In the last issue of the Main Line I wrote an article on how you might save on your taxes when you retire and receive your lump-sum payout. Well, the Internal Revenue Service must have read my column as well. Shortly after that article went to print, I was advised by ING that the IRS was going to start enforcing a statute in the tax code that limits how you can defer your tax on retirement payouts. This Notice caught both the Retirement Board and ING off guard. How this will affect the City and County of San Francisco will be worked out at the next meeting of the Retirement Board in January, 2004. For now, I would suggest that you wait and see what happens at that meeting before changing anything again.

There will be a Retirement Seminar in February. Representatives from ING and the Retirement System will be there with the results of the January 2004 meeting. If you are planning to retire in early 2004, this would be an ideal time to attend this seminar. Contact the Division of Training to sign up.

When the Retirement Board makes its decision, I will let the Membership know what the results are. Until then, Happy New Year and good luck in 2004.

Home