However, when you take advantage of the NUA tax break for your company stock (by not rolling it over into an IRA), you're free to sell the stock whenever you wish, since it will be free of the distributions demanded by an IRA. ...
This option should generally be avoided unless there is an immediate need for the funds. If you decide to take the cash as a lump sum, depending on your age and tax situation, you may be subject to income tax and possibly a 10% early withdrawal penalty. Your distribution will be subject...
This is not all that surprising, considering how traditionally popular lump-sum distribution options from pension plans have been. Many retirees seem to prefer having more control over their retirement nest egg via a rollover into anindividual retirement account(IRA) account. This arrangement o...