I have a weird update and was trying to update that thread but couldn't figure out how. If you have tips please let me know.
What to do with previous pension
So I received my pension paperwork today for my spouse to notarize with a laundry list of instructions to roll it over. OH MY.
BUT, there was an itemized list of withdrawal options that somewhat blew me away and got me thinking and then just confused.
Pension balance is $17,383.55
I have 2 pages of options but these are the 2 that caught my eye:
$76.54 pension withdrawal starting right away (28 years old)
OR, they offer an option to roll my 401k balance into the pension for an annuity like above with 100% spousal benefits for a monthly payment starting immediately of:
Total balance if I roll in my 401k would be $152,000. So with a 60 year withdrawal that is a 5.78% rate of return. I have the check for the 401k to send to vanguard to lump sum roll over (Biggest check with my name on it ever!) but the numbers and options are so fascinating to me because I had no clue they were even a possibility. I mean, if we weren't looking at significant income growth over the next few years, $8,100 a year in income would be nice.
I am an annuity novice but I still felt like those figures were somewhat generous. Thoughts?