New Update: Healthcare Costs Increasing by Over 60% in Some States. Will you be impacted?

Becton Dickinson Employees Weighing Oklahoma: Lower Costs, Lower Taxes, and a Different Kind of Retirement

Healthcare Provider Update: Healthcare Provider for Becton Dickinson Becton Dickinson and Company (BD) is a global medical technology company that provides a wide range of medical devices, instrument systems, and reagents. While BD does not serve as a healthcare provider itself, it supplies essential products and technologies that healthcare providers utilize. Its offerings include items critical for diagnostics, medication management, and infection prevention, which are crucial for hospitals, outpatient facilities, and laboratories. Potential Healthcare Cost Increases in 2026 for Becton Dickinson In 2026, healthcare costs could rise significantly, impacting Becton Dickinson and its operations. Factors such as the anticipated expiration of enhanced premium subsidies under the Affordable Care Act (ACA) are expected to contribute to steep insurance premium increases, potentially exceeding 75% for many consumers. This scenario may drive more healthcare consumers out of the market, leading to reduced demand for medical devices and products. Coupled with rising medical costs and inflation, Becton Dickinson may face challenges in pricing its products competitively while cushioning the effects of increased healthcare expenditure on its customer base. Click here to learn more

'Becton Dickinson employees weighing a move from California to Oklahoma should recognize that differences in state taxes, property values, and cost of living can influence how long their retirement savings last.' — Wesley Boudreaux, a representative of The Retirement Group, a division of Wealth Enhancement.

'Becton Dickinson employees evaluating retirement options can benefit from comparing states like California and Oklahoma, where differences in taxation and living expenses may directly impact long-term financial stability.' — Patrick Ray, a representative of The Retirement Group, a division of Wealth Enhancement.

In this article we will discuss:

How taxes in California and Oklahoma impact retirees and their income.
The differences in cost of living, property values, and daily expenses between the two states.
Programs and lifestyle considerations, such as Tulsa Remote and health care access, that may influence relocation decisions.

The thought of leaving behind California's vibrant cities, golden beaches, and Mediterranean-like climate may seem unthinkable to many residents. The state continues to draw attention from around the world because of its world-class amenities, varied cultural life, and natural beauty. However, California's growing cost of living, high state taxes, and skyrocketing housing costs have put a heavy financial burden on those on fixed incomes like Social Security and pensions. Some employees at Becton Dickinson are therefore looking at alternatives that offer a more sustainable retirement way of life. Oklahoma is one place that is becoming more popular.

Due to advantageous tax laws, reduced housing prices, and even incentive programs like Tulsa Remote, hundreds of Californians have moved to Oklahoma in recent years. ¹ While Oklahoma may not be the best option for every retiree, there are sufficient financial differences between the two states that they should be carefully considered.

California versus Oklahoma Tax Comparisons

Retirement planning heavily relies on taxes, and there are significant disparities between California and Oklahoma. The tax code in California is particularly difficult for retirees who have several sources of income, according to Carlos Hernandez of Wealth Enhancement. Although Social Security benefits are not taxed in California, the state's progressive tax system applies to pensions, 401k contributions, and other retirement income. Rates can reach 12.3% for many taxpayers, while the highest incomes can pay up to 13.3%, ² which is the highest state income tax rate in the country.

In contrast, Oklahoma offers retirees 65 and older a $10,000 deduction on other types of retirement income in addition to exempting Social Security income from taxes. ³ Oklahoma's highest marginal income tax rate is 4.75%, ³ which is far lower than California's even without taking this deduction into account.

These differences can result in annual tax savings of thousands of dollars for seniors who receive both Social Security and pensions. Take, for instance, a person who receives $30,000 in Social Security benefits in addition to a $40,000 pension. The pension income would be subject to full state taxation in California. In Oklahoma, Social Security would be completely untaxed, $10,000 of the pension income would be exempt, and the remaining taxable pension amount would be subject to significantly lower rates. As a result, the tax burden is considerably lighter, giving the household budget more flexibility.

Cost of Living and Property Values

The financial equation consists of more than just taxes. The housing market in California puts additional financial strain on seniors, claims Kevin Won of Wealth Enhancement. California routinely has some of the highest property values in the country. The base property tax payment is still correlated with high market values, despite the fact that established safeguards like Proposition 13 restrict yearly increases in property tax assessments. The absolute cost is nevertheless high in comparison to national norms, even if householders 55 and older may relocate their tax base under specific circumstances. ⁴

The problem is made worse by insurance premiums. In California, plans that cover the danger of earthquakes or wildfires are not only costly, but they are also getting harder to obtain in high-risk locations.

The real estate market in Oklahoma paints a completely different picture. Compared to many California regions, the median home value is less than half. ⁵ Reduced property taxes are a direct result of lower property prices. Although Oklahoma does not provide tax-base transfers or unique senior exemptions like California does, retirees frequently still benefit from lower total valuations.

Additionally, Oklahoma benefits from a lower overall cost of living. Daily costs, such as groceries, utilities, and medical care, are often less than in California. Retirement savings can extend further thanks to the combined impact of lower housing, insurance, and daily expenses, which gives people greater flexibility in choosing their spending and lifestyle preferences.

Rewards Initiatives: Tulsa Remote

Tulsa Remote is one distinctive program contributing to Oklahoma's rising popularity. This program was started in 2018 with the goal of luring remote workers to Tulsa by providing cash incentives and opportunities for community integration. The program offers $10,000 to participants who agree to stay in Tulsa for a minimum of one year.

Over 60,000 applications have been submitted to Tulsa Remote since its launch, with almost 8,000 of those applications coming from California. ⁶ As a result, nearly 3,600 participants have relocated to Tulsa. ⁶ Despite focusing on working professionals rather than retirees, this program has helped spread awareness about Oklahoma's affordability and livability.

The Practical Financial Impact

The practical impact is better demonstrated by going over the previous financial case again. In California, a retiree with $40,000 in pension income and $30,000 in Social Security would pay high taxes; nevertheless, in Oklahoma, they would receive large benefits. Once the $10,000 exemption and reduced marginal rates are applied, the difference could result in yearly savings of thousands of dollars.

Beyond taxes, long-term financial consistency is strengthened by being able to buy a home for half as much, or less, than in many California markets. Over time, lower utility costs, lower insurance premiums, and overall cost-of-living reductions can add up to provide more discretionary income for leisure, travel, or building retirement stability.

In Conclusion

Although California is still a popular place to live, seniors are finding it increasingly difficult to keep up with the state's high taxes, high property values, and overall cost of living. Oklahoma is a strong alternative because of its low tax rates, $10,000 retirement income exemption, reasonably priced housing market, and lower cost of living.

According to a recent analysis, retirees in Oklahoma could maintain their financial resources for roughly 51 years with $1.5 million in savings and Social Security benefits, far exceeding the 24 years estimated in California. ⁷ This difference is primarily due to Oklahoma's significantly lower annual cost of living (about $29,666) ⁷ than to California's high expenses.

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Sources:

1. MSN. ' Hundreds of Californians have been paid $10,000 to relocate to Oklahoma ,' by Hannah Fry. August 15, 2025.

2. Nerdwallet. ' California State Income Tax Rates and Brackets for 2024-2025 ,' by Sabrina Parys. June 5, 2025.

3. SmartAsset. ' Oklahoma Retirement Tax Friendliness .' 2025.

4. California State Board of Equalization. ' Transfer of Base Year Value for Persons Age 55 and Over - Propositions 60/90 .' 2025.

5. Forbes. ' Median Home Price by State ,' by Kiah Treece. July 29, 2025.

6. SF Gate. ' The surprising destination luring California transplants with $10,000 ,' by Tessa McLean. August 4, 2025.

7. CNBC. ' $1.5 million is the 'magic number' for retirement savings--here's how long it lasts in every U.S. state ,' by Mike Winters. Mar. 15, 2025.

How does the Becton Dickinson and Company defined benefit plan differ from the cash balance plan in terms of eligibility and benefit calculation? Employees at Becton Dickinson and Company should be aware of how their retirement options and benefit calculations are structured, especially considering the historical context and the changes made after

Defined Benefit vs. Cash Balance Plan: The Becton Dickinson and Company defined benefit plan and cash balance plan differ significantly in terms of eligibility and benefit calculations. The defined benefit plan, which was the original format, calculates benefits based on the employee's final average pay, age, and years of service. On the other hand, the cash balance plan, introduced in 2007, provides a hypothetical account balance that grows with defined pay and interest credits. For eligibility, new hires after January 1, 2018, cannot join either plan, reflecting a closure to new entrants. Those rehired or transferred within the company after this date also cannot accrue new benefits under the cash balance plan.

This question encompasses the differences in participation rules, the implications of being hired before or after January 1, 2018, and how various employment classifications affect benefits.

Pension Benefits Calculation: Under the BD Retirement Plan, pension benefits are calculated based on 'Total Compensation,' which includes various forms of income like base salary, bonuses, and other regular compensations. The benefit is determined by 'Credited Service' and 'Vesting Service,' impacting the final benefit amount. Vesting in the plan occurs after five years of service, ensuring that employees are entitled to benefits regardless of subsequent employment duration.

In what ways are pension benefits and service calculated under the Becton Dickinson and Company BD Retirement Plan? The complexities involved in determining the pension benefit calculation are crucial for employees to understand as they plan for retirement. A discussion on how Total Compensation, Credited Service, and Vesting Service impact the final benefit amount will provide clarity to employees regarding their financial planning as they approach retirement.

Maximum Benefit Limits: Employees should be aware of IRS-imposed limits on contributions and benefits under retirement plans. For 2018, the compensation limit recognized for pension calculations was $275,000, adjusted annually for inflation. This affects the projected retirement benefits and requires employees to stay informed about annual adjustments to plan accordingly.

What specific maximum benefit limits should employees at Becton Dickinson and Company be aware of regarding their retirement plans and how do these limits adapt annually? Understanding the implications of IRS limits for defined benefit plans and cash balance plans is vital for employees at Becton Dickinson and Company. This question would delve into how annual adjustments might affect their projected retirement benefits and the importance of staying informed about these limits.

Addressing Discrepancies or Denial of Benefits: If discrepancies or wrongful denials occur concerning retirement benefits, Becton Dickinson and Company employees should contact the Plan Administrator. The process includes filing claims and understanding the rights to appeal under the Employee Retirement Income Security Act (ERISA). This structured approach helps employees rectify issues with their retirement benefits effectively.

How can Becton Dickinson and Company employees address discrepancies in their benefit calculations or if they believe they have been wrongfully denied benefits? The processes for appealing decisions made regarding retirement benefits can greatly impact an employee's financial future. This question would outline the steps employees can take, including contacting the Plan Administrator and the importance of understanding their rights under the Employee Retirement Income Security Act (ERISA).

Role of Committees in Managing the Retirement Plan: The Plan Administrative Committee and the Investment Committee play critical roles in overseeing the BD Retirement Plan. The former handles the plan's administration, ensuring compliance and managing benefit claims, while the latter focuses on the investment of plan assets. Employees can seek clarification or get involved by attending committee meetings or contacting them directly for specific inquiries.

What roles do the Plan Administrative Committee and the Investment Committee play in managing the BD Retirement Plan of Becton Dickinson and Company, and how can employees get involved or seek clarification on their plans? Employees interested in understanding the governance of their retirement plan will benefit from knowing who oversees the administration and investment of their benefits and how they can participate in discussions or seek advice.

Impact of Early Retirement: Early retirement affects the calculation of pension benefits, which are reduced based on the number of years retirement is taken before the normal retirement age. The plan allows for early retirement from age 55 with at least 10 years of service, with benefits reduced to compensate for the longer payout period.

How does the early retirement benefit impact employees at Becton Dickinson and Company, particularly in terms of eligibility and the calculation of reduced benefits? By exploring the conditions under which early retirement is permitted, along with calculations related to the reduction in benefits for taking early retirement, employees can make more informed decisions based on their personal circumstances.

Ensuring Accuracy of Retirement Benefits: To ensure accuracy in the calculation of retirement benefits, especially after changes in personal circumstances such as marital status or address, employees are encouraged to promptly update their information with HR. Regular reviews of their retirement plan statements and maintaining communication with the plan administrator are advisable practices.

What steps should employees of Becton Dickinson and Company take to ensure their retirement benefits remain accurate and up-to-date, especially after a change in personal circumstances? This question addresses the importance of regularly updating personal information and understanding the repercussions of life changes on retirement benefits, ensuring employees are proactive in managing their future.

Alternatives for Non-Eligible Employees: Employees not eligible for the BD Retirement Plan, possibly due to the timing of their hire or their role, should explore other retirement savings options like IRAs or the BD 401(k) Plan. These alternatives provide avenues for retirement savings, even for those not covered under the traditional pension plans.

What alternatives exist for Becton Dickinson and Company employees who are not eligible for the BD Retirement Plan, and how can they plan for retirement adequately? This discussion can help inform employees who may fall outside the eligibility criteria about other retirement savings options, such as Individual Retirement Accounts (IRAs) or employer-sponsored 401(k) plans.

Determining Survivors' Pensions: The survivor's pension is determined by the pre-retirement surviving spouse benefit, which generally provides a monthly benefit of 50% of the employee's pension, payable to the spouse for life after the employee's death. This emphasizes the importance of employees designating beneficiaries and understanding the impact of these decisions on their family's financial security.

In the context of the Becton Dickinson and Company BD Retirement Plan, how are survivors' pensions determined, and what options are available for employees regarding beneficiaries? Employees often overlook the significance of beneficiary designations. This question would clarify the process and options available for ensuring that survivors receive entitled benefits and the financial implications of different choices made regarding pension benefits for spouses and dependent children.

Contacting the Plan Administrator: Employees seeking more information about their retirement benefits should contact the Plan Administrator. Preparedness for such inquiries includes having detailed personal and employment information, understanding their current benefits status, and having specific questions or concerns about their plan benefits.

With the current political climate we are in it is important to keep up with current news and remain knowledgeable about your benefits.

Becton Dickinson announced a restructuring plan that includes significant layoffs and a shift in their global operations strategy. The company aims to streamline its operations and reduce costs amid a challenging economic environment.

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For more information you can reach the plan administrator for Becton Dickinson at 1 Becton Dr Franklin Lakes, NJ 7417; or by calling them at +1 201-847-6800.