Don't Drop the Ball on Deferred Retirement Option Plans

Perdue, Grady; McCormack, Joseph P.
February 2000
Journal of Financial Planning;Feb2000, Vol. 13 Issue 2, p80
Academic Journal
A relatively new addition to defined benefit programs, deferred retirement option plans (DROPS) are popular in the public sector. The better financial planners understand DROPs, the greater their role can be in helping employers structure plans and helping employees decide whether and how to participate in DROP provisions. This article, presents common characteristics of DROPs, demonstrates the workings of a DROP, gives guidelines on how to compare employees' options, and discusses the possible services financial advisors can provide.


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