Don't count on that government pension

The Chicago Tribune ^ | April 17, 2017 | Terry Savage

[2ndDivisionVet]

Millions of Americans are expecting to receive a pension from the city or state that employs them. Many will be in for a terrible surprise, according to the nonprofit organization Truth in Accounting.

It surveyed 237 municipal pension plans across the country, using newly required reporting data about pension underfunding. Although it has taken decades for many of these pension funds to get into such bad shape, only now are the details being revealed, says Sheila Weinberg, president of Truth in Accounting and a CPA who has dedicated her life to requiring full and useful disclosure of federal, state and local debt obligations. (I am a board member of Truth in Accounting.)

This newly collected data should be frightening to those counting on a state or municipal pension. The latest numbers are available at http://www.statedatalab.org/pensiondatabase. There you can search by state to find both state and local pension statistics. The report for each city and state includes the amount of pension plan assets, the amount of plan promises, and the dollar amount and percentage of pension underfunding. Every plan also receives a letter grade, from A to F.

Of the 237 cities studied, 29 received an "F" grade, reflecting a funding ratio of less than 35 percent. Those plans cover many thousands of workers who cannot possibly be paid their full promised pensions, absent a huge tax increase (which would also come out of their pockets as workers).

Based on the size of its unfunded pension liabilities, Chicago is in the worst shape, with more than $62 billion worth of unfunded pension promises. Chicago has less than 33 cents set aside for every dollar promised.....

[huldah1776]

I usually go to the source but the link in the article was a 404 error...

http://www.statedatalab.org/pension_database/

[Bubba Gump Shrimp]

the ONLY pensions that are ever on the chopping block are first responders, police and fire fighters.

This narrative happens every few years around here, stories go wild, about how there will be no more cops and your house will burn down.

Then they raise taxes.

[meyer]

Federal too, in some cases. TVARS (TVA Retirement System) is nowhere near fully funded despite its competitors in the utility industry all being 90%+. And their continued solution is NOT to add funds to fulfill their obligation, but to instead cut benefits going forward.

Oh, the upper management is in a separate, fully-funded pension system.

[dp0622]

Why the #### are you telling me?

I wouldn’t move to Texas from NYC for 10 million dollars.

Cry like a b.tch to someone else.

[Liz]

THE NUMBER OF GOVT CHECKS VALERIE IS CASHING ARE ADDING UP

EVEN IN THE DC SWAMP Valerie Jarrett STILL Received
A $36K Annual Pension For Part-Time Chicago Transit job
dailycaller.com ^ | 2/17/2016 | Chuck Ross / FR Posted by rktman

Chicago is known for its L-train. But it's the gravy train that White House senior adviser Valerie Jarrett prefers to ride.

In addition to the $173,922 Jarrett earns per annum as President Obama's senior adviser, she is also paid an annual pension of $35,660 for the eight years she served as chairman of the Chicago Transit Authority, according to a Chicago Sun Times investigation.

Jarrett was appointed to chairman of the agency - a part-time position - in 1995 by then-mayor Richard Daley, whose brother, William Daley, served as Obama's chief of staff. Jarrett served as the former mayor's deputy chief of staff and was appointed to numerous other positions during his term. (Excerpt) Read more at dailycaller.com ...

======================================

That one Chicago pension check is what she'll admit to. Wonder how many transportation bonds were issued while Jarrett was at Chicago Transit? Her pension payout would pale against her hidden income from lucrative insider Chicago bond deals.

==================================================

In his final days in office:

<><> Obama appointed Valerie Jarrett and National Security Adviser Susan Rice to the Kennedy Center Board of Trustees

<><> Deputy Ntl Security Adviser Ben Rhodes was appointed to the tax-funded US Holocaust Memorial Council.

=================================================

The Obamaminions can't live by do-goodism alone (smirk). We demand to know how many US govt checks this motley crew of incompetents hangers-on is cashing. (including US govt payroll and pension checks.)

Its an old political trick to pad pensions, and, hand-pick people and put them on govt payrolls long after you think they're gone.

The trio's vouchers for reimbursement would also prove enlightening.

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Remember, Obama gave his MIL a 200,000 US govt pension for baby-sitting his kids. She must be on several payrolls, too.

[dp0622]

Sorry. I didn’t see “Democrat” in your post earlier.

I couldn’t move to Texas cause I melt at 75.

I would move to PA tomorrow if wife would come.

I might go anyway :)

Apologies again. There are Yankee conservatives and I overreacted either way.

[straps]

Delete most of the address after .com an it works but it gives only state wide numbers. Its a bogus article .Because it only effects Chicago in Florida only Jacksonville First Res ponders are in a mess the rest are not bad....I am a Pension Trustee for the past 12 years...

[Mr.Unique]

[cgbg]

The irony is that if the states deported all of their illegal aliens the money they saved could help to fund their public employee pensions.

Eventually the public employee unions will put two and two together....and decide what must be done.

[lonevoice]

Delete most of the address after .com an it works

Thank you! That worked for me.

Corrected link: http://www.statedatalab.org

[dp0622]

lol.

I apologized later in another post on this thread.

Stupid Sicilian temper. If I wasn’t going to die from a heart attack in a few years from the weight, my temper might have gotten me killed :)

[Bonemaker]

A very large percentage of the city workers voted for the politicians who are stiffing them.TS

[ought-six]

Your SS check is $600 a month? Did you retire in 1968, or only work part time? I mean, $600 a month seems pretty low for someone who has worked their entire adult life and has recently retired.

[FreedomNotSafety]

Duh? This is news? Everything he said goes ditto for Social Security. It too is a government payout.

[dragnet2]

Ya mean tens of thousands of cops and fire personnel making $100,000++ per year in bloated retirements are breaking the bank?

Geee, when did they figure all this out?

[shalom aleichem]

You know another big load is the football coaches and basketball coaches at state universities who “earn” upwards of $5-10 million per annum, and these pensions for “state employees” are computed on the average of top 3 years of earnings. Just obscene. The poor little salt truck driver who busts his buns gets not even crumbs as the coaches suck the pot dry.

[PapaBear3625]

This is why a 401k is actually safer than a government or union run pension.

A bigger reason is that your 401K, if invested in a sound fund like Vanguard, will get a much higher rate of return than government pensions, which have to comply with mandates like "have a woman/minority owned fund manager" and "divest in all politically incorrect companies".

[Harmless Teddy Bear]

The other reason is that people change jobs.

I have worked for well over a dozen companies. All of them had a 401k except for the first that offered a pension.

I got nothing from the first job but every job since has paid into my retirement. When I leave I roll it into my IRA. If they go out of business, get bought out who cares? My part is safe.

[mrsmel]

Yes, I knew that. That particular political mix is a little confusing to me, as where I live, LE is considered to be generally on the conservative side, politically. I’ve been learning that things can be quite different elsewhere, when it comes to LE in various places, in different ways.

[cherry]

5% is nothing....