Re: C to M plan conversion

Posted by Bryan Williams on 13 September 2001 at 09:17:38:

In Reply to: Re: C to M plan conversion posted by Archie Galbraith on 12 September 2001 at 15:30:10:

: : Has anyone any information on whether such a move is a good thing or not?
: : I have about 19 years until I retire....

: This is only an opinion & not based on any knowledge of
: pensions calculations. I would not make the move, based
: on the simple premise that IBM Mgnt moved to "Money Purchase"
: to save the IBM company money, not for the advantage of it's
: personnel.
:

Thanks for the post, but surely the fact that in the M plan
you only contribute 3% (instead of 4%) and that the pension is protected
against inflation (RPI or 5%) has some effect?
I'd guess that a point against the M plan is the uncertainty as to what your final
fund is going to be....
Also in the last 3 years the transfers from C to M have gone up (2m,9.2m,12.1m).