Certainly, the easiest thing is to just take accumulated pension funds and select one of the plan options you feel makes the most sense for you. The good news is whatever elections you make, cannot be altered, regardless of future changes to the pension plan. The trick is to select wisely.
So it might be wise to evaluate your PLOP. You are allowed to take a lump sum portion of your pension and place it into a self-directed IRA without triggering tax penalties. It’s that easy. Using PLOP can offer you two benefits. If your IRA money is invested wisely, you should be able to exceed the plan’s cost of living benefits, which are usually below the changes in the Consumer Price Index.
Secondly, unlike pension funds which revert back to the State when you and your spouse pass, you can structure PLOP funds so the remaining assets go to your family. Absolutely nothing goes back to the State! The way we look at it, why spend a lifetime saving, and then returning it to a dispassionate third-party?