Consider:
Factor in additional considerations
There are many factors you should consider when determining how to take your pension benefit.
Other financial resources, your personal health and dependent obligations are just a few of the considerations that may impact which payment form is best for you. Consider the following:
Retirement income sources
Your Dow pension benefit is only part of your total retirement income. As you consider your choice, take into account all of the anticipated retirement income sources you may have, which may include:
- 401(k) and IRAs
- Social Security payments
- Other pension benefits
- Your spouse's/domestic partner's retirement income
- Home equity, rental property income, etc.
Life expectancy
Your retirement income will need to last the rest of your life. While it’s difficult to predict what will happen in the future, you can start by considering factors such as your:
- Age
- Health
- Lifestyle
Expected retirement expenses
Take a careful look at your expenses, considering which expenses may go away in the future and new expenses that may arise:
- Fixed expenses like rent
- Variable expenses like entertainment, vacations or family support
- Expenses that may go away like mortgage payments or work-related expenses
- New expenses, like greater health care needs as you age
Your risk tolerance and investment return
If you take the single lump sum payment, you will need to determine how to manage your money for retirement. Think about your need for cash on a monthly basis and your ability to manage financial risk, including your access to professional advice and support.
General tax guidelines
When considering the lump sum payment option, you should also consider these general tax guidelines. Also, please read the Special Tax Notice included with your personalized Election Kit for additional information.
We strongly encourage you to consult with a financial planner and/or tax advisor to discuss and evaluate your personal tax situation. Dow is providing access to PwC coaches as part of the special benefit election window.
Questions?
Review this list of frequently asked questions and answers (FAQs). If you still have questions about the special benefit election window, please call the Dow PPA Pension Plans Transition Service Center at (855) 286-7207 Monday through Friday. 8:00 a.m. and 5:00 p.m. CT.
For questions related to tax and financial implications, call PwC at (833) 566-2976. As part of the special benefit election window, Dow is providing access to this one-on-one support — all at no cost to you. Support is confidential and unbiased and coaches are not acting on behalf of Dow.