Wall Street Journal reports more companies to offer pension buyouts

The Wall Street Journal’s CFO Journal reported in “Tax  Policies Spur Companies to Offer Pension Buy-outs” that in the wake of the IRS’s recent decision to continue using its current mortality tables and new regulations limiting lump-sum buyouts,  Newell Rubbermaid and E.W. Scripps will offer lump-sum buyouts to thousands of former employees, with E.W. Scripps also offering an annuity option. Like many companies, E.W. Scripps froze their defined benefit plan several years ago, but will carry liabilities on its books as members retire and receive pension benefits.  Lump-sum distributions are not always the best option for retirees – many would do better with a guaranteed stream of income for life.