My wife has the opportunity to take a lump sum pension payment now of $64247 or a lifetime annuity of $564 per month beginning in 2024. What do you think? Thanks.

Terry Says:

I may have just answered a similar question, but I don’t remind responding again!  Go to www.immediateannuities.com and see what monthly payout this lump sum would buy from a major insurer.  Compare that amount with the monthly payment the company is promising.  And, if you don’t need the money right now, consider “rolling over” the money — if the plan provides for that.  You can have Fidelity or Vanguard handle it.  And they will advise on investments.   You could keep the money growing tax-deferred until RMDs start the year after reaching age 70-1/2.

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