Pension Plan Retirement Options

It is very important to understand the pros and cons of each pension option that is available to you. Some options are intended to protect your spouse in the event of your death, while others are intended to provide you with larger monthly distributions after you retire. To examine the cost and benefits of your various pension plan options, simply use our Pension Plan Retirement Options Calculator below.

Why use the Pension Plan Retirement Options Calculator?

The purpose of the Pension Plan Retirement Options calculator is to show you the costs and benefits associated with the various pension plan retirement options. To use this tool you will need to enter various pieces of information about yourself and your spouse (where applicable). The calculator will take all of this information into consideration in order to show you the monthly cost for life insurance, how much your monthly cost for Joint Survivor Benefits will be, and what your lump sum payout will need to be in order to replace your survivor benefit.

How to use the Pension Plan Retirement Options Calculator

Not sure where to start? Let us help you:

  1. Enter your current age and your expected retirement age, by typing into the white boxes or using the sliders
  2. Input your life expectancy – obviously this will not be exact but make an estimate
  3. Add the current age and life expectancy of your spouse, where applicable
  4. Enter your expected monthly payouts for both single and joint pensions
  5. Add the cost of your insurance, per $1000 of coverage
  6. Input your expected rate of return
  7. Specify whether pension is indexed for a Cost of Living Adjustment, and the rate your cost of living increases by each year
  8. Click Calculate to view your analysis.

Who is this Calculator for?

This calculator is most useful if you:

  • Need a quick analysis of what your pension plan means in real terms
  • Want to know your optimum retirement age, based on your pension plan
  • Would like to compare the impact on your pension of different rates of return

What if I exceed my life expectancy?

In this case, it is not likely that you will be required to take any action as your plan should cover you until you reach the end of your life.