the Trump-GOP tax plan, in its various incarnations, especially the Senate bill which has now passed. It's  turnaround from September when the publication had predicted a result good for seniors. 

The article notices the loss of medical expense deductions, which could be hard on seniors just before age 65, still not on Medicare but depending on “private”, often employer-sponsored retiree health insurance.  (Mine with ING, which ended in 2005, wasn’t too bad, but after all I had worked for an insurance company;  they had more incentive to be fair with it.  It turns out United Health Care did take care of a major skin cancer at age 64, almost 100% coverage)   The article gets into other areas, like college financial aid (which affects retired parents and grandparents).   What seems remarkable about this article is that it looks at the GOP’s supposed “pro-rich” tax bill as not very good for most companies and employers at all.   And this is from a publication related to Steve Forbes.

Trump seems to be ignoring the showdown that will come soon with Social Security, the next time we have a debt ceiling crisis. 
There are ads that claim that Trump's tax plan will hit Medicare Advantage customers particularly hard.