Once the decision is made to retire, it is recommended that you consult with IOTA prior to opting whether or not to take a lump-sum distribution.  IOTA will analyze your specific tax and financial situation and suggest which option would be more beneficial.  Keep in mind that lump-sum distributions are taxable in the year received, unless "Rolled-over" into another retirement account within 60 days of receipt.  Also, please note that your tax preparer, not your former employer, is responsible for calculating the non-taxable portion of lump-sum distributions and ongoing monthly pension payments.  Consequently, it is important to select a tax preparer with that knowledge and experience.  If it is determined that the tax exempt pension calculations previously reported were incorrect and resulted in tax over-payments, IOTA will file amended tax returns to claim tax refunds from prior years. 

Upon retirement, strategies should be created to ensure a certain life style, designating how and to whom remaining assets are to be distributed, with attention to minimizing or eliminating tax obligations.