There are various costs associated with changing jobs. One potentially significant cost is the reduction or loss of pension benefits associated with the old job. Even if one is fully vested, a large reduction in pension benefits may occur. Amounts of increases in salary from a new job necessary to make up for pension losses are calculated for combinations of years and other factors. A rule of thumb is calculated for the portion of the salary increase that needs to be tax-sheltered in order to leave a worker economically unaffected by a job change. Key Words: pension, income tax, retirement

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