Navigating Your Financial Future After Divorce: Essential Tips for Conagra Brands Employees

There's no doubt about it — going through a divorce can be an emotionally trying time. Ironing out a divorce settlement, attending various court hearings, and dealing with competing attorneys can all weigh heavily on the parties involved. In addition to the emotional impact a divorce can have, it's important for the Conagra Brands employees who are in this situation to be aware of how their financial position will be impacted. Now, more than ever, you need to make sure that your finances are on the right track. You will then be able to put the past behind you and set in place the building blocks that can be the foundation for your new financial future.

Assess Your Current Financial Situation

Following a divorce, you'll need to get a handle on your finances and assess your current financial situation, taking into account the likely loss of your former spouse's income. In addition, you may now be responsible for paying for expenses that you were once able to share with your former spouse, such as housing, utilities, and car loans. Ultimately, you may come to the realization that you're no longer able to live the lifestyle you were accustomed to before your divorce.

Establish a Budget

A good place for these Conagra Brands clients to start is to establish a budget that reflects their current monthly income and expenses. In addition to your regular salary and wages, be sure to include other types of income, such as dividends and interest. If you will be receiving alimony and/or child support, you'll want to include those payments as well. As for expenses, you'll want to focus on dividing them into two categories: fixed and discretionary.

Fixed expenses include things like housing, food, and transportation. Discretionary expenses include things like entertainment, vacations, etc. Keep in mind that you may need to cut back on some of your discretionary expenses until you adjust to living on less income. However, it's important not to deprive yourself entirely of the things you enjoy. You'll want to build the occasional reward (for example, yoga class, or dinner with friends) into your budget.

Reevaluate/Reprioritize Your Financial Goals

The next step these Conagra Brands clients should take should be reevaluating their financial goals. While you were married, you may have set certain financial goals with your spouse. Now that you are on your own, these goals may have changed. Start out by making a list of the things that you now would like to achieve. Do you need to put more money toward your Conagra Brands retirement? Are you interested in going back to school? Would you like to save for a new home?

You'll want to be sure to reprioritize your financial goals as well. You and your spouse may have planned on buying a vacation home at the beach. After your divorce, however, you may find that other goals may become more important (for example, making sure your cash reserve is adequately funded).

Take Control of Your Debt

While you're adjusting to your new budget, be sure that you take control of your debt and credit. We suggest that these Conagra Brands clients try to avoid the temptation to rely on credit cards to provide extras. And if you do have debt, try to put a plan in place to pay it off as quickly as possible. The following are some tips to help you pay off your debt:

Keep track of balances and interest rates
Develop a plan to manage payments and avoid late fees
Pay off high-interest debt first
Take advantage of debt consolidation/refinancing options

Protect/Establish Credit

Since divorce can have a negative impact on your credit rating, we recommend these Conagra Brands clients consider taking steps to try to protect their credit record and/or establish credit in their own name. Having a positive credit history is important since it will allow you to obtain credit when you need it, and at a lower interest rate. Good credit is even sometimes viewed by employers as a prerequisite for employment.

Review your credit report and check it for any inaccuracies. Are there joint accounts that have been closed or refinanced? Are there any names on the report that need to be changed? You're entitled to a free copy of your credit report once a year from each of the three major credit reporting agencies. An online resource these Conagra Brands clients can go to for more information is annualcreditreport.com.

To establish a good track record with creditors, be sure to make your monthly bill payments on time and try to avoid having too many credit inquiries on your report. Such inquiries are made every time you apply for new credit cards.

Review Your Insurance Needs

Typically, insurance coverage for one or both spouses is negotiated as part of a divorce settlement. However, you may have additional insurance needs that go beyond that which you were able to obtain through your divorce settlement. When it comes to health insurance, we suggest that these Conagra Brands clients make having adequate coverage a priority. Unless your divorce settlement requires your spouse to provide you with health coverage, one option is to obtain temporary health insurance coverage (up to 36 months) through the Consolidated Omnibus Budget Reconciliation Act (COBRA).

You can also look into purchasing individual coverage or, if you're still employed with Conagra Brands, coverage through Conagra Brands. Now that you're on your own, you'll also want to make sure that your disability and life insurance coverage matches your current needs. This is especially true if you are reentering the workforce or if you're the custodial parent of your children.

Finally, it's important that these Conagra Brands clients make sure that their property insurance coverage is updated. Any applicable property insurance policies may need to be modified or rewritten in order to reflect property ownership changes that may have resulted from your divorce.

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Change Your Beneficiary Designations

After a divorce, you'll want to change the beneficiary designations on any life insurance policies, retirement accounts, and bank or credit union accounts you may have in place. We'd like these Conagra Brands clients to keep in mind that a divorce settlement may require you to keep a former spouse as a beneficiary on a policy, in which case you cannot change the beneficiary designation. This is also a good time to make a will or update your existing one to reflect your new status. Make sure that your former spouse isn't still named as a personal representative, successor trustee, beneficiary, or holder of a power of attorney in any of your estate planning documents.

Consider Tax Implications

You'll also need to consider the tax implications of your divorce. Your sources of income, filing status, and the credits and/or deductions for which you qualify may all be affected. In addition to your regular salary and wages, you may have new sources of income after your divorce, such as alimony and/or child support. Your tax filing status will also change. Filing status is determined as of the last day of the tax year (December 31).

This means that even if you were divorced on December 31, you would, for tax purposes, be considered divorced for that entire year. Finally, for the Conagra Brands clients who also have children, and depending on whether you are the custodial parent, you may be eligible to claim certain credits and deductions. These could include the child tax credit, and the credit for child and dependent care expenses, along with college-related tax credits and deductions. We suggest that these Conagra Brands clients ask a tax professional for information on their individual situation.

Consult a Financial Professional

Although it can certainly be done on your own, these Conagra Brands clients should still consider consulting a financial professional to assist them in adjusting to their new financial life. In addition to helping you assess your needs, a financial professional can work with you to develop a plan designed to help you address your financial goals, make recommendations about specific products and services, and monitor and adjust your plan as needed.

How does Conagra Brands, Inc. ensure that employees understand their retirement benefits, particularly the nuances of the Conagra Foods Inc. Pension Plan and the historical obligations from the Beatrice Retirement Income Plan (BRIP)? Are there specific communication strategies or resources provided to employees to navigate their eligibility and benefits?

Conagra Brands has not provided consistent documentation of the Beatrice Retirement Income Plan (BRIP), as evidenced by a lost BRIP Plan document, which has created confusion among former Beatrice employees. Conagra relies on internal committees like the Conagra Brands Employee Benefits Administrative Committee to oversee the administration of the Conagra Foods Inc. Pension Plan and the historical obligations from BRIP. However, there are allegations in the class action that Conagra has failed to communicate certain benefit entitlements, particularly the age at which unreduced benefits should commence(Conagra_Brands_Inc_02-1…).

In light of regulatory compliance, what measures does Conagra Brands, Inc. take to maintain the integrity and security of pension plan documents, especially considering the historical loss of the BRIP Plan document? How do the missing documents impact employee knowledge of their benefits?

The loss of the BRIP Plan document represents a significant failure in document retention and regulatory compliance. Under ERISA, Conagra is required to maintain and distribute these documents upon request. The missing BRIP documents have caused discrepancies in the administration of retirement benefits, particularly regarding the age of eligibility for unreduced benefits. Conagra has been criticized for not informing employees that these documents were lost, leading to confusion and underpayment of benefits(Conagra_Brands_Inc_02-1…).

What resources does Conagra Brands, Inc. offer to its employees who have questions about their pension benefits or discrepancies that may arise from the transition from the Beatrice Retirement Income Plan to the Conagra Foods Inc. Pension Plan? How can employees best utilize these resources?

Conagra directs employees to contact the Plan service center for inquiries related to their pension benefits. However, based on the complaints filed in court, there have been issues with transparency and the accessibility of important plan documents, including the BRIP. Employees have had to appeal their benefit decisions and deal with insufficient guidance on navigating the discrepancies between the old BRIP and the Conagra Plan. Resources like benefit calculators and service centers have sometimes provided inaccurate or incomplete information(Conagra_Brands_Inc_02-1…).

How does Conagra Brands, Inc. handle the potential discrepancies regarding the pension benefits related to the age eligibility for receiving unreduced benefits in the context of both the Conagra Plan and the Beatrice plan? What steps have been taken to prevent similar issues in the future?

Conagra has been handling discrepancies poorly, particularly around the age at which participants in the BRIP are entitled to receive unreduced benefits. The company's adjustment of the eligibility age from 60 to 65 without properly consulting or notifying employees has led to underpayment of benefits. The ongoing class action lawsuit seeks to address these discrepancies and prevent future issues by clarifying benefit entitlements under the terms of both plans(Conagra_Brands_Inc_02-1…).

Can you elaborate on the process that Conagra Brands, Inc. utilizes to communicate with employees about plan amendments and to clarify their rights under the Conagra Foods Inc. Pension Plan? What specific improvements have been made to this communication strategy in recent years?

The communication process regarding plan amendments at Conagra has been criticized as insufficient, particularly concerning the transition from the BRIP to the Conagra Plan. Employees have filed complaints about not receiving adequate notice of important changes, such as the shift in eligibility age for unreduced benefits. Conagra has failed to provide clear documentation, leading to confusion among employees. There is no evidence of significant improvements in recent years(Conagra_Brands_Inc_02-1…).

How does Conagra Brands, Inc. ensure compliance with the Employee Retirement Income Security Act (ERISA), especially regarding the fiduciary duties of the Conagra Brands Employee Benefits Administrative Committee? What protocols are in place to guarantee that employeesâ€™ rights are consistently protected?

Conagra's compliance with ERISA has been challenged in court, with allegations of fiduciary breaches related to the loss of critical plan documents like the BRIP. The Conagra Brands Employee Benefits Administrative Committee is responsible for maintaining the integrity of the pension plan, but the loss of documents and failure to notify employees of their rights raise questions about the adequacy of these protocols. The lawsuit highlights a need for improved oversight and adherence to ERISA's fiduciary requirements(Conagra_Brands_Inc_02-1…).

What options are currently available for former Beatrice employees and other participants in the Conagra Foods Inc. Pension Plan to claim benefits they believe they are entitled to? How does Conagra Brands, Inc. facilitate this process?

Former Beatrice employees can contact the Pension Service Center to inquire about their benefits and initiate claims. However, the process has been complicated by missing documentation and conflicting information about eligibility. Some employees have been forced to file legal claims to recover benefits owed to them, as in the case of the ongoing class action lawsuit. The lack of clear and accessible resources has made it difficult for employees to navigate the process effectively(Conagra_Brands_Inc_02-1…).

In what ways does Conagra Brands, Inc. provide support or guidance for employees approaching retirement, particularly in understanding the timelines and responsibilities associated with electing benefits from the Conagra Foods Inc. Pension Plan?

Conagra provides online calculators and service center assistance for employees approaching retirement, but these tools have proven unreliable for some participants. Employees have reported being unable to calculate their benefits accurately or being told they were ineligible for benefits before age 65, despite the terms of the BRIP allowing benefits to begin at age 60. The class action complaint highlights deficiencies in the guidance provided to employees regarding their benefits(Conagra_Brands_Inc_02-1…).

How can employees at Conagra Brands, Inc. contact the Employee Benefits Administrative Committee for inquiries related to their benefits? What are the most efficient avenues for addressing concerns about the Conagra Foods Inc. Pension Plan or the transitions from the Beatrice plan?

Employees can contact the Plan service center for inquiries related to their benefits, but accessing the Employee Benefits Administrative Committee directly appears to be more challenging. The lawsuit indicates that employees seeking to address discrepancies with their benefits have not received timely or effective communication from the committee, often requiring legal action to resolve their concerns(Conagra_Brands_Inc_02-1…).

How does Conagra Brands, Inc. evaluate its pension plan's performance and benefits offerings in relation to industry standards? What methods are used to ensure the company remains competitive while protecting employee benefits under the Conagra Foods Inc. Pension Plan?

There is little publicly available information regarding how Conagra evaluates its pension plan's performance against industry standards. The company's handling of historical pension obligations, particularly from the Beatrice acquisition, suggests that its methods for protecting employee benefits have been insufficient. Ongoing litigation regarding underpayment of benefits and loss of critical documents indicates that the company may need to improve its evaluation methods and compliance efforts to remain competitive(Conagra_Brands_Inc_02-1…).

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

Conagra Brands announced a restructuring plan aiming to streamline operations and reduce costs. This includes layoffs impacting various departments and potential changes to employee benefits.

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For more information you can reach the plan administrator for Conagra Brands at 222 W. Merchandise Mart Plaza Chicago, IL 60654; or by calling them at (312) 549-5000.