I don’t want to beat this subject with a stick but I still am not clear about a few things.
#1: I am on LTD & past the 2 year mark and am on CPP-D. My company will be sending me a letter soon re: frustration of contract and with that is a severance package. If I get a lump sum how does the insurance company offset that from my LTD monthly payments? (My policy clearly states they can offset Severance) Severance is for payment going forward not like CPP-D where they give you retro active lump sum and that goes to the insurance and then the max allotted amount per month is split between the two.
#2: Is CPP-D impacted by Severance?
#3: If I decide to close off with LTD, do I get to keep the Severance or does LTD still get it?
#4: I am about 2.5 years away from turning 65 so depending on how much I get for Severance and how it is offsetted by LTD if I remain with them, it may be helpful to do this or not. If my Severance as an offset will take me close to 65 anyway, what is the point of having LTD again and will they even start back up with me to cover the bridge between the time left and when I turn 65?
How complicated would that be?
#4: If it is okay to close off with LTD and keep the Severance, can I start my early retirement shortly afterwards or is there a wait period due to receiving a Severance.
Thanks for your support on this topic.