However, you also assume the risk of managing your benefit. Your company sets aside money to pay your pension benefit. The amount is based on how long you worked for the company and your wages. The money is invested to earn conservative returns, often about 5 percent. If you invest some of that lump sum in the stock market or in some other asset that offers a better return, you could end up with a larger benefit.
People have to be willing to accept the volatility of the market.
But their returns better keep up with inflation. But some pre-retirees, such as Chuck Oplinger, are uncomfortable forfeiting their guaranteed pension checks. If they invest poorly, they could lose their entire benefit or get a much smaller one. Laws Worker's Compensation Laws See how you score with lenders Equifax and Fair, Isaac provide your score, credit file plus score explanation. In a weeklong online conversation beginning August 13th, Apple expatriates and industry experts discuss the company's past and future in the competitive marketplace.