Tuesday, December 15, 2009

GATT Rate is in the System!!

Please note that we have no affiliation with Verizon or the Verizon Benefits Center (Hewitt).

With the above disclaimer out of the way, we are happy to report that the new GATT Rate for the 1st Quarter of 2010 has been updated at the benefits center. The "official" rate appears to be 4.31%, which is very good news.

If you need our assistance with your retirement, please call Harris Financial Group at (800) 281-3980. We provide a wide variety of financial services and we know your retirement plan!

Monday, November 30, 2009

November GATT Rate -- Verizon

The all-important GATT Rate for the month of November 2009 will be between 4.31 and 4.33, depending on whether the number is rounded up. Please note that this figure is based on our unofficial calculations, and that you should always rely on information you receive from the benefits center. We are providing this information now because it may be a few weeks until the official number is updated in the benefits center computer system. We feel very confident that the rate used will be either 4.32 or 4.33.

Either way, it represents a small drop from the previous quarter's GATT Rate of 4.37%. This is good news, although you will likely not notice much of a difference from the 4th Quarter 2009 to the 1st Quarter 2010.

For our friends in West Virginia, this rate is especially good news, as it should provide you with the ability to work into early 2010. Please contact Jamie, Carl or Steve at (800) 281-3980 to discuss your personal situation in more depth.

Monday, November 23, 2009

Something to be Thankful for: November PBGC Rate!!

Although the focus of this website is usually on the GATT Rate, we can't forget about our good friend the PBGC Rate either. And wow, the PBGC delivered very good news with the most recent rate!

For more on how this could have a positive impact on your retirement, please contact Harris Financial Group at (800) 281-3980.

Monday's GATT Closes Around 4.287%

This will help bring down the monthly average ever-so-slightly. The GATT is starting to look pretty harmless this month for those of you hoping to wait until next quarter to retire.

Thursday, November 19, 2009

Please Visit Our New and Improved Website

Jamie Cox and Holley Whitfield have been hard at work creating our new and improved website.

Please take a minute to visit the website to learn more about our firm and the services we offer.

GATT Rate Closes at 4.29% Today

Just past the halfway point, the unofficial monthly average currently stands at 4.35%.

This is good news for many of our Verizon friends in West Virginia and North Carolina, as well as anyone else who may be contemplating retiring in the 1st Quarter of 2010.

Please contact Harris Financial Group at (800) 281-3980 if you have questions about how the GATT Rate affects your retirement.

Tuesday, November 17, 2009

GATT Heads Lower

The GATT Rate has steadily dropped over the past few days, registering closing yields of 4.39, 4.36 and 4.26%. Although this is a welcome change, remember that what we're waiting for is the monthly average. We'll continue to keep you updated. In the meantime, please call Harris Financial Group at (800) 281-3980 for help with anything else related to your retirement.

Wednesday, November 11, 2009

Attention VZ Managers!

Please contact Harris Financial at (800) 281-3980 for an important update on the 10-year treasury rate and how it may affect your lump sum if you have recently received a RIF.

GATT at 4.41% Again Today

It's starting to look like the GATT Rate for this month will be pretty close to the previous quarter's rate. It's still too soon to say for sure, so please stay tuned as we continue to update throughout the month.

Tuesday, November 10, 2009

GATT Still Hovering Around 4.4%

The GATT Rate has been fluctuating between 4.39 and 4.41 over the past few trading days. For those of you monitoring the change in the quarterly GATT, this is still not a big move from the past quarter, which is good news.

Thursday, November 5, 2009

Attention Financial Advisors

Please don't call us impersonating hard-working, good people from companies like Verizon, AT&T, and Boeing.

Folks, if your financial advisor needs to call us and ask us questions in order to properly help you plan your retirement, then perhaps we ought to be the team advising you. Just food for thought.

GATT Rate Hovering Around 4.41% Today

After closing at 4.43% yesterday.

Wednesday, November 4, 2009

November GATT Update

This isn't the start to November that many of you had hoped for. The GATT Rate has been significantly higher to start the month, closing at 4.27 and 4.34 for the first two trading days. It's still very early in the month though, so it's still too early to tell what the average for the entire month will be.

If you work for AT&T or Verizon and have questions about the GATT Rate, please call us at (800) 281-3980.

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We are financial advisors whose goal is to help people gather as much information as possible in order to make an informed retirement decision. As a professional courtesy, we ask that other financial advisors do not call us for information related to the GATT Rate, or any company's pension plan.

Monday, November 2, 2009

New Verizon EISP Offer

We have heard of multiple people in the mid-Atlantic region who have received solicitations for a Verizon EISP offer with a last day of employment of December 19th. We're not sure which job titles this affects, but if you have any questions about the offer, please call Harris Financial Group at (800) 281-3980.

Monday, October 26, 2009

Interest Rate Updates Coming Soon -- November Is Almost Here!

Once again, we will be posting daily interest rate updates for the month of November, which is a significant month for many of our readers regardless of who their employer is. Unfortunately, the interest rate environment here at the end of October is substantially higher than it was just a few weeks ago, and it will be important to monitor whether that trend continues in November.

Please continue to check this website, or call Harris Financial Group at (800) 281-3980 with any questions.

Wednesday, September 16, 2009

New Interest Rates and Pension Band Rates Have Now Been Updated at VZ Benefits Center

The Verizon Benefits Center has updated two key components of Associates’ Lump Sum Pension calculations. The GATT Rate for the 4th quarter (4.37%) now appears for benefit commencement dates in October-November-December 2009. In addition, the pension band increase of approximately 3.5% has also been updated. For those of you planning to retire with the October 31st EISP offer, you should now be able to get accurate lump sum projections. If you need any assistance with these projections, please call Harris Financial Group at (800) 281-3980, and we will be happy to help you.

For Verizon Associates in West Virginia, we know that there are also several of you who are curious about what your lump sum pension amount would be if you were to retire in the 4th Quarter of 2009. You should now be able to view these amounts online or request them from the benefits center. Harris Financial Group is available for free retirement consultations, either over the phone or in person, and we would be happy to help you gather the information that you need to make your decisions.

Thursday, September 3, 2009

Reminder: November is the Next Important Month for VZ Associates

Now that we know what the August GATT Rate was, we're now setting our sights on the next significant month, November. The November rate will be used for Jan-Feb-March 2010 retirement dates. We won't be providing daily updates on the GATT Rate until we get closer to November, but we will post any meaningful moves that may help identify the overall trend.

If you would like Harris Financial Group to help you evaluate your lump sum pension amount for the 4th Quarter of this year, please give us a call at (800) 281-3980. We should be able to help you determine whether the benefits center has updated the system with the new GATT Rate.

Monday, August 31, 2009

Q4 PBGC drops to 3.0%!!

Q4 PBGC posts a dramatic drop to 3.0% from 3.75% in Q2. This is yet another reason to run pension estimates in the month of September!!

It may be a week or more before the VZ Benefits Center has the new GATT Rate updated in their system. If you would like Harris Financial Group to provide you with an unofficial estimate while you await the official number from the benefits center, please call us at (800) 281-3980.

30 Year Treasury Yield at 4.18% Today; The Fourth Quarter GATT Rate is 4.373%

Critical month of August results in only a modest increase in the GATT rate from 4.23% to 4.373%. Taken alone. this 14 basis point move will produce slightly lower lump sum values for those working into Q4; however, the 3.5% pension band increase(PBI) slated to go into effect on October 01, 2009 should help to ameloriate the small decrease in lump sum values. In fact, it is likely that lump sums will actually increase in Q4 because the PBI benefit is greater than the loss created by the increase in rates!!
We encourage you to run your benefits estimate to verify the differential in Q3 versus Q4 prior to September 15 to make certain you have sufficient time to react if you want to leave prior to October 01.

For all of those people who are trying to get to Q1 2010, we are one step closer!!


It may be a week or more before the VZ Benefits Center has the new GATT Rate updated in their system. If you would like Harris Financial Group to provide you with an unofficial estimate while you await the official number from the benefits center, please call us at (800) 281-3980.

Friday, August 28, 2009

GATT at 4.21% Today; Monthly Average Drops Below 4.4%

With one trading day left this month, it looks like the August GATT Rate may settle slightly below 4.4%. All things considered, this is a vast improvement over what we saw earlier in the month.

It may be a week or more before the VZ Benefits Center has the new GATT Rate updated in their system. If you would like Harris Financial Group to provide you with an unofficial estimate while you await the official number from the benefits center, please call us at (800) 281-3980.

Thursday, August 27, 2009

GATT Closes at 4.23% on Thursday

As we approach the end of August, the GATT Rate closed at 4.23% today. Remember, it is the monthly average that we want to watch.

We'll be posting the monthly average for the GATT no later than September 1st for all who may be interested.

If you have met with us or spoken with us in the past week, there have been no meaningful changes since then. If you have not yet spoken with us, please give us a call so that we can provide you with the information that you need. Call Harris Financial at (800) 281-3980.

Tuesday, August 25, 2009

Attention AT&T

We have had lots of calls from AT&T folks asking about the GATT rate. According to the CWA, the Pension Protection Act (PPA) Rate will be phased in 25% of the next four years until it completely replaces the GATT rate. If, however, during the life of this contract(until April 1, 2012), the GATT rate produces a higher lump sum than the combination of the PPA and GATT, then you receive whichever rate produces the highest lump sum for you.

Although this is a big change for you, you have the opportunity to see the difference the PPA rate produces without enduring its pain until 2012.

Please note, this post pertains to the AT&T Pension plan and contract. Verizon employees should not apply the information contained in this post to their own situation.

GATT Drops to 4.23%

It's looking more and more like the August GATT Rate isn't going to be as bad as it looked in early August. This is good news for anyone hoping to retire in the 4th Quarter, even though the August GATT will be higher than May's rate. Please call Harris Financial with any questions, (800) 281-3980 or (804) 526-0544.

Saturday, August 22, 2009

GATT Rate Back Up to 4.36%

The week ended with the GATT Rate back up to 4.36%. We have six more trading days to determine what the average will be for August.

Thursday, August 20, 2009

72(t) Rate on the Rise!

Here is a link to the latest Revenue Ruling from the IRS about the mid-term applicable federal rate that is used to calculate 72(t) retirement income payments. For more information about how much retirement income you might have, please contact Harris Financial at (800) 281-3980 or (804) 526-0544.

GATT Drops Again

Today's yield on the 30-yr. Treasury bond fell to around 4.24%.

Wednesday, August 19, 2009

GATT Rate Drops to 4.294%

Today's yield on the 30-yr. Treasury bond fell to 4.294%. This is good news for those of you considering the October 31st EISP package or for anyone considering retiring in the 4th Quarter of 2009. It is still too early to determine what the final monthly rate will be for August, but it is looking like the steep decline many of you saw on your lump sum amounts from June to July will not be repeated this time around. Stay tuned...

If You Have the October 31st EISP Package...

Please feel free to call Harris Financial Group for a low-pressure, no obligation consultation about your retirement options. We can discuss with you such important topics as:

1) How does the GATT Rate affect your buyout?
2) How much retirement income will you have?
3) What paperwork will you need to complete in order to retire?
4) What investment choices are available to you, and how much do they cost?

Please call Jamie, Carl or Steve at (800) 281-3980 or (804) 526-0544. We are scheduling appointments throughout the Verizon Mid-Atlantic footprint and would appreciate the opportunity to speak with you about your retirement!

Tuesday, August 18, 2009

GATT Rate Edges Higher to 4.365%

Not a big change on the 30-yr. Treasury yield today.

If you have been offered one of the latest October 31st EISP packages, please call Harris Financial Group at (800) 281-3980 or (804) 526-0544 to discuss the GATT Rate that will be used to value your lump sum pension amount. Or, if you are still debating about whether to take the September 12th offer, we can provide information on that as well!

Monday, August 17, 2009

GATT Rate Ticks Lower to 4.35%

So far so good for this week's GATT Rate watch. The yield on the 30-yr. Treasury bond dropped to 4.35%. With 11 more trading days left in August, it's still too early to make a call on lump sum amounts for the 4th Quarter of 2009.

Friday, August 14, 2009

Week Ends with GATT Rate at 4.41%

The rate has headed lower over the past few trading sessions. This trend will need to continue in a big way for the monthly average to approach May's 4.23% rate. By the end of next week, we should have a much better idea of what the August average is shaping up to be.

Thursday, August 13, 2009

Chart of August vs. May GATT Rates

With today's GATT Rate closing at 4.43%, here's an updated chart comparing May's rate to the current month of August:

Re-Post on 72(t) Retirement Distribution Rates

Here is our post from July 22nd that many of you will want to consider for how much retirement income you can potentially withdraw without penalty. We should have an update on the latest rates within about a week:

Mid-Term AFR Rises for August

The Treasury has published the Mid-Term Applicable Federal Rate for August. The rate now stands at 2.80%, up slightly from 2.76%.

This rate is significant because it is used in the calculation of IRS 72(t) payments. In this context, a rising rate generally allows someone to set a higher initial 72(t) withdrawal amount, provided it is prudent and suitable to do so.

Here is a link to the IRS Revenue Ruling listing the new rate.

For more information on how this rate might impact you, please call Harris Financial Group at (800) 281-3980.

Wednesday, August 12, 2009

GATT Rate on the Rise Again

Today's yield on the 30-yr. Treasury closed at 4.52%.

The unofficial running average for the month of August so far is 4.51%.

Remember that this month's rate will be used for lump sum pension buyouts that use benefit commencement dates in October-November-December 2009. The rate that is in effect for the September 12th EISP is May's more favorable rate of 4.23%.

We have enjoyed meeting and speaking with those of you who are thinking about retiring with this offer. We're available to answer any questions you may have about your retirement options. Please call us at (800) 281-3980 or (804) 526-0544.

Tuesday, August 11, 2009

GATT Rate at 4.45% on Tuesday

The monthly average for August continues to drop slightly as the yield on the 30-yr. Treasury bond dropped to 4.45%.

Monday, August 10, 2009

GATT Rate Drops Slightly to 4.53%

Monday's yield on the 30-yr. Treasury dropped to 4.53%. Although this is still well above the May rate of 4.23% (which will be in effect for the September 12th EISP), it was nice to see the rate drop a little bit after a pretty sharp jump last week.

We are roughly 1/3 of the way to determining what the monthly average for August will be. Please continue to check this website for updates, or call Harris Financial at (800) 281-3980 or (804) 526-0544.

Friday, August 7, 2009

GATT Rate Ends the Week at 4.60%

Friday's closing yield on the 30-year Treasury Bond was 4.60%, the highest rate thus far in August.

Thursday, August 6, 2009

GATT Rate Settles at 4.52% today

The GATT Rate (yield on the 30-yr. Treasury Bond) settled close to 4.52% today. Although slightly lower that Wednesday's yield, the rate is still well above May's rate of 4.23%. For more information about how this may affect your pension, or if you have questions about Verizon's latest EISP offer, please call Harris Financial Group at (800) 281-3980 or (804) 526-0544.

Wednesday, August 5, 2009

Yield on 30-yr. Treasury (GATT Rate) Rises to 4.56%

The yield on the 30-yr. Treasury Bond closed at 4.56% today.The rate from May (4.23%), which will be used to value lump sums for anyone accepting the September 12th EISP offer, appears to be more attractive than the 4th Quarter rate (August) at this point. A lot can change over the course of the next few weeks, and since you do not have to make a retirement decision until August 29th, please continue to check this site or call Harris Financial Group at (800) 281-3980 or (804) 526-0544 with any questions.

Tuesday's Yield on 30-yr. Treasury Bond is 4.46%

The yield on the 30-yr. Treasury Bond closed at 4.46% Tuesday. The rate continues to head in the wrong direction for those of you considering retiring in the 4th Quarter of 2009. The rate from May (4.23%), which will be used to value lump sums for anyone accepting the September 12th EISP offer, appears to be more attractive than the 4th Quarter rate at this point. A lot can change over the course of the next few weeks, and since you do not have to make a retirement decision until August 29th, please continue to check this site or call Harris Financial Group at (800) 281-3980 or (804) 526-0544 with any questions.

Monday, August 3, 2009

August is Here! Yield on 30-yr. Treasury Closes at 4.42% on First Day of August Trading

The yield on the 30-year Treasury closed at 4.42% today, the first trading day in August. If you have been following our blog, you know that August is the month that will set the GATT Rate for 4th Quarter 2009 retirements. So far, the rate is well above the rate currently in effect for the 3rd Quarter (4.23%). Unless something changes drastically over the next few weeks, it is likely that pension lump sums will be lower in the 4th Quarter than in the 3rd Quarter. We’ll be following the changes in the interest rate very closely on this blog. If you have any questions about this or any other aspect of your retirement, please call Harris Financial Group at (800) 281-3980 or (804) 526-0544.

Friday, July 31, 2009

30-Year Treasury Yield Falls – Good News Heading Into August?

The yield on the 30-yr. Treasury fell today to 4.31%. Although this yield is still higher than May’s monthly average of 4.23%, it was an encouraging way to close the month of July as we head to the all-important month of August. Why is August so important? Because August’s monthly average yield will be the GATT Rate that is used in Verizon Associate pension calculations for October-November-December retirements.

As many of you have seen, your lump sum amounts declined drastically from June to July. The August rate will give us tremendous insight into what the drop-off could be from September to October. So, for those of you debating whether to accept the September 12th EISP offer, it is very important that you pay close attention to the yield on the 30-year Treasury throughout the month of August. We will be reporting that information right here on the blog, and we’re also standing by to help you.

Please call Harris Financial at (800) 281-3980 or (804) 526-0544, and ask for Carl, Jamie, or Steve.

Thursday, July 30, 2009

30-Year Treasury (GATT Rate) at 4.45%

The yield on the 30-year Treasury Bond is 4.45% as of today. Although the rate has declined in the past few trading sessions, the rate of 4.45% still represents an increase of 22 basis points over May’s rate of 4.23%. The change of the rate from 3.59% to 4.23% resulted in a significant reduction in lump sum pension amounts, and unfortunately, as of now, that trend is continuing. This is something to watch very closely if you are debating whether to accept the September 12th EISP offer from Verizon. Please call Harris Financial Group at (800) 281-3980 or (804) 526-0544 with any questions about how this may affect your retirement.

Tuesday, July 28, 2009

Verizon Rumors Heating Up

We're starting to hear strong rumors of an EISP offer with an off-payroll date September 12th. The difference in retiring in September vs. October could be very significant from a lump sum standpoint, as the GATT rate seems to be on the rise.

Verizon reported its 2nd Quarter earnings today and plans to cut about 8,000 jobs during the second half of 2009.

Thursday, July 23, 2009

30-year Treasury Yield Rises to 4.6%

Things are heading in the wrong direction for those of you planning to retire in the 4th quarter of 2009. We now have just 6 trading days left until the August rate begins it's month-long average, and the rate has headed higher over the last few days. Stay tuned!

Video Link to Jamie Cox's Appearance Today on CNBC

Link to Jamie Cox's appearance on CNBC.

Wednesday, July 22, 2009

Mid-Term AFR Rises for August

The Treasury has published the Mid-Term Applicable Federal Rate for August. The rate now stands at 2.80%, up slightly from 2.76%.

This rate is significant because it is used in the calculation of IRS 72(t) payments. In this context, a rising rate generally allows someone to set a higher initial 72(t) withdrawal amount, provided it is prudent and suitable to do so.

Here is a link to the IRS Revenue Ruling listing the new rate.

For more information on how this rate might impact you, please call Harris Financial Group at (800) 281-3980.

Monday, July 20, 2009

Jamie Cox to Appear on CNBC on July 23rd

Harris Financial's Jamie Cox will appear on the CNBC television show "Power Lunch" on Thursday, July 23rd at approximately 12:05pm. We will post a link to the interview as soon as it becomes available.

30-yr Treasury Yield at 4.466%

Another relatively calm day. Just 9 more trading days until August, when it will be really important to watch the rate.

Friday, July 17, 2009

GATT Rate Ends the Week at 4.53%

Not a good week for those of you hoping the rate comes back down for the month of August. There's still time for that to happen, and we'll watch closely next week.

The rate is now almost 100 basis points (1%) higher than it was for June 27th retirees, potentially resulting in huge reductions in lump sum amounts.

Thursday, July 16, 2009

GATT Rate at 4.45% Today

A fairly calm day for the 30-year Treasury Bond today saw the yield drop slightly to 4.45%.

Wednesday, July 15, 2009

Yikes! GATT Rate Moving Up Again

With August now just 2 weeks away, it is becoming more important to watch the GATT Rate closely. There were signs of optimism last week as the rate (which is the yield on the 30-year Treasury Bond) was down around 4.2% -- roughly where it was for the month of May.

But as of this morning, the rate is working its way back up to around 4.45%. This is potentially bad news for those of you thinking about retiring in the 4th Quarter of 2009. Remember, the higher the rate goes, the lower your lump sum pension payment will likely be.

We will closely monitor and report any movement in the GATT Rate over the next month. Please contact us if you would like some help figuring out your particular situation.

Tuesday, July 14, 2009

June 27th Retirees Should Be Eligible to Rollover 401(k)

For most June 27th retirees, the 401(k) system should now show your status as "retired." If you need help rolling over your 401(k) or need to access some of your 401(k) funds, please call Jamie, Carl, or Steve at Harris Financial Group.

Jim Cramer's Take on the Verizon/Frontier Deal

Here's an article summing up Jim Cramer's comments last night on CNBC about the Verizon/Frontier deal. The article includes a video link.

Jamie Cox has recently conducted some seminars in West Virginia on this very topic. For more information, feel free to contact us.

Heading Upward Again

30-year Treasury yield back up to about 4.33% today.

Monday, July 13, 2009

GATT Rate Stuck at 4.20%

As of noon today, the yield on the 30-year Treasury Bond was almost unchanged at 4.20%.

Friday, July 10, 2009

Consumer Sentiment and Earnings Angst Spurs Buying in Treasuries--Pushing Yields Lower

Weaker than expected earnings estimates from Chevron and a lower read on consumer sentiment sent investors fleeing for Treasuries pushing yields lower. Although this is a bad thing for the market, it is a potentially positive development for GATT rate calculations going into August.

Thursday, July 9, 2009

Uninspiring Results of Today's 30Y Auction see Yields Rise to Around 4.30%

Although the auction was successful, most of the supply(67%) occured near the high end of the yiled curve(4.30)--this is not horrible news for GATT calculations; however, it does break the nice downward trend we were experiencing.

Record 11 Billion 30Y Auction is Pivotal for the GATT Rate


30Y Auction Results will be released today at 1:00 PM EST. If the bid-to-cover comes in as strong as yesterday's 10y, we could see rates hover around the 4.20% level for a while, if not, we're in for a wide ride to the upside--perhaps to 5% or more.



30-yr Bond Roller Coaster Continues today

Back up to 4.256% on the GATT Rate as of 10am.

We're seeing really big swings lately on this yield.

Wednesday, July 8, 2009

GATT Rate closes at 4.16% today

Huge drop is great news for those of you thinking about retiring in the 4th quarter. Of course, none of this really matters until August, which is the next lock-in month for Associates.

GATT dropping even further today

Shortly before 2pm, the yield on the 30-yr Treasury is down to 4.187% -- round up to 4.19% which is now lower than the rate that was locked in back in May for July-August-September.

Recent Trend of the GATT Rate


Jamie Cox has prepared this graph of the GATT rate over the last month or so. As you can see, the rate spiked up initially, but has been coming back down -- potentially good news for those of you contemplating retirement.


GATT Update for July 8th

After locking in the month of May at 4.23%, the GATT rate looked like it was going to skyrocket, closing as high as 4.75 on June 10th. But as of yesterday, July 7th, the GATT closed at 4.31 and is currently at 4.25 as of the time of this post.

Still too early to tell what the rate will look like in August for those of you debating between a 3rd Quarter vs. 4th Quarter retirement, but the last few weeks have been more encouraging on the interest rate front.