We at Hilltop Wealth Advisors heard the devastating news regarding the layoffs that occurred at Ford on August 23rd. To all the individuals and families affected by this unfortunate event, we understand that this event affects hard-working Americans, and we are here to help protect your retirement finances through this unfortunate period.
We acknowledge that, due to the recent economic impacts of the response to the COVID-19 pandemic, Ford made the decision to eliminate 3,000 jobs. Impacted employees received 9 months of severance, paid as a lump sum within 45 days of signing off on their paperwork. All that income will be counted for in the 2022 tax year. As layoffs were effective immediately, the news came as a shock to many in the Greater Michigan area who now face the decision to find new work or enter early retirement.
If you’re someone who is now entering early retirement because of this action, there are many unknown variables you’re now facing, such as how this affects your retirement longevity and how these payments may be taxed. The future may hold more uncertainty now than you planned for, but believe us when we say this:
You can still achieve a stable retirement, despite this setback.
At Hilltop, we have the tools and retirement planning know-how to help those affected, navigate this unexpected setback to their retirement financial goals. We’ve helped many people successfully navigate the setbacks that come up in retirement, including adjusting for an unexpected early retirement, and effectively minimizing the taxes you may receive on a lump sum payment.
An event such as a layoff can throw a wrench into your financial plans and can simply be painful for you, your family, and your loved ones. We understand what this means for you both personally and financially, which is why it’s important to be proactive by smartly adjusting your finances and retirement plan to accommodate this life change.
To get your financial plan on track, call us for a free complimentary review. We can help you get the most out of what you’ve worked so hard to save.