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'With rising premiums, shifting federal programs, and mounting medical debt, Campbell Soup employees must take a more deliberate approach to budgeting for health care in retirement to help avoid financial pitfalls that could derail long-term plans.' – Paul Bergeron, a representative of The Retirement Group, a division of Wealth Enhancement.
'As health care policy continues to evolve, Campbell Soup employees should regularly revisit their retirement strategies to account for potential coverage gaps and unexpected medical expenses that could strain fixed budgets.' – Tyson Mavar, a representative of The Retirement Group, a division of Wealth Enhancement.
In this article we will discuss:
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How rising health care premiums and shrinking federal support may affect pre-Medicare retirees.
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The impact of medical debt, weakened consumer protections, and changing credit rules on retirement outcomes.
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Adjustments to Medicaid and government health care programs that could disrupt early retirement plans.
Health Care Costs Continue to Climb for Retirees
The following article has been revised to reflect recent changes in health care policy and economics for individuals with longstanding corporate careers. Campbell Soup retirees and employees preparing for retirement are experiencing higher medical expenses, tighter household budgets, and new health care regulations—an especially relevant concern for those managing fixed incomes or long-term savings goals.
Premiums Rising, Coverage Shrinking
One key factor driving up costs is the anticipated end of Affordable Care Act (ACA) premium subsidies. If these subsidies expire, annual out-of-pocket premiums could increase by an average of $1,247—a 75% jump. 1 This would affect Campbell Soup retirees relying on ACA plans prior to Medicare eligibility. Additionally, the One Big Beautiful Bill Act (OBBBA), passed in July 2025, calls for nearly $1 trillion in cuts to federal health care spending, with Medicaid bearing the brunt over the next ten years. 2
These reductions could result in up to 10.9 million Americans losing health care coverage by 2034, according to the Congressional Budget Office (CBO). 3
Eroding Consumer Protections
Policy changes are also exposing Campbell Soup retirees to greater financial stress. A federal ruling overturned a consumer-friendly rule that prevented medical debts over $500 from appearing on credit reports. 4 As a result, credit scores for millions could be affected—an issue that carries implications for mortgages, employment applications, and other financial decisions during retirement transitions.
The Weight of Medical Debt
Across the country, medical debt remains a persistent challenge: 5
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- 40% of adults report having dental or medical debt.
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- 1 in 6 borrowed money or used credit cards to pay off medical bills.
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- Over 20 million owe $250 or more; 14 million owe over $1,000; and 3 million owe more than $10,000.
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- Adults aged 50–64 carry more debt than those 65–79 due to delayed Medicare access.
These statistics underscore the pressure on Campbell Soup employees who retire before reaching Medicare eligibility.
Health Decisions at Risk
According to Tyson Mavar, a financial advisor with Wealth Enhancement, 'Credit scores may not be affected for those who hold medical debt, potentially resulting in delayed treatment.' This concern is amplified for Campbell Soup retirees who may have limited health care coverage and rising expenses.
While some households cope with medical debt by cutting back on food and housing, depleting savings, or borrowing more, these approaches only serve to contribute to poorer health and higher stress.
Government Program Adjustments
Medicaid changes under OBBBA bring added burdens, particularly for early retirees in rural areas. Adjustments include stricter eligibility verification, new work requirements, and increased co-pays of up to $35 per visit for those near the poverty line. These revisions may impact millions of rural Americans and bring added stress to rural health care facilities that are already stretched thin.
A $50 billion Rural Hospital Transformation Fund was announced, but it is expected to address just 37% of anticipated losses and is set to expire by 2032. 6
Why It Matters for Campbell Soup Families
Recent health care changes are reshaping retirement planning. Even though Campbell Soup offers a range of employee benefits and retirement options, not all workers transition into Medicare or employer-based retiree coverage without gaps. According to Fidelity, a 65-year-old individual retiring in 2025 may need to spend $172,500 health care throughout retirement—not including long-term care. 7
Future policy shifts could add thousands more to that estimate. Keeping an eye on health care policy and evaluating benefit elections are now essential components of retirement planning.
The Bottom Line
Navigating today’s health care system is like taking a road trip with higher tolls, fewer exits, and less reliable maps. Campbell Soup employees near or in retirement are encountering a shifting landscape of costs, coverage, and legal rules. If these developments are overlooked, retirement plans may be exposed to financial disruptions that are difficult to recover from.
Being proactive with coverage reviews, medical budgeting, and credit management can help retirees steer clear of costly missteps and adapt to an increasingly complex health care environment.
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- Corporate Employees: 8 Factors When Choosing a Mutual Fund
- Use of Escrow Accounts: Divorce
- Medicare Open Enrollment for Corporate Employees: Cost Changes in 2024!
- Stages of Retirement for Corporate Employees
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- Stages of Retirement for Corporate Employees
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- How Are Workers Impacted by Inflation & Rising Interest Rates?
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Sources:
1. Business Insider. “ Millions of Americans could pay up to $1,247 more for Affordable Care Act health insurance next year ,' by Juliana Kaplan, 23 July 2025.
2. The Guardian. “ Democrats Use New Tactic to Highlight Trump’s Gutting of Medicaid ,” by Stephanie Kirchgaessner, 27 July 2025.
3. USA Today. ' Neary 11 million Americians would lose insurance under Trump's tax bill, analysis says ,' by Ken Alltucker, 4 June 2025.
4. Medicare Rights Center. ' Federal Court Reverses Federal Medical Debt Protections ,' by Julie Carter, 31 July 2025.
5. Peterson-KFF, Health System Tracker. ' The burden of medical debt in the United States ,' by S. Rakshit, M. Rae, G. Claxton, K. Amin, and C. Cox, 12 Feb. 2024.
6. KFF. ' A Closer Look at the $50 Billion Rural Health Fund in the New Reconciliation Law ,' by Zachary Levinson and Tricia Neuman, 4 Aug. 2025.
7. Fidelity. ' How to plan for rising health care costs ,' Fidelity Viewpoints, 12 Aug. 2024.
What are the eligibility requirements for participating in the retirement plan at the Campbell Soup Company, and how does this affect employees who are newly hired or rehired after December 31, 2010? Understanding these eligibility criteria is crucial for current and prospective employees of the Campbell Soup Company, as it dictates participation in the retirement benefits that can provide financial security upon retirement.
Eligibility for Participation: Employees hired or rehired after December 31, 2010, are not eligible for the Campbell Soup Company's Retirement and Pension Plan. However, regular full-time or part-time employees scheduled to work at least 20 hours per week become immediately eligible for participation. Temporary or part-time employees scheduled to work less than 20 hours per week become eligible after working 1,000 hours in their first 12 months, or in subsequent 12-month periods(Campbell_Soup_Company_R…).
Can you explain the differences between the Cash Balance Benefit and the Grandfathered Benefit under the Campbell Soup Company's retirement plan? This distinction is important for employees to understand how their length of service and date of hire could significantly influence their retirement earnings and options, potentially impacting their financial planning for retirement.
Cash Balance Benefit vs. Grandfathered Benefit: The Cash Balance Benefit provides credits based on a percentage of pay, while the Grandfathered Benefit applies to those hired before May 1, 1999. The Grandfathered Benefit is based on the Final Average Pay and years of service. Employees eligible for the Grandfathered Benefit receive the greater of the Cash Balance or Grandfathered Benefit, potentially resulting in higher retirement earnings based on their tenure(Campbell_Soup_Company_R…).
How does the vesting schedule work for the Campbell Soup Company’s retirement plan, and what implications does it have for employees who leave the company before becoming fully vested? Employees of the Campbell Soup Company should consider the vesting requirements to ensure they optimize their benefits and understand how employment duration aligns with retirement planning strategies.
Vesting Schedule: Employees become fully vested after completing three years of service or reaching age 65 while employed. If an employee leaves before becoming vested, they forfeit their benefit. This schedule emphasizes the importance of remaining with the company for a sufficient duration to secure retirement benefits(Campbell_Soup_Company_R…).
What options are available for employees of the Campbell Soup Company when they decide to retire, particularly regarding the form of benefit payment? Understanding these options is essential for planning a comfortable retirement, as employees need to make informed choices that align with their financial goals and personal circumstances.
Benefit Payment Options: Campbell Soup Company offers several forms of benefit payments, including a lump sum, life annuity, and joint survivor annuity. Employees can choose the payment form that best suits their retirement goals. Options like the lump sum allow for flexibility, while annuities provide steady income during retirement(Campbell_Soup_Company_R…).
How does the Campbell Soup Company’s retirement plan handle employees who return to work after a break in service, especially concerning their vesting and benefit accrual? Employees of the Campbell Soup Company need to be aware of these policies to gauge how a break in employment could potentially impact their retirement plans and financial well-being.
Reemployment After Break in Service: If an employee returns after a break in service of less than five years, their prior vesting service and benefits are restored after completing another year of service. However, if the break exceeds five years, prior service is not restored unless the employee was already vested before the break(Campbell_Soup_Company_R…).
What are the implications for spouses of employees in the Campbell Soup Company retirement plan regarding survivor benefits and the necessity for spousal consent under certain circumstances? Knowledge of these provisions is critical for employees as they plan for both their retirement and the potential financial security of their spouses.
Spousal Consent and Survivor Benefits: Spouses are automatically designated beneficiaries unless a waiver is signed. Survivor benefits include either the cash balance account or an actuarial equivalent of the accrued benefit. Spousal consent is necessary if employees choose another beneficiary or a different form of payment, ensuring spousal financial security(Campbell_Soup_Company_R…).
In what ways does the Campbell Soup Company ensure compliance with IRS regulations regarding retirement benefits, and how might changes in these regulations impact employees? Employees should be aware of the relationship between their retirement plans at the Campbell Soup Company and IRS compliance, as ongoing regulatory changes can affect their retirement planning.
IRS Compliance: The plan adheres to IRS regulations, which impose limits on compensation and benefits. Compliance is essential to maintain the tax-advantaged status of the retirement plan. Changes in IRS rules may affect contributions, benefit limits, and tax treatment of distributions(Campbell_Soup_Company_R…).
How is the Cash Balance Benefit calculated for employees of the Campbell Soup Company, and what factors influence the growth of this benefit over time? Employees need to understand this calculation to better plan their financial futures and make informed decisions regarding their contributions and potential retirement income.
Cash Balance Benefit Calculation: The Cash Balance Benefit grows annually through pay-based credits and interest. The percentage of eligible pay credited to the account increases with the employee’s age. This structure encourages long-term employment by increasing retirement savings over time(Campbell_Soup_Company_R…).
What steps should employees of the Campbell Soup Company take to apply for retirement benefits, and what is the timeline for notifying the company about their retirement intentions? Knowing the correct procedures and timelines is vital for employees to ensure a smooth transition into retirement and the timely receipt of benefits.
Retirement Application Process: Employees must notify the Campbell Benefits Center approximately 90 days before retirement to initiate their benefits. This timeline ensures that benefits begin promptly, and employees can make informed decisions about their retirement options(Campbell_Soup_Company_R…).
How can employees of the Campbell Soup Company reach the Campbell Benefits Center to inquire further about their retirement plans or address specific questions related to their benefits? It is essential for employees to have clear contact information, allowing them to seek assistance and enhance their understanding of the retirement options available to them.
Campbell Benefits Center Contact: Employees can reach the Campbell Benefits Center for inquiries related to their retirement plans via the website www.myCampbellBenefits.com or by calling 877-725-2255, ensuring easy access to information and support(Campbell_Soup_Company_R…).
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