Your browser does not support JavaScript
 

Blog & News

Financial Planning amid the GE Aviation Workforce Reduction
Posted By:  Rob Lemmons CFP®, CPA, AIF®, CEPA
Wednesday, June 24, 2020

GE Aviation Workforce Reduction

Finding qualified, independent financial advice can be difficult. If you are facing a layoff due to the GE Aviation workforce reduction, we are helping our GE Aviation clients through this transitional period. There are a number of strategies to consider, and below are a few that we are working through with our clients currently.

 

Severance Package

One of the first major decisions is whether to take the severance package in lump sum or in the form of the IEA (Income Extension Aid Pln), which allows a weekly payment to supplement unemployment to get income potentially up to about 90% of where it was for a 4-6 month period. This option allows you to still be considered an employee of GE and look for another job within the company for 6 months vs being separated from service officially. This obviously has ramifications on income, the pension plan, and health insurance decisions.


Health Insurance - options and considerations

For those who are not 65 and Medicare eligible what options are available to you after separation? Is Cobra the right choice, coverage under a spouse's employer, or is a private insurance option best? If you are close to 65, bridging the gap until turning 65 can have its challenges.


GE S&SP

There are a number of options and strategies available to you once you separate from service and are no longer a GE employee. What are the benefits of maintaining the plan at Fidelity or should you roll it over to an IRA? What are the tax implications?


GE Pension Plan

Defined Benefit Plan and Personal Pension Account (PPA) and Voluntary Pension Account (VPA). There are a number of options to you with the pension plan and VPA/PPA. The regular defined benefit plan offers single life and survivor benefits. The VPA/PPA offers a similar pension payout or has the option to roll it over to an IRA.


TWP Tip:

Taking the lump sum on the PPA/VPA can allow for long term wealth accumulation and possible Roth IRA conversions.


Stock Options - Non Qualified and Restricted Stock Units (RSU's)

There are two components to GE's stock option plan. Upon retirement at age 60 or greater with 5+ years of continuous service, all restrictions on outstanding RSU's will immediately lapse and all outstanding grants will vest.

At Total Wealth Planning we help our clients every day answer these important and at times stressful questions. Who's helping you?

Financial planning is complex and requires the guidance of a trusted and experienced advisor, such as a fee-only Certified Financial Planner™ (CFP®), who plans comprehensively, and with a complete understanding of your particular concerns and goals in life.

For more information about the financial planning strategies we utilize, please visit us at www.twpteam.com or contact directly Rob Lemmons, CPA, CFP® at 513-984-6696.





 
 
Subscribe To Our Blog

Blog Categories

  • In the News
  • Business Owners
  • Charitable Planning
  • Client Experience
  • College Planning
  • Estate Planning
  • Executive Compensation
  • Firm Updates
  • Investments & Market Updates
  • Retirement Planning
  • Security & Privacy
  • Taxes
  • Financial Planning
    • 07/02/2020 - The Fear of Long-Term Care
    • 06/24/2020 - Financial Planning amid the GE
    • 11/21/2019 - Teach Your (Teenagers and Coll
    • 11/18/2019 - Teaching Young Children About
    • 11/05/2019 - Paying off debt... right emoti
    • 03/21/2019 - Managing Finances After Marria
    • 06/13/2017 - Do You Need a Home Inventory f
    • 04/27/2017 - Understanding the DNA of Your
 

INVESTMENT
MANAGEMENT

Your investment philosophy should be grounded in academic research and financial science. Our team will build you an investment portfolio that aims to give you the highest probability of achieving your goals with the least amount of risk.

Learn More
 

RETIREMENT AND
TAX PLANNING

Figuring out how to recreate your paycheck or developing a spending policy should not be an overwhelming exercise. Our team has the expertise to help with retirement portfolio, tax strategies, distribution planning, social security maximization strategies and more.

Learn More
 

HOLISTIC/COMPREHENSIVE
PLANNING

We’ll have discovery conversations, gather and organize your data, then craft comprehensive plans to achieve your life and financial goals. As our ongoing commitment, we consistently monitor and tweak your plan to ensure you’re on track and surprises are minimized.

Learn More

WE'VE BEEN LISTENING
FOR OVER 30 YEARS

Life brings many transitions. Find the right advisor to fit your needs on a fee-only basis, and take the first step in the journey. Total Wealth Planning's team of Certified Financial Planners® guides Cincinnati families and associates through transition.


Total Wealth Planning Associations
WE ARE PROUDLY ASSOCIATED WITH

CONTACT INFO


 

WHAT'S NEW AT TWP


       
CORPORATE EXECUTIVES

WEALTH-BUILDING FAMILIES

RETIREES

BUSINESS OWNERS
ECONOMIC OUTLOOK

BLOG & NEWS

VIDEO LIBRARY

   
4665 Cornell Rd. Suite 160, Cincinnati, OH 45241 4665 Cornell Rd. Suite 160, Cincinnati, OH 45241
513-984-6696 513-984-6696
info@twpteam.com info@twpteam.com
The Fear of Long-Term Care
Thursday, July 2, 2020


SEE MORE >

Follow us on Google+
Blog & News
Follow us on Twitter
Find us on Facebook
DISCLOSURES | COPYRIGHT © 2020. TOTAL WEALTH PLANNING. ALL RIGHTS RESERVED.
GET STARTED
READY TO
GET STARTED?