401a vs 401k vs Pension

[hehateme000]

Hi guys,

I just got my union job I applied for over a year ago. The benefits with this job are some of the best in the nation, including the wages. I am a little confused about how the 401a and the pension work though. If anyone works in the unions and understands all of this, please let me know!

Can I have a 401a AND a pension? And then also a 401k? And Roth IRA? I want to really plan out my retirement but I am not sure what details I need to be able to plan it all out. I have done 401k calculations because it is pretty straightforward. I also talked to a guy in the union that said for every year of service, it will equal out to about $300/month for our pension. So 30 years would give out a $9,000 pension.

My question is if that $9,000 is part of the Pension (defined contribution), or the 401a? Or is the 401a different?

[hehateme000]

nevermind - just realized that through my union, the employer is contracted to contribute to my 401a (defined contribution plan), and it looks like I can voluntarily add more. I am not sure if they match.

The employer may have a 401k as well that I may possibly have the choice of using or not. The lady at the company looked confused when I asked about it though, since she said most people just do the 401a. I guess it all depends on if I can get matched or not, for the 401a or the 401k.

Through the union, the employer is also contracted to contribute toward my pension (defined benefit plan).

So it looks like I am guaranteed to have a 401a and pension, and then may have the choice of having a 401k or Roth IRA as well. If I have any more questions I will definitely come back to this thread!

[terri77]

The TSP is a 401a. I also have the option of contributing to a 401k through my second job, but the $18k is a combined limit so I just contribute the max to my 401a.

[Mikehills101]

Its good that you've figured it out. And it is also good that your employer offered you both!