Top Pension Questions for Kimberly-Clark Employees
These are the most frequently asked questions for Kimberly-Clark employees from our weekly webinars.
1. Question:
How does Kimberly-Clark Corporation's defined benefit pension plan ensure adequate funding to meet its obligations to retirees, and what measures are in place to address potential funding shortfalls?
Answer:
Kimberly-Clark ensures that its defined benefit pension plan remains adequately funded by adhering to the minimum contribution requirements mandated by the Employee Retirement Income Security Act (ERISA). The company contributes enough to meet the plan’s liabilities, and any funding shortfall is managed by adjusting contributions as required by law.
2. Question:
In light of the Pension Benefit Guaranty Corporation (PBGC) guarantees, how does Kimberly-Clark Corporation communicate the importance of understanding the limits of such guarantees to its employees, particularly those planning for retirement?
Answer:
Kimberly-Clark Corporation provides annual funding notices that explain PBGC guarantees, highlighting the limitations, such as maximum benefit amounts and non-guaranteed benefits like health insurance. Employees are encouraged to review these details to ensure they understand their guaranteed benefits.
3. Question:
What strategies does Kimberly-Clark Corporation employ to manage investment risk within its pension plan's investment policy, and how do these strategies align with the long-term financial goals of the company and its employees?
Answer:
Kimberly-Clark's pension plan investment policy is designed to match the liability profile of the plan to reduce volatility. The company invests primarily in common/collective trusts and government securities to align the pension plan’s risk with long-term financial stability.
4. Question:
How might changes in federal laws such as the Pension Protection Act impact the funding status of Kimberly-Clark Corporation's pension plan, and what proactive steps are being taken to comply with these regulations?
Answer:
The Pension Protection Act mandates annual funding notices and compliance with minimum funding levels. Kimberly-Clark adjusts its contribution levels as necessary to comply with these federal laws, ensuring the pension plan remains adequately funded and compliant.
5. Question:
What is the process for Kimberly-Clark Corporation employees to estimate their pension benefits if they have not yet started receiving them, and what resources are available to assist them in this calculation?
Answer:
Employees can estimate their pension benefits by logging into the Your Benefits Resources (YBR) platform, selecting the "Project Retirement Income" tool, and inputting their last day of employment and beneficiary information to project their pension benefits.
6. Question:
How does Kimberly-Clark Corporation address the needs of employees transitioning into retirement, particularly concerning the communication of benefits and options available through the pension plan?
Answer:
Kimberly-Clark provides a comprehensive support system through the YBR platform, enabling employees to explore their retirement options. The company also offers direct assistance through the Benefits Center, ensuring employees have access to necessary information.
7. Question:
What specific considerations should Kimberly-Clark Corporation employees take into account when designating a Power of Attorney (POA) for managing their K-C benefits, and how can this affect their retirement planning?
Answer:
Kimberly-Clark advises employees to ensure their POA documents are durable, signed, and notarized, and clearly specify which benefits the agent can manage. Submitting the POA early ensures smooth management of benefits in case of incapacity.
8. Question:
In what ways does Kimberly-Clark Corporation ensure that its pension plan remains compliant with changing IRS regulations, and how is this information communicated to plan participants?
Answer:
Kimberly-Clark ensures compliance with IRS regulations by adjusting its pension plan operations as needed. Annual notices and updates on regulatory changes are communicated through the YBR platform and other official channels.
9. Question:
How can employees of Kimberly-Clark Corporation access their annual funding notice and other important documents related to their pension plan, and what should they do if they have further questions about these documents?
Answer:
Employees can access their annual funding notice and other pension-related documents through the YBR platform. They can also contact the Benefits Center for further clarification on any pension-related questions.
10. Question:
For employees wishing to learn more about their benefits and the pension plan specifics, what is the best way to contact Kimberly-Clark Corporation, and what information should they prepare before reaching out?
Answer:
Employees should contact the Kimberly-Clark Benefits Center at 800-551-2333. They should be ready with their full name, last four digits of their Social Security number, and details regarding their inquiry to expedite the process.