Over the almost 30 years I have worked in the financial services industry – I have evaluated a bucket full of lump sum pension options for clients and contacts. The most valuable caution that I share with folks is their need to answer a very personal question – how disciplined they are. When someone takes a lump sum from their previous employer’s pension plan – they now must exert a level of discipline that they may not be used to in their lives. When retirement funds sit in an employer’s account – they are often difficult (if not impossible) to get ones’ hands on – there is no «ATM Card» that come with employer plans.
