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My former employer has offered me the chance to take my pension plan value as a lump sum or keep it as it is and receive a single life annuity at retirement age. Assuming that I live to 90, it appears that they are guaranteeing a return of about 7.0% on the current lump sum value. If that's the case, it probably makes more sense to roll the lump sum over to a self-directed IRA (a Roth comes out a few points ahead).

Does the 7.0% sound right for a coporate pension? Am I missing something?

Thanks,

Mitch
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