Should I Take My Pension As A Lump Sum?

Although increasingly rare, employer pensions can make up a considerable portion of your expected retirement benefits.

Whether you are nearing retirement or are already receiving ongoing pension payments, you may have the option to choose a lump sum distribution/buyout instead of a lifetime stream of payments. Several factors must be analyzed in order to determine what course is best for you and your unique circumstances.

This flowchart serves as a guide for you as you consider your pension options. It covers:

• Life expectancy considerations
• Viability of pension plan
• Risk tolerance and need for guaranteed income
• Wealth transfer considerations
• Lifetime income options