<prompt> Human: Edit: Updated Information HereLong story short, I started UPS when I was young 18 worked for 25 years, saved a lot of money, left the company and helped open a liquor store. UPS sent me a notice that theyre going to offer a buyout of my pension I knew this was going to happen - just a gut feeling. Under the plan, I could have started drawing when I was 55. For easy math and rounding, if the last estimate I got from them said 1000 bucks a month, and I live to 85, thatd be about 360,000 theyd be paying out. Couple of questions: 1 Any idea what the formula might be for the money? 2 I know if the pension doesnt go RIGHT back into a retirement plan of some sort IRA Ill get hit with 20 tax and since Im not 59.5, another 10 penalty AT LEAST federally... anything I missed there? 3 I read some of the older buyout posts, and when I get more information Ill try to add it in. More details about me: Im 43 Have a very small HELOC I used to build a big-ass garage because cars Small loan for a vehicle for my kid to use in college No other debt. My wife has an settlement annuity due to a very bad incident a long ass time ago that pays monthly until her death, with 5 year lump sum payments that become very significant. Think that covers it. Edit: because I cant reddit very well, fixed line breaks and stuff. sorry  <response>: My dad worked for UPS and he didnt take the lump sum when offered. Gets a check every few weeks. Hes Glad he did it. 