Bram
Recycles dryer sheets
- Joined
- Dec 16, 2006
- Messages
- 227
In 2012 dh & I will start drawing our pensions. There are lots of decisions to be made in conjunction with this.
I have one DB pension that will pay roughly $1100/month. I don't know the particulars of the available options (guessing it will be between Lifetime vs Joint & Survivor, no lump sum option). I will be pursuing this after the first of the year as my birthday is in April.
Dh has 2 DB pensions, one being about $180/month & the other about $950/month. Both have a monthly benefit of Lifetime vs Joint & Survivor (50% vs 75%).
In addition, dh has a DC plan (~$175k) in "life stage funds" that allows a lump sum distribution of various contortions (rollover IRA, lump minus 20% tax, or rollover to another DC plan) vs periodic monthly pay'ts over 5, 10, 15, 20 years (recalculated annually to adjust for earnings or losses).
So our DB pensions are roughly equal. Neither is COLA'd. How does one make a decision between Lifetime vs J&S? I think part of the consideration as to whether Lifetime vs J & S is related to each individual's current health status & projected life expectancy. We're both quite healthy & have genes for long lives. What are other factors to consider?
Are there any "decision trees" available or what kind of counsel should one seek to help in making these decisions?
Advice appreciated.
I have one DB pension that will pay roughly $1100/month. I don't know the particulars of the available options (guessing it will be between Lifetime vs Joint & Survivor, no lump sum option). I will be pursuing this after the first of the year as my birthday is in April.
Dh has 2 DB pensions, one being about $180/month & the other about $950/month. Both have a monthly benefit of Lifetime vs Joint & Survivor (50% vs 75%).
In addition, dh has a DC plan (~$175k) in "life stage funds" that allows a lump sum distribution of various contortions (rollover IRA, lump minus 20% tax, or rollover to another DC plan) vs periodic monthly pay'ts over 5, 10, 15, 20 years (recalculated annually to adjust for earnings or losses).
So our DB pensions are roughly equal. Neither is COLA'd. How does one make a decision between Lifetime vs J&S? I think part of the consideration as to whether Lifetime vs J & S is related to each individual's current health status & projected life expectancy. We're both quite healthy & have genes for long lives. What are other factors to consider?
Are there any "decision trees" available or what kind of counsel should one seek to help in making these decisions?
Advice appreciated.