it seems better to take annuity payments, if allowed, rather than a lump sum. Defers the taxes into the future, allowing a bigger after-tax return.
But everyone now takes the lump, the argument being more control of funds.
I would take the lump sum and then work with a tax accountant to lower possible taxes.
I don’t trust the state enough to pay me out over 20 years. If I could trust the state, I would probably take the annuity.