pension

GM's pension buyout sets corporate example

Jun 6, 2012
General Motors' move to cut pensions costs is likely to copied by other companies struggling with underfunded plans for retirees.
Posted In: General Motors, GM, pension

San Jose pension vote could set precedent

Jun 5, 2012
Voters in the California city today are considering slashing public employee pensions in a ballot initiative that could set a precedent for other cities.
Posted In: San Jose, pension

To annuitize or not to annuitize -- with apologies to Shakespeare

Mar 29, 2012
I am ready to convert my 401(k) into an IRA. I am 61 years old and want to start taking annual distributions. The current balance in the 401(k) is $562,000 and I would like to withdraw 4 percent annually. Fidelity Investments is recommending a Guaranteed Annuity of $400,000 and the remaining in a managed portfolio fund (balanced). The annual fee for annuity is 1.90 percent of the balance and the managed portfolio 1 percent. These are the only fees. There is a 2 percent penalty if withdrawn within the first 5 years. Is this a good option, or should I keep the money in moderate conservative index funds? Emma, Las Cruces, NM
Posted In: annuity, immediate annuity, retirement savings, 401(k), IRA, pension