The Boeing Company Voluntary Investment Plan (VIP) is an excellent way for employees to save tax-deferred and get a dollar-for-dollar match from Boeing. You can manage your VIP account on the My Retirement Income website or by calling the Boeing Retirement Service Center through Boeing TotalAccess.
You may be able to borrow from your VIP account under certain limits. See the VIP Loan Guide for details.
401(k) Plan
A key to a comfortable retirement is saving early and often. The easiest way to do that is through your 401(k) plan, which makes it easy by letting you sock away money through automatic payroll deductions.
Many employers also match employee 401(k) contributions up to a certain percentage of salary. That is free money, and if you need to contribute more to get the full employer match, you’re leaving some serious money on the table.
One of the biggest regrets in retirement is that they should have saved more in their working years. Increasing your 401(k) savings by just 1% each January can make a big difference.
Pension Plan
Working for an aeronautical giant like Boeing retirement plans come with many perks. Tuition reimbursement and competitive salaries are just a few, but the Company’s standard pension plan is also something many workers seek to maximize. Unlike a 401(k) plan, a traditional pension provides an income stream during retirement—and even after death. For many employees, this is important because it allows them to pass money on to their heirs.
However, the pension calculation is changing, which could cause many experienced local engineers on the verge of retiring to reconsider their decision. Those in the nonunion Machinists union plan do not face this issue because they have a lump-sum option. Regardless, some say it’s essential for anyone contemplating retirement to consider the alternatives carefully. Then, they can make a plan that’s best for them.
Retiree Medical Plan
As a retiree, you’ll need to budget for your medical expenses. This will include Medicare Part A and B premiums, prescriptions, and out-of-pocket costs like deductibles.
Luckily, many tools are available to help you manage healthcare costs in retirement. These include a variety of tax-advantaged investment accounts such as employer-sponsored 401(k)s, traditional or Roth IRAs, and health savings accounts (HSAs).
The average couple in retirement may need a hundred dollars to cover their healthcare costs. This estimate excludes long-term care. To be prepared for these expenses, you should start saving as early as possible. This includes taking advantage of employer-matching contributions on your 401(k) plan.
VIP Account
The Boeing Company Voluntary Investment Plan (VIP) is a tax-deferred savings plan for employees of the Boeing Controlled Group. The VIP is designed as a participant-directed individual account plan under Section 404(c) of the Employee Retirement Income Security Act of 1974, as amended (“ERISA”).
You may direct your pretax and after-tax contributions to the VIP and invest those funds as you wish, within IRS limits. You can review the current limits on the My Retirement Income website or call the Boeing Retirement Service Center through Boeing TotalAccess.
Suppose you are a terminated employee who had an active account in the VIP and received a lump sum payment of your vested accrued pension benefit from the Company-sponsored pension plan. In that case, you may elect to have the trustee of the VIP accept a direct rollover of that amount into your existing VIP account. The Company will notify you if this option becomes available.
Please safeguard your BEMSID and Boeing TotalAccess password to ensure only you can access your account information. You are responsible for any unauthorized use of your account.
