How much will you pay when you elect to take your pension plan from your at retierment age?

Answer 1

It depends on the type of "pension" plan and your total annual income at the time of withdrawal.

401(k)'s offer tax deferred savings for retirement, in other words when you contribute it reduces your taxable income, then you pay the taxes when you withdraw the money.

You only pay a penalty if you withdraw the money before legal retirement age.

Go talk to a CPA, they can give you specifics on your situation.

Answer 2

If you meet the requirements of your pension plan, you should not have to pay any "fees". 401(k) plans and other "qualified" plans have a lot of tax implications because you have been putting money into the plan/program on a tax-deferred basis. Pension's are typically different because the employer has been funding your plan.
You will have to pay taxes on the amount you receive. You can now consider the amount being drawn from the pension as a salary. If you take a lump sum payout, I think you can expect a lump sum tax to be required. You employer may be equipped to withhold the amount or they may simply send you the check.

In short, if you have any questions that your employer can not (or will not) answer, contact a CPA/tax advisor. It will be a well spent $100-500 to make sure you are taking advantage of everything you can be.