Important Reading for Public Employees with Pensions

[Goldstein1984]

As a former State of Alaska employee with a defined benefit pension that is PART OF MY COMPENSATION, this troubles me:

From the article: "If you work for a state or local government, start saving money outside of the pension plan if you haven’t already, because that plan may not last for as long as you need it."

http://www.nytimes.com/2010/08/07/your-money/07money.html?_r=2&hp=&adxnnl=1&adxnnlx=1281207650-jlW6rpsd3bFiKE/aa+9nwg

[truedelphi]

1. These plans are being demonized - as though state, county

And Federal employees didn't contribute. And as though their employers didn't contribute.

In many cases, such employees have little in the way of Social Security -as the government pension plans allow individuals to avoid paying into social security.

So people relying on them are totally screwed, now that the current mantra is "public pensions bad."

[Goldstein1984]

2. When I was working for the State of Alaska

I was earning half of what I could have earned doing a similar job on the other side of the table. Those pensions are one of the few things that made the state jobs competitive when trying to attract qualified people. (The other two being somewhat flexible hours in some jobs, and state jobs being a good place to put a few years of experience on a resume after college.) It was part of my compensation package, and it's owed.

[Obamanaut]

3. Which gov pension plans allow individuals to avoid paying into SS? nt

[laughingliberal]

5. When I worked at a state hospital in TX, we paid into the state retirement fund and not SS.

I believe it's the same for state employees here in NV.

[Obamanaut]

6. I paid into SS while a state employee in Fla. nt

[havocmom]

8. Same with me in Montana

Paying into both, unlikely to live to see any of it back

And it is NOT some special gift, it is part of the compensation for work that was seriously underpaid, as mentioned by others in this thread. It galls to work hard for the public, making less than prevailing wage for similar work in private sector, but knowing serving the public is damned important, then be demonized for a pension and insurance benefits, after paying hefty payroll deductions for both.

My husband is a federal employee. He pays a lot for the group insurance, employer, the US taxpayer pays some. He pays into SS and also an agency retirement fund. His employer, the US taxpayer, pays some. He gets about 1/50th what taxpayers have to pay private consultants for what he provides them. Most people where I live do not pay into SS or even income tax. All their needs come off the top of their family corporation farms and every one of them 'makes' only EXACTLY the top amount of 'income' they can have and not pay taxes on. They all drive trucks worth more than our home. They travel, we don't. They thrive when they take his advice and accept the help he can give them.

And they call him a parasite.

[laughingliberal]

11. Well, I didn't in TX and state employees here in NV don't.

I have known people here who retired from the state who wanted to use Medicare instead of the state's benefits as Medicare was less expensive. If the did not have their 40 quarters with SS, they had to find a private sector job and work to make up the balance.

My sister in law was one of those. She retired after 30+ years with the state. She wanted to go on Medicare but had paid only 38 quarters into SS. She went back to work in an office here for 2 quarters in order to qualify.

I'm assuming there are some in other states for whom this isn't the case and, at retirement, they have benefits from SS and their state plans. This could, perhaps, account for some of the uncaring attitudes-people don't realize the state benefit is some people's sole income in some states.

[Lisa0825]

10. I cuurently work for a TX university hospital, and pay into both the state fund (TRS) and SS. nt

[laughingliberal]

12. Good for you. I worked at MD Anderson in 1990 and it was not that way. NV state employees don't pay

[truedelphi]

7. County of Marin (Calif) employees pay into their pension plan,

Do not pay into Social Security, and it is managed, I believe by the state.

And both Meg Whitman and Jerry Brown are saying that those plans are not good for the state's budget.

I hope both of them defer from receiving any monies from state pension plans if elected.

(Right now there is this huge scandal way down in town of Bell Calif. Using closed meetings, the City Mayor, and all other city council members voted themselves in HUGE SALARIES. I mean, the town has 40,000 people, and the mayor was getting over 700,000. They say they did this because once in office, you are awarded your pension plan, not on an average of what you made, but based on your three highed salaried years of office.)

[skeptical cynic]

13. The Alaska PERS system makes employees opt out of SS

The same PERS system is used by various municipal and university employees.

[eleny]

14. Colorado

[Ricochet21]

4. I agree

I agree

[havocmom]

9. kick

:kick: