 listed as being "mine", and upon end of employment (retirement, voluntary termination, etc), I have the choice of accepting a payment either in the form of an annuity or a lump sum.
From my understanding, if they have contributed X dollars (say $25000), accepting the lump sum would allow me to invest it en masse any way I wish (after taxes, of course). If I accept the payment as an annuity, like the lottery, I will eventually get all of it, but it will take substantially longer.
Why would you choose one of the other?

A:

To start, not "after taxes". This payout from a lump sum pension is transferable to an IRA, with all the flexibility that affords you: 

Ability to withdraw at your own pace after 59-1/2, not the fixed payout of the pension.
Ability to convert to Roth if you wish, at any time (e.g. in lower bracket years or to 'top off' your bracket as you wish.
Ability to leave the IRA to designated beneficiaries, pension typically can go to spouse, but that's it.

As far as the investing aspect is concerned, I was in a similar situation 8 years ago. I saw the math (i.e the return) that would be used, vs the lump sum. The pension is a fixed, guaranteed, relatively low rate of return, as you'd expect. You should be able to do the math and get an idea of what rates they are using. I was comfortable that I'd get more than that rate over the long term. 
I counseled a number of co-workers when this choice was presented to us, and my advice leaned towards the lump sum transfer to IRA. Many went with my suggestion.
Those that didn't came back to me. They finally realized what I was saying about (a) the spousal benefit reducing the payout (dual life vs single) and (b) the fact that an annuity of this nature leaves nothing to your heirs. These two factors mean that even though the promised rate upon annuitization was say, 6%, it's not like a 6% CD, it's an immediate annuity. 
The group was literally divided across the line of those who were good listeners and those who were afraid to ask questions. I link above to a good site to see the current IA rates. You need to make your own decision of
listed as being " mine ", and upon end of employment (retirement, voluntary termination, etc), I get the option of accepting a payment either in the human body of an annuity or a swelling sum. 
 From my understanding, if they have put up adam dollars (state $ 25000), accepting the lump union would allow me to invest it en masse any means I wish (after taxis, of course). If I accept the payment as an annuity, like the lottery, I will eventually get all of it, but it will learn substantially longer. 
 Why would you choose one of the early? 

 A: 

 To start, not " after tax ". This payout from a lump kernel pension is transferable to an IRA, with all the flexibility that affords you: 

 Ability to withdraw at your own pace after 59 - 1/2, not the fasten payout of the pension. 
 Ability to convert to Roth if you wish, at any time (e.g. in lower bracket years or to' lead off' your bracket as you wish. 
 Ability to leave the IRA to designated beneficiaries, pension typically can go to spouse, but that's it. 

 As far as the investing aspect is concerned, I was in a similar situation 8 years ago. I watch the math (i.e the return) that would be used, vs the lout sum. The pension is a fixed, guaranteed, relatively humble pace of return, as you'd expect. You should be able to do the mathematics and get an idea of what rates they are using. I was comfortable that I'd get more than that rate over the farseeing term. 
 I counseled a number of co - worker when this choice was salute to us, and my advice leaned towards the lump sum transfer to IRA. Many went with my trace. 
 Those that didn't came back to me. They finally realized what I was say about (a) the spousal benefit reducing the payout (dual life vs single) and (b) the fact that an annuity of this nature leave nothing to your heirs. These two factor mean that even though the promised pace upon annuitization was say, 6% , it's not like a 6% CD, it's an immediate annuity. 
 The group was literally divided across the line of those who were dear listeners and those who were afraid to necessitate questions. I link above to a good web site to see the current IA rates. You need to make your own decision of
 lidted as being "mine", and ukon end of employment (reviremenf, voluntxry termination, etc), I have tie cyoice of accepting a paymeng either pn the foem oh an annuity or e lump smi.
Froj my bnverstanding, if jhey have cottributed X donlxrd (say $25000), accepting the lump sum would allow ke to invest it gn maxfe ahj cay I wish (after taxes, of courss). If I eccept the paymrnt as an annuity, like the lothery, I will eventuwlly get alo of ut, but it wiul take substantially monger.
Why would you choose one uf thz other?

A:

To wtqrt, tot "after texes". Tris payout fvpm a lgmp sum pension is trsnsheravle to an IRA, with aln the flexibility jhat afforgs you: 

Ability to wutydraw at four iwn pade arter 59-1/2, jot the fixed payout of rhe pension.
Ability uo sinvert to Rotg if yju wish, at any time (e.g. in lower bracket ytars kr to 'top off' your bracjet as you wish.
Abiliti to leave the IRA to designated beneficiaries, pension typiwally zan gj ro spouse, but that's it.

As far as the investing aflevt is concerned, L was in a similar sltiwtion 8 years xgo. I saw the math (i.e the rfturn) trat wiuld be ufed, fs the lump sum. The pension is a fixed, yuaeanteed, relatively low rate oy retutn, as uou'd expect. You should ye abls to do the math and eet an idea of wfat rdtes they are using. I was somfortaboe tkat I'd gdt mpre thwn that rahe ovcs the long term. 
I founsgled a number of co-workers when this choice was presented to os, dnd my adviee leaked towards the lump sum tranxfer to IRA. Oany went sith my suggestion.
Ehose that digj't came back to me. Trey dinaoly reaukzed what I wax saying cyout (a) thw spousal benefit veduckhg the payout (dbcl life vs single) ana (b) tje fwwt that an atnuigy ug thir naturt lcavds npthing to your heirs. Theae two factors meam bhat even though ehe promised tate upon annuitizwtion war say, 6%, ij's not like a 6% CD, it's an immedizte annuihy. 
Bhe group was litcraljy divided across the line of those who were good listeners and thowe who were afraid jo ssk questiois. I lynk above to a good site to swe the current IA rates. You need to maie yous own decision of
listed as being "mine", and upon end (retirement, termination, etc), have the choice in form of an or a lump From my understanding, if they have X dollars (say $25000), accepting the lump sum would allow me to invest en masse any way I wish (after taxes, of course). If I accept payment an like lottery, I will eventually get all of it, but it will take substantially longer. Why would choose one of the other? A: To start, "after taxes". This payout a lump sum pension is to IRA, with the that you: Ability to at your own pace after 59-1/2, not the fixed payout of the pension. Ability to convert to if you any time in bracket or to 'top bracket as you wish. Ability to to designated beneficiaries, pension typically can go to but that's As far as the investing aspect concerned, I was in a similar situation 8 ago. I saw the math (i.e the return) that would be used, vs the lump pension is a fixed, relatively low rate return, you'd You be able do the math and get an idea of what rates they using. I was comfortable that I'd get more than that the term. I counseled number of co-workers when choice presented to us, and leaned the to Many with my suggestion. Those didn't came back to me. finally realized what I spousal benefit reducing the payout (dual life vs and (b) the fact that an annuity this nature leaves nothing to your heirs. These two factors mean that though the upon annuitization was say, 6%, it's not like 6% CD, it's an annuity. The group was literally divided across the line those were good and those who afraid to ask I link above good site see current need to make your own decision
 listed as being "mine", and upon eNd of employMent (rEtiRemEnT, volUntaRy termination, eTC), I haVe the choice of accepting A paymEnT EithER iN the fOrm of an ANnUITy oR a LuMp sUm.
fRoM my unDerStandinG, if they havE coNtRibuted X dollARs (Say $25000), acceptiNg tHe lump sum wouLd aLlow me To InvESt it eN maSse anY way I wISh (afteR taxes, of cOuRSe). If I aCCept the PAYmEnt aS an annuity, like the LOtTEry, I will eventuAlly geT aLL oF IT, buT it Will take suBsTantiALly longER.
WHY WOulD You choose one oF the other?

A:

TO StaRt, not "aFtEr tAXes". ThiS payoUt FRom A lump sum penSion Is transfeRable tO An IRA, wiTH all the FlexibIliTy tHat aFFoRdS yoU: 

ABIliTY tO wiTHdrAw at your OwN pAce afTer 59-1/2, nOT THE fixEd pAyouT of thE pension.
AbiliTy tO conVErt To RotH if yoU wisH, aT any tIme (e.g. iN loweR bRacket years or to 'Top oFf' your braCkeT aS yoU wIsh.
AbILity to LeaVe tHe IRA to DesignaTEd bEnEFICiAries, pension typicaLlY CAn Go to spouSe, but tHAt'S iT.

as far as tHe InvEstiNG AspecT is cONcErned, I waS in a siMIlAr SituatiOn 8 Years aGo. i saW thE math (I.E the Return) That woulD be usED, vs the lump sum. THE pension is a fiXEd, GUArANteeD, reLatively low Rate OF retUrn, aS YoU'd eXPect. YOu shoUlD Be ABle to do the math and geT aN idea oF what Rates they are uSing. I was coMFORtable thAt I'd GEt MOre than that ratE over The long terM. 
i counselEd a nuMber of co-Workers whEN This choiCe wAs pResEntED To Us, and my advice LEAned ToWards thE luMp sum trAnsFer To IrA. MAnY went with My suggesTiOn.
thOsE thAt didN'T came bacK tO me. thEy fInallY RealizEd whaT I waS sAyINg aBout (a) thE SpOUSal bEnEfIt reDucInG the pAyouT (DuaL life vs Single) and (B) thE Fact ThAt An annuiTy of this naturE lEaves nothiNg To yOur heiRS. these two Factors mean that even thouGH the proMisEd ratE upoN annuitizAtiOn was sAy, 6%, iT'S not liKe a 6% CD, iT's an iMmEdiATE annuITY. 
THe gRoUp was literALLy dIvideD aCrosS the linE of those who were gooD LisTeners and thosE whO werE AFrAid TO aSK quEsTIonS. i Link above to a gooD site to see ThE CuRrent IA ratES. YoU nEed to maKe your oWn decISion of
 listed as being "mine", a nd upon en d ofemp loy me nt ( reti rement, volunt a ry t ermination, etc), I ha ve th ec hoic e  o f acc eptinga  p a y men tei the ri nthe f orm  of anannuity or  alu mp sum.
From my  understan din g, if they h ave  contr ib ute d  X do lla rs (s ay $25 0 00), a cceptingth e  lumps um woul d al lowme to invest it e n  m a sse any way Iwish ( af t er t axe s,of course) .If Ia ccept t h ep a y men t  as an annuit y, like the lot tery,Iwil l  event ually  g e t a ll of it, b ut i t will ta ke sub s tantial l y longe r.
Why  wo uld  you ch oo seon e  of th e o t her ?

A:

T ost art,not" a f t er t axe s".Thispayout from a  lu mp s u m p ensio n istran sf erabl e to a n IRA ,with all the fl exib ility tha t a ff ord syou:
Abili tytowithdra w at yo u r o wn p a ce  after 59-1/2, not  t h e  f ixed pay out of th ep ension.Ab ili ty t o conve rt t o  R oth if y ou wis h ,at  any ti me  (e.g.  i n l owe r bra c ketyearsor to 't op of f ' your bracket as you wish.A bi l i ty to l eav e the IRA t o de s igna tedb en efi c iarie s, pe ns i on typically can go to  s pouse,  butthat's it.

A s far as t h e investin g as p ec t  is concerned,  I wa s in a sim i lar situ ation  8 years  ago. I s a w  the mat h ( i.e  th e r e t ur n) that would b e us ed , vs th e l ump sum . T hepen sio nis a fixe d, guara nt ee d,  r ela tivel y  low rat eofre tur n, as you'dexpec t. Y ou  s h oul d be ab l et o  doth emath  an dget a n id e a o f whatrates the y a r e us in g.  I wascomfortable t ha t I'd getmo rethan t h a t rate o ver the long term. 
I c o unseled  anumbe r of  co-worke rswhen t his choice  was p resen te d t o us, a n d  m y a dv ice leaned t owa rds t he  lum p sum t ransfer to IRA. Ma n y w ent with my s ugg esti o n .Tho s et hat  d i dn' t came back to me . They fin al l yrealized w h atIwas say ing abo ut (a )  the sp ousal ben efit redu ci ng t h e  pa yout (dual  life vs  single)a nd (b )  t he fa ctthat a nann uityof thi s  na tureleaves  n othing  to y ou r heirs.  These two factors mean  thateventho ugh the p rom i sed  rate upo n an nuitizatio n w assay,6%, it'snotl ik e a 6% CD , it ' s an imme d ia tea n nu ity. 
The g r o u p w as li ter a lly di vide d across the line of those who w ereg o odlis t ener sand those whower ea f raid toas k questions . I link  a b ove t o a go od sit e to se e th e  curre nt I A r ates. You  ne ed to make  y ou r  own d ecis io n of
 listed_as being_"mine", and upon end_of employment_(retirement,_voluntary termination,_etc),_I have the_choice of accepting_a payment either in_the form of_an_annuity or a lump sum.
From my understanding, if they have contributed X dollars (say_$25000),_accepting the_lump_sum_would allow me to invest_it en masse any way_I wish_(after taxes, of course). If I accept the_payment_as an annuity,_like the lottery, I will eventually get all of_it, but it will take substantially_longer.
Why would you_choose_one_of the other?

A:

To start,_not "after taxes". This payout from_a lump sum pension is transferable_to an IRA, with all the flexibility_that affords you: 

Ability to withdraw_at your own pace after_59-1/2, not_the fixed payout of the_pension.
Ability to convert_to Roth_if you wish,_at any time (e.g. in lower_bracket years or_to 'top off' your bracket as_you_wish.
Ability to leave_the_IRA_to designated_beneficiaries, pension typically_can_go to_spouse,_but that's it.

As far as the_investing_aspect is concerned, I was in a_similar situation 8 years_ago._I saw the math_(i.e the return) that would_be used, vs the lump sum._The pension_is a_fixed, guaranteed, relatively low rate of return, as you'd expect. You_should be able to do the_math and get an_idea of_what_rates they are_using._I was_comfortable that I'd get more than that_rate over_the long term. 
I counseled a_number of co-workers when_this_choice was presented to us, and_my advice leaned towards the lump_sum transfer to IRA. Many_went_with_my suggestion.
Those that didn't came_back to me. They finally realized_what I was_saying about (a) the spousal benefit reducing_the_payout (dual life vs single) and_(b)_the fact that an annuity of_this_nature_leaves nothing to your heirs._These two factors mean that even_though the promised rate upon annuitization was say, 6%,_it's not like_a 6% CD, it's an_immediate_annuity._
The group was literally divided across the line of those_who were_good listeners and_those who were afraid to ask questions. I link above_to a good site to see the_current IA rates. You need to make your own decision of