In Reply to: Re: IBM loses pension lawsuit IN USA posted by 926_Retired on 18 August 2004 at 07:17:22:
The detail of my own pension calculation and MIL 582 show that service back to age 21 is included in the C Max calculation.
The effect is, though, as you describe - a loss of about 4 years. In other words, the promise to convert all N Plan to C Plan didn't materialise if you happened to have joined the N Plan before age 25! I have written to Pensions and IBM about this more than once!
The Max calculation only really affects that (small) group of us who joined N plan before 25 and left in our 50s. I believe it was "cobbled together" to meet the (then but not recently) government rule about percentage payable on retiring between age 50 and 60.
To get back to your point about the C plan starting at age 25. I feel we early joining originally N planners should have been given N plan to age 25 then C plan and that the C plan max (if still necessary) should have operated from age 25. As it is, it is not fair.