Greetings from Mid-Michigan – The Great Lakes State!
This month’s topic is the 401 K.
Every member should be contributing to the 401K, are you? Time goes by fast, whether you’re 25 or 45 it will feel like a day has passed and you will be retiring and wondering why I didn’t put money into the 401K. I have been told by several people that you can put 3% into the 401K and not see a change to your take home. That’s nice but we make enough hourly to put 10% or 15% away and after a month or so you will not notice the difference in you check. As I get closer to retirement I wish every day I had maxed out my 401K and I don’t want any of the members to feel the way I do.
When you retire you will have to or want to buy a truck or car since most members have company vehicles. A truck will run you about $45,000.00, a car about $30,000.00 and this is on the low end. The truck I want is about $55,000.00 and the new car my wife wants is about $36,000. That’s about $90,000.00. I will have over $100,000.00 in my annuity (thanks to our union), but I will need it to cover the health insurance cost after retirement. So where do I come up with the $90,000.00 I need for vehicles? Make payments, I don’t think so. Take a part time job, I don’t think so. Sell my motor home, but it’s not worth that much. Take it from the 401K if I have one. What I’m saying is you cannot have too much money saved up for retirement or life’s emergencies.
Emergencies; a member had some major health issues and without the 401K his family could have lost their home, health insurance and way of life. They didn’t plan on health issues, they wanted the money for retirement. As it worked out they took out enough to get control of an almost uncontrollable situation and still have money for retirement! Without the 401K the outcome would have been very different. I hear members complain about the taxes when you take money out, well at least you have money to take out. We are lucky to be in a union that supports us every day and is looking out for us into our retirement. No other union has 3 pension plans; defined pension, annuity and 401k (optional). Now is the time, if you have not started a 401K do it this month and increase it every year until you are maxed out.
Dates to remember:
September 7, 2015 Labor Day, paid holiday
September 17, 2015 JAC Meeting 9:00 am
September 25, 2015 Application deadline for State Test
September 29, 2015 Union Meeting 6:00 pm, dinner included
September 30, 2015 Gaylord Union Meeting 6:00 pm
October 1, 2015 Marquette Union Meeting 6:00 pm
November 6, 2015 State Test
NEIEP:
Have you selected Continuing Education classes? Call us and we will set them up.
This year’s teachers, in case you didn’t know, are:
Jordan Miller teaching RC200, Hoistway Structures
Chuck Sicher teaching RC600, Solid State
RJ Shaughnessy teaching RC300, Electrical Fundamentals
Pat Blink teaching Distance Learning
Mechanics Review & filling in: Corey Kape, Randy Kape and Bill Kogelschatz
Golden Rail Club
Kalamazoo: 9.2.2015 First Wednesday @ 10:00 am, Theo & Stacey’s
Lansing: 9.16.2015 Third Wednesday @ 9:00 am, Zeus Restaurant, 6525 Pennsylvania, Lansing
Grand Rapids: 9.15.2015 Third Tuesday @ 9:00 am, New Beginnings, 1455 Michigan
Street, NE, Grand Rapids
In Unity There Is Strength,
Bill Kogelschatz