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

Bristol-Myers Squibb Employees: Will Inflation Ruin Your Retirement?

Healthcare Provider Update: Healthcare Provider for Bristol-Myers Squibb Bristol-Myers Squibb collaborates with multiple healthcare providers, including major national health insurers and pharmacy benefit managers (PBMs) like CVS Caremark and Express Scripts, to ensure patient access to their medications. Their widespread distribution network encompasses hospitals, clinics, and specialty pharmacies, enabling healthcare professionals to prescribe and dispense their pharmaceutical products effectively. Potential Healthcare Cost Increases in 2026 As we look toward 2026, healthcare consumers should brace for significant cost increases stemming from a combination of factors. Record hikes in premiums for Affordable Care Act (ACA) marketplace plans are anticipated, with some states facing increases over 60% due to higher medical costs and the potential expiration of federal premium subsidies. Reports indicate that nearly 92% of marketplace enrollees could see their out-of-pocket premiums soar by over 75%, putting immense financial strain on families. Coupled with escalating hospital and drug prices, particularly specialty medications like GLP-1 weight loss drugs, the burden of rising healthcare expenses is likely to affect millions as they navigate their insurance options and healthcare needs. Click here to learn more

For Bristol-Myers Squibb employees, the proper handling of retirement funds in the context of inflation is a pretty complex process and this requires some knowledge of the financial markets and a lot of attention to asset management,” said Patrick Ray of The Retirement Group at Wealth Enhancement Group.

“We advise our employees to seek professional advice on the management of their portfolios on a regular basis and to diversify their investments to minimize risks that come with economic shifts.”

“In this article, we will discuss.”

1. Strategies for Managing Retirement Finances Amid Inflation. This article explores investment diversification, emergency savings, and Social Security timing to cope with financial uncertainties caused by inflation.

2. The Impact of Healthcare Costs on Retirement Budgeting. The focus is on the rise in healthcare expenditures for retirees, which are significantly higher than the rate of inflation, and the need to include these expenses in retirement planning.

3. Investment Risks and Considerations. Discussed are the uncertainties of investing, the basics of asset division, and the necessity of investment recommendations based on personal circumstances.

This is especially important for a Bristol-Myers Squibb employee who has to navigate the uncertainty of inflation. It is possible to have a secure and comfortable retirement if you know how to manage your finances in this way.

For example, let’s look at a typical retirement age for a couple who are 60 years old, and have a $145,000 annual pension that rises by two percent every year. They own their property and have no debts, and they have $105,000 remaining each year for travel, entertainment, and house maintenance. Moreover, they generate enough from their side hustles to cover their health insurance premiums.

These side jobs will end when they turn 65 and become eligible for Medicare and start to receive their $10,000 per year in Social Security benefits. They also pay for long-term care insurance and have invested $1.5 million in moderate growth assets that are not currently used.

This is why, like many of their Bristol-Myers Squibb colleagues, they are concerned about how inflation will impact their retirement plans. The consumer price index for urban wage earners and clerical workers (CPI-W), which measures the price of a basket of goods and services, came in at 3.3% in May. It had been 3% for the past year but surged to 9.8% in June 2022, showing that inflation can be volatile and unpredictable.

To reduce the possible financial effects of inflation, they could do the following:

Investment Diversification: They can reduce the risk of losing money on their surplus funds (what’s left over after subtracting income from expenses) by putting the money in CDs, money market accounts, balanced investment portfolios, and high yield savings accounts. This is currently a good time to invest as rates are still high.
Emergency Savings: It is wise to have three to six months’ worth of living expenses in an emergency fund when plans are made to exit side businesses. Retirees will need a larger emergency fund than other people because they are more likely to encounter unexpected expenses.
Social Security Strategy: When it comes to collecting Social Security benefits, the time of claiming them is critical. Although the benefits are adjusted for inflation, taking them after the FRA will result in higher monthly payments. For instance, if you begin receiving benefits at 65 instead of 67, you will receive about 87.22% of your benefits, and an additional 8% boost for each year you delay between the age of 65 and the age of 70.
Long-Term Care Insurance: If it is possible to align the long-term care insurance for inflation, this can be a good approach to the increasing healthcare expenditures. However, this will be accompanied by higher premiums.

Although they are currently in good financial shape, wise financial planning and adaptations are crucial to maintain their standard of living in the face of volatile economic conditions. Their retirement financial stability will depend on making sure that their savings and investment plans are sufficiently robust to withstand inflationary pressures.

If you want to get more information, or if you have any questions about your retirement planning, you may want to attend financial forums or meet with financial advisers that focus on retirement planning. Such discussions can offer specific recommendations and tips on how to minimize losses and risks in the current economic environment.

Furthermore, the availability of healthcare expenses of the Bristol-Myers Squibb employees who are the main focus of this report as well as the rate of their increase are important factors that cannot be ignored in retirement planning. According to the HealthView Services’ report, the healthcare expenses are likely to grow by an average of 5.9% annually in the next 10 years – a rate that is significantly higher than the inflation rate. This difference shows that medical costs must be taken into consideration when developing a budget, which may require the help of a financial expert.

Managing retirement finances in an environment of inflation is like controlling a ship in a storm. To safely navigate through the turbulent economic waters, Bristol-Myers Squibb employees must tighten their financial strategies—such as diversifying investments, timing Social Security benefits, and preparing for rising healthcare expenditures. This ensures a smooth journey, allowing them to maintain their desired lifestyle without being derailed by unexpected economic shifts.

*There is no guarantee that asset allocation or diversification will enhance overall returns, outperform a non-diversified portfolio, nor ensure a profit or protect against a loss. Investing involves risk, including possible loss of principal. There can be no assurance that any particular investment objective will be realized or any investment strategy seeking to achieve such objective will be successful. Investing involves risk, including possible loss of principal.

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This information is not intended as a recommendation. The opinions are subject to change at any time and no forecasts can be guaranteed. Investment decisions should always be made based on an investor’s specific circumstances. Investing involves risk, including possible loss of principal.

The sources of the information:

Reddick, Chris. 'How to Effectively Save for Retirement in Bristol-Myers Squibb Companies.' Chris Reddick Financial Planning, LLC, October 2021, www.chrisreddickfp.com . Accessed 4 Feb. 2025.
'Bristol-Myers Squibb and Large Company Employees.' Warren Street Wealth Advisors, 2025, www.warrenstreetwealth.com . Accessed 4 Feb. 2025.
'How Many Bristol-Myers Squibb Companies Have a Pension Plan? (2025).' Investguiding, 2025, www.investguiding.com . Accessed 4 Feb. 2025.
'The Benefits of Pooled Employer Plans for Retirement Outcomes.' Aon, April 2025, www.aon.com . Accessed 4 Feb. 2025.
'Planning for the Future: Four Changing Retirement Trends.' Forbes, 13 Nov. 2018, www.forbes.com . Accessed 4 Feb. 2025.

How does the Broward Health Cash Balance Pension Plan ensure the financial security of its employees upon retirement, and what are the specific benefit options available to employees who retire or terminate employment with Broward Health? Discuss the implications of choosing a lump sum versus a monthly benefit and how these choices affect overall retirement income.

Financial Security and Benefit Options: The Broward Health Cash Balance Pension Plan provides financial security by offering a defined benefit based on hypothetical account balances. Upon retirement or termination, employees can choose between a lump sum payment or a lifetime monthly benefit. The lump sum provides immediate access to funds, but opting for a monthly benefit ensures a steady income throughout retirement, which could lead to a more stable financial situation over time.

How does the retirement savings plan at Bristol-Myers Squibb Company compare to similar plans in the biotech and pharmaceutical industry, particularly regarding company matching contributions and employee deferral options? What factors should employees consider when deciding how much to contribute to their retirement accounts at Bristol-Myers Squibb Company?

Early Retirement Accommodations: Employees can retire early if they are at least 55 years old and have completed 5 years of vesting service. Benefits received upon early retirement are typically smaller compared to those received at the normal retirement age of 65. The normal form of benefit payment for early retirees is an actuarially adjusted life annuity based on the cash balance account at the time of early retirement(Broward Health_June 201…).

Bristol-Myers Squibb Company offers various retirement plans, including 401(k) plans and non-qualified deferred compensation plans. Can employees elaborate on the differences between these plans and how each one impacts their long-term retirement savings? Furthermore, how can an employee evaluate which plan best suits their individual retirement goals?

Vesting Schedule and Rights: The Broward Health Cash Balance Pension Plan uses a vesting schedule that grants full vesting rights after 5 years of service. Employees with fewer than 5 years of service are not eligible for benefits and forfeit their account balance. Vesting means employees gain the right to their accrued benefits, which become payable when employment ends(Broward Health_June 201…).

Based on the changes in IRS regulations for 2024, how might they affect Bristol-Myers Squibb Company's retirement and savings plans? Are there any new contribution limits or eligibility rules that employees should be aware of, and how can they adapt their savings strategies accordingly?

Role of the Pension Plan Committee: The Broward Health Pension Plan Committee administers the Cash Balance Pension Plan, ensuring compliance with laws and the plan’s financial health. The committee is responsible for investment decisions and approving plan changes, and it ensures that benefits are paid accurately and in a timely manner(Broward Health_June 201…).

What are the implications of taking an early withdrawal from retirement funds at Bristol-Myers Squibb Company, and how does it affect an employee's financial future? Employees should also consider what alternatives to early withdrawal exist within the company's policy framework.

Changes or Amendments to the Plan: The plan can be amended or terminated, but employees' vested rights are protected. Changes do not reduce accrued benefits from prior contributions, and the plan's termination follows a specific order to prioritize benefit distributions(Broward Health_June 201…).

Employees often have questions about post-retirement benefits, especially concerning medical coverage. What policies does Bristol-Myers Squibb Company have in place to ensure continued healthcare coverage for retirees, and what are the eligibility criteria for these benefits?

Recognition of Past Service upon Re-employment: If employees return to Broward Health after a break, their prior service may be recognized depending on vesting and benefit conditions at the time of rehire. Those who were vested before leaving can have their prior benefits restored, and contributions can resume after re-employment(Broward Health_June 201…).

How does Bristol-Myers Squibb Company handle the integration of pension benefits during mergers or acquisitions, and what can employees expect if they find themselves in such a situation? It would also be important for employees to understand their rights and options during these transitional phases.

Beneficiary Designations: Employees can designate beneficiaries to receive benefits if they die before or after retirement. Beneficiaries can receive lump sums or monthly payments, depending on the employee's retirement eligibility. Failure to designate a beneficiary may result in benefits going to the surviving spouse, children, or other family members as per the plan's order of priority(Broward Health_June 201…).

In light of recent company performance, what are Bristol-Myers Squibb Companyâ€™s future benefits projections, especially regarding pension plans? How can employees utilize this information to better plan for their retirement saving strategies?

Interest Credits on Accounts: The interest credits for cash balance accounts are determined based on U.S. Treasury rates, with a minimum annual interest rate. Interest is applied monthly, enhancing the account value and ensuring that employees' retirement savings grow over time(Broward Health_June 201…).

Given that Bristol-Myers Squibb Company has a robust benefits architecture, what specific programs or platforms are in place for employees to seek clarifications on their retirement benefits? How can Bristol-Myers Squibb company employees efficiently navigate these resources to address their individual inquiries?

Challenges in Filing Claims: The process for filing retirement claims involves notifying Broward Health and submitting the necessary paperwork 30 to 60 days before retirement or termination. In case of a denied claim, employees have the right to request a review and appeal, ensuring fair treatment and timely resolution(Broward Health_June 201…).

For employees looking to gain more information about retirement benefits and other related policies, how can they contact Bristol-Myers Squibb Company effectively? What communication methods are recommended to ensure that their questions are addressed promptly and comprehensively? These questions should provide employees with a deeper insight into their retirement planning while encouraging them to explore the benefits offered by Bristol-Myers Squibb Company further.

Contacting Broward Health for Information: Employees can contact the Employee Benefits department at Broward Health to learn more about the Cash Balance Pension Plan. Resources such as retirement counseling sessions and detailed plan descriptions are available to help employees understand their benefits and make informed decisions(Broward Health_June 201…).

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

In process of terminating U.S. Retirement Income Plan, transferring $3.8 billion of its pension obligations. Previous $1.4 billion transfer to Prudential for 8,000 retirees.

Bristol-Myers Squibb announced a restructuring plan that includes layoffs of approximately 1,200 employees.

Bristol-Myers Squibb offers RSUs to executives and certain employees. The RSUs vest over a three-year period, promoting long-term company performance and employee retention.

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For more information you can reach the plan administrator for Bristol-Myers Squibb at 430 East 29th Street New York, NY 10016; or by calling them at +1 212-546-4000.