Expert: Allen - 1/26/2011

Question
I plan to retire in 15 months at age 55 after 32 years at my company.  For 19 years, I was in the union, and the rest in management.  During my time in the union, especially the last few years, when we would negotiate a contract, we would have a portion of our package that we could decide if we wanted to put it 1) into our paychecks, 2) towards our health care or 3) into our pensions.  Much of this we decided to put into our pensions.  In asking for my pension calculation, I get a monthly figure from my union portion (19 years).  Here's where the problem is.  Instead of the company then calculating my "management" pension for just the years that I have been in management and adding it to my "union" pension, they actually calculate my entire career at the management rate, then subtract the union calculation.  The problem is that because of the extra that we voted to put into our pensions while in the union, the union % is actually higher than the management %, therefore I am told that I have nothing coming to me for the time I've been in management!  
This just doesn't seem right and I would like to have it looked at by a professional.  What kind of professional do I need to hire?

Answer
You can hire an actuary or a lawyer. I recommend using an actuary. You can find one who will help by contacting the American Academy of Actuaries in Washington D.C. and asking about their Pension Assistance List. If you use a lawyer make certain he or she is well versed in ERISA and in particular defined benefit plans.

Good luck.