If you are fortunate enough to have this decision in front of you, you may be seeing some obvious reasons to take each of these options. Maybe you want to grab the cash now while it is available and invest in an IRA. Or maybe the idea of ‘guaranteed’ income for life sounds better.
Here are the key factors to consider:
Age & Health – Pension benefits are generally calculated based on a combination of years of service and final average salary. Also, life expectancy is used in determining lump-sum amounts. Therefore, typically women and those in good health …Read More