As a former IBM employee we were given an account that was to stand as our medical fund for retired employees who qualified for retirement. It is called an RHSP account. Our division was sold by IBM to Hitachi. Since then we were sold by Hitachi to Western Digital but China officials balked and require us to remain a separate company so for now we are known as HGST - a Western Digital Company. This account was a bridge between having full medical upon retiring from IBM to what is now an industry standard of no medical when you retire. Hitachi has decided that they are not going to manage this account anymore and are dropping it. When first started this fund would grow by some formula based on years and age. At some point they decided to freeze this account and no longer put money in or allow interest. It should be noted that the money was never set aside and if we managed to qualify to draw on it, the funds came from operating expenses. Now Hitachi is offering us a percentage of the money that was promised as a lump sum. Actually they are not offering as they are doing it anyway, with or without our approval. Since the money is taxable as a distribution and with the percentage they are quoting we will receive about 30% of the balance. Not counting what that will do to our tax bracket next year.
So my question is would it be worth going after a higher percentage from the company or should I just smile and say may I have another?
Thank you for your opinion.
So my question is would it be worth going after a higher percentage from the company or should I just smile and say may I have another?
Thank you for your opinion.
