Skip to main content
No. of Recommendations: 1
A few thoughts--

If offered a payment at an early age, say 55 your first consideration should be, if you wait to age 65, how long must you live to recover all the funds you would have collected between age 55 and 65. Then how is your health and in your family genes? What are the odds you will live that long or say to age 90?

What are the tax implications if you begin collecting at age 55? Will you continue working? Retire? Consider the whole plan.

If you retire early, will you be covered by employer health insurance? And what are the rates?

With a defined benefit pension plan, the lump sum value is calculated based on the pension benefits at age 65. When interest rates are low, the lump sum value is higher than when interest rates are higher. That implies that now is an especially opportune time to take a lump sum.
Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.