Wednesday, May 20, 2009
Lump-Sum Distributions Become Harder to Get
The option of a lump sum on retirement is likely to disappear for a lot more workers this fall.
Lump sums used to be a fairly common option for workers enrolled in pension plans. It is becoming rarer, however, as declining stock values have sent pension assets plunging just as they have to meet more stringent funding requirements. (Pensions themselves, of course, are being offered to fewer workers.)
Some employees may slip through before Oct. 1, the deadline for businesses to update the funding status of their pensions. More companies are expected to be underfunded when the 2009 numbers are run...
WSJ: Lump-Sum Distributions Become Harder to Get
Lump sums used to be a fairly common option for workers enrolled in pension plans. It is becoming rarer, however, as declining stock values have sent pension assets plunging just as they have to meet more stringent funding requirements. (Pensions themselves, of course, are being offered to fewer workers.)
Some employees may slip through before Oct. 1, the deadline for businesses to update the funding status of their pensions. More companies are expected to be underfunded when the 2009 numbers are run...
WSJ: Lump-Sum Distributions Become Harder to Get
Permalink posted by markw @ 5:25 AM 
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