Question for anyone who took a lump sum payout for their pension; how long did it take you to receive the payout after your last day of work?
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Ordinarily one takes the lump sum from T as a roll-over. Choices are Fidelity or any other IRA provider (Vanguard, etc.). It's non-taxable as long as you don't take possession and it ends up in an IRA somewhere. Even if the amount doesn't seem much, start with a roll-over just to keep from having it taxed. You can always get it out prior to the end of the year and still pay those heavy taxes. But you may change your mind as you learn more.
If the check is issued to you, it is taxable. You need to rollover directly to your new account.
Before you have Fidelity cut you a check I would meet with a financial advisor. The lump sum is a good option but if you withdraw the whole thing all at once you will be taxed very heavily. I suppose if your lump sum is very small then you may want to just take the money but don't take hundreds of thousands of dollars all at once. Especially if you are younger than 59 1/2. If you are under younger than that you will pay a 10% penalty on top of taxes. It is best to roll it over into an IRA account. When you roll over your lump sum you won't be taxed or penalized at that time. Then you can just take what you need at the time you need it and only pay taxes on that smaller amount. That strategy keeps your tax bracket lower. To make it easy to understand, a withdrawal is a check made out to you; a roll over is a check made out to another company for the benefit of you.
I left at the end of June, got my check from Fidelity at the end of August, so about 2 months.
I rolled mine over immediately into a rollover IRA, so I had no taxes, etc. taken out of the amount.
I was off the books end of March, 2019, met with Fidelity like April 23, decided to roll over pension to IRA, it was completed May 20...
My bad. Lumping out Pension was about the same time, 6 weeks. I was off the books in mid Feb and I received Pension check mid April.
Expect approximately 6 weeks. Also expect it to be heavily taxed from Fed & State. My severance was $47k yet I received $27k after all deductions. Enough to payoff all my debt so it actually put money in my pocket because it lowered my monthly expenditures which was approximately $1,200.00 a month.