TLDR: My new company offers a DC account to park my 企業年金. But I’m worried about how to take the money once the time comes. They also have a lump sum payment option, but I’ll have to be smart with it and not blow it before retirement.
I’ve just moved job and the company gave 2 option regarding the 企業年金. 1) To accept as a Defined contribution (DC) or 2) to receive it lump sum once a year.
I have a DC account from previous job so it seems like an obvious choice, but I’m not very sure about the fund being locked until I’m 60. My concern is I don’t know if I’m going to be here until then, so how am I going to receive the money once the time come?
There’s the logistic issue such as having to come here for the paperwork, possibly needing to have a bank account to receive it and many more.
If I accept option 2, I can put that money in a retirement fund at my country, where I’m almost certain I’ll be there once retirement age comes. I’m also doing NISA so I can park the money there and withdraw it anytime I like. Option 2 is more flexible, but it requires discipline on my side, which I cannot say will be the same throughout my life.
What do you guys think? Do you have a similar problem like me and what do you choose?
Thank you in advance.
by rl_19