Does anyone know if BofA offers retirement packages for CSRs who have worked for 18 years? Or know about Rule of 75? I'd appreciate any guidance. Thank you
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there are no retirement “packages” that involve pay for years worked (severance). (the bank has no financial need to incentivize you to retire) if you choose to retire, expect basic cobra offer at full cost to you, no matching gifts after your last day, and small prorated payment of outstanding restricted shared at time of vesting. you will likely be backfilled with a contractor who will save shareholders lots of money. leaving just adds to next quarter’s earnings, with no benefit to you.
I retired from the bank in 2021. Cobra high deductible insurance for a family of 4 was offered at $1770/mth. BofA retirement insurance was offered at $2770/mth.
How the he-l do you retire and pay THAT?!? Healthcare.gov for the win!
By way of example, I just tried out the Modeling tool for kicks. (and got kicked in the behind!)
Not even our same plans...
Cost for just me = $15,547 - $16,625
That would be, um, NO THANKS. They basically want nothing to do with you after leave.
Just use us up, then kick us to the curb!! THAT is the Retirement "Package". They suk.
Retiree Health Coverage: Most will be eligible for the 18-month COBRA extension. If you meet Rule of 60, you "may" be eligible for Retiree Health Care Coverage after leaving. If you are eligible, the cost will vary depending on your legacy organization (which entity originally hired you), where you live, hire date, years of service, and your age at end of employment. If you are deemed eligible, you can enroll anytime within 31 days of your last day. You will automatically receive eligibility and enrollment information after your employment ends sent to you home address.
Matching Gifts: None after your last day of employment.
Employee Financial Services Benefits: Preferred pricing and discounts cease after your last day of employment. If you plan to continue banking at BofA, highly recommend you contact the 800-number on your bank statement to inquire if your balances (aka "Relationship Value") make you eligible for any fee waivers/discounts. (will pretty much be the standard Preferred Rewards program for whatever tier you qualify.
No such thing as a free lunch, nor free banking apparently. Good luck!
Retirement = your 401k
Hope you been maxing out contributions for a long time.
This company sucks!@!!
No retirement package. Most benefits end the day of exit or end of month that you exit, so go out first week of the month for those that apply. The info already provided is in a table online via flagscape enter ‘retirement’ in the search field. There’s not a lot other than what you don’t get and ‘see ya, hope you saved your money’.
Spend your recognition points, unvested stock options per option agreement ( most likely zero), they pay you for your remaining vacation but not any PTO or sick leave (exception is CA associates via merger) , so use PTO/Sick vs vacation 1st the year you go out.
Otherwise good luck and hope you are ready and enjoy.
See "Leaving Bank of America - Chapter VI of the Associate Handbook (available on Flagscape - my HR. You must be on the Bank network, not the "at home" version)
There are implication for people who joined prior to 2006 when federal laws were changed. Also, if you were hired by a predecessor entity that BofA acquired, some of their rules remain in place due to contractual agreements. (There is an appendix for each predecessor company. So look there too if you were acquired by BofA.)
EXCERPT
Associate Banking & Investments: "Some of the specially priced Associate Banking & Investments products may be converted to regular customer rates. Contact Associate Banking & Investments at 1.800.695.6262 so you can receive discounted banking."
[NOTE: Unlike Employee, for "Free" checking as Retiree you must maintain certain minimum balance.]
Pretty sure Matching Gifts for Retirees was discontinued, so make any matches before your last day of employment.
Medical: "You or your eligible dependents may elect to continue your current medical, dental, vision and/or health flexible spending account coverage for up to 18 months after your active associate coverage ends through COBRA.
Rule of 60: "If you meet the Rule of 60 when you leave the company, you may be eligible for retiree medical, dental and vision benefits at full cost. The Rule of 60 applies when employment ends for a full-time or part-time associate who leaves Bank of America any time after satisfying both the following requirements:
• The associate has completed 10 years of vesting service as defined under either the tax-qualified pension plan sponsored by Bank of America in which the associate was accruing a benefit when employment ended or the Bank of America Pension Plan if the associate was not accruing a benefit under any such tax-qualified pension plan.
• The sum of the associate’s age and years of vesting service (both expressed in years and months) is 60 or more."
Retiree health and insurance benefits:
"Under current policy, retirees are eligible for continued group medical coverage (and may be eligible for company contributions toward medical coverage) and special rates on certain banking products and services. To qualify for any of the benefits made available to retirees, you must meet the specific eligibility requirements for each benefit. The programs made available to retirees may be changed or canceled at any time by Bank of America."
There is a full table that spells out the implications for each benefit as Retiree and the eligibility criteria for each. It's a LONG table.
My Summary: Very few benefits remain in place for retirees these days. God luck!
I just called HR last week about retirement last week. It takes 45-60 days to process retirement. Free checking no thanks I don't bank her now.
Info should be available on HR Connect. There are limited retirement benefits (matching charity contributions, free checking)