I'll be turning 65 next March and I'm thinking about retiring. I've got two pensions. One is a traditional pension which would be a monthly payment. The other pension is called a portable pension with a lump sum in it. My question is, if I only take the lump sum in the portable pension, would I be taxed 20%? What about the traditional monthly pension? I'm also thinking about rolling my 401K into an annuity. What are the tax implications for doing this?
