I have a client who states his employer funded a defined pension plan and then closed it 3 years ago. Now the employer is going to give my client (over 62 yrs old) a lump sum payment in cash this december 2007.

is this considered qualified or nonqualified money?
can he put this cash into an IRA rollover?
can his employer do this in cash?

any suggestions on how to handle this and what to make of it?

Douglas