Posted on 01/21/2016 7:10:34 AM PST by redreno
Although the vast majority of public employees are covered by defined-benefit pension plans, many may need to supplement their pension checks to ensure a comfortable retirement.
Teachers, for example, can enhance their retirement security by contributing to a 403(b) plan, a tax-deferred savings plan that's similar to a 401(k). Unfortunately, many 403(b) plans are vastly inferior to their private-sector counterparts as far as investment choices are concerned; primary offerings are usually products such as equity-indexed annuities, which often carry high fees and offer limited market returns
(Excerpt) Read more at chicagotribune.com ...
Only fools would invest into these long term funds for sometime in the near future the government will seize these funds and incorporate them into the general fund.
ANY SYSTEM OR FUND controlled by government regulations as far as fines and penalties for withdrawal are simply for fools that think in 20-30-40 years think they will actually retire on these funds.
If that is not bad enough, inflation will ensure that as fast as they add money to the fund inflation will rise in direct proportion and when it comes to retire, they would have simply the same buying power as on the day they started the fund.
Investment in so called “safe” plans is worthless. Buy tangible items such as gold, silver, real estate etc... that will actually grow in real value over time...not a piece of paper that can become worthless overnight.
Now where real wealth accumulation would occur is when the worker dies.
That money would be left to the beneficiaries. In SS, that money is forfeited. To me, that is theft.
But then that would take power away from the Establishment and we know that won't happen.
Those of us who were offered no pension at all are having trouble whipping up sympathy.
This is the problem. A good friend of mine is a teacher in BC. He thinks his pension will pay for everything after he retires in a few years. Because of that, he has no qualms about spending nearly all of his current pay on vacations, restaurants, and home upgrades.
No amount of talking to him changes his mind about the future, although I believe he’s in for some forced down-sizing.
Oh well.
Chicago’s corrupt and violent... the city has spawned some of the worst ideas and people in the history of our country. It’s an open sewer...
You try living on what the state of Texas pays their retirees. It isn’t fun.
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