GE Freezes Pension Plan

General Electric Freezing Pension Plans

GE freezes pension plan for 20,000 employees

General Electric is pulling the plug on its pension plan, and that’s a surefire way to derail workers’ retirement planning.

GE GE, +0.29%  announced on Monday it was freezing pensions for 20,000 employees with salaried benefits in an attempt to reduce its $8 billion pension deficit, and that it would also freeze supplementary pension benefits for about 700 workers. Current retirees already receiving their pension payments will not be affected and no new hires have been enrolled in the pension plan since 2012. (Read more)

Do you want to work into retirement?

Private companies are moving away from pension plans. Only 16% of Fortune 500 companies offered a defined-benefit plan (otherwise known as a pension plan) in 2017, down from 59% of the same employers in 1998, according to London-based insurance company Willis Towers Watson. Instead, some — not even close to all — private companies offer employees defined-contribution plans that require employees voluntarily save for themselves (but might include an employer match). Only a third of Americans are saving in such a plan, according to U.S. Census Bureau researchers, and that’s only if their employers offer such a plan. Only 14% of private companies do provide a 401(k), and they’re usually larger companies. (https://www.marketwatch.com/story/even-people-with-pensions-work-into-their-retirement-years-2018-09-14)

GE is not the only company in this situation.

“It’s often the employees who end up losing out. Freezing pensions has become a more popular strategy for companies in recent years. A decade ago, about 20% of Fortune 500 companies with pension plans in place since 1998 had frozen their plans, according to Willis Towers Watson. Since then, that figure has swelled to 42%.” – Bloomburg (read more)

Pensions are not guaranteed. How does your retirement look if you lost yours?

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Learn More: Retirement Income Strategies

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Nick Abbate: New Assistant General Agent

Nicholas Abbate was #3 in the field force for 2018 for ALL the Knights of Columbus. Now he's the Abbate Agency Assistant General Agent

The 2019 General Agent Training Class

Nicholas and Supreme Knight Carl Anderson

Nick Abbate completed General Agent training at the Knights of Columbus home office in New Haven, CT. This helps prepare him for his promotion to Assistant General Agent for the Abbate Agency.

This training will help Nick, and the entire agency, to better serve owners attain their goals through financial advice, founded in faith.

In the Abbate Agency, we take your financial goals and objectives seriously and always aim for the tip. How can you know that's true? Just look at the numbers.

The Abbate Agency was #2 for 2018 (read more)

Bob Abbate led the Agency to the number 2 position in the entire Knights of Columbus in 2018. Pictured are Bob Abbate, Julie Abbate, and Ed Polich, the Virginia State Deputy.

Nick Abbate was #3 for 2018 (read more)

Nick Abbate took the number 3 position of all the worldwide field force in the Knights of Columbus. All the Abbate Agency Advisors take serving our clients seriously. 60% of our advisors have qualified for MDRT (Million Dollar Round Table), a designation only held by the top 2% of all advisors in the world.

"It was an honor meeting our Supreme Knight, but it was equally awesome meeting our colleagues from all over the country! Great group of people, great support from our Home Office and great members we serve! Thank you for the wonderful experience and I look forward to the future with the #KofC!"

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