about Pension payment

Before 401K, large private companies provided pension for retirement.  At the time of retirement, the retiree usually choose to have annuity (regular payment until death) or lump-sump.  Most people choose lump-sump, because death would ends annuity and children won't get anything, unlike lump-sum.

I suspect this is why the old gentleman kept working, because his divorce decree said if he got his pension (either annuity or lump-sum), he had to give a portion to his ex-wife (maybe 1%, maybe more, depends on their circumstances)

This kind of pension is very rare now.  With 401K the division is easier. 

To read more about old-time pension system, see https://www.pbgc.gov/about  It is not just government employees.  PBGC is a government insurance agency for private pension, like FDIC for banks. 

所有跟帖： 

• 究竟是分什麽錢？ 是pension呢還是401K之類的。這個帖沒說清楚。 -原上草2017- ♂ (0 bytes) () 08/26/2019 postreply 07:24:32

• 是個坑 -檸檬椰子汁- ♂ (0 bytes) () 08/26/2019 postreply 08:56:55

• 怪不得！很多人看都沒看清楚就發言，喜為人師，往往誤導別人，以訛傳訛。 -原上草2017- ♂ (0 bytes) () 08/26/2019 postreply 10:48:13