You can read all about the FERS and CSRS systems on the internet. You can continue to think the employee contributions don’t end up financing what they get out of the system if you want, but you’d be NUTS to do so.
“You can read all about the FERS and CSRS systems on the internet. You can continue to think the employee contributions don’t end up financing what they get out of the system if you want, but you’d be NUTS to do so.”
You are wildly misinformed, perhaps because you have been fed propaganda by the government unions. Here are the facts. Under FERS, employee contributions are 7% (6.2% for Social Security and 0.8% for FERS). The tax payer provides almost all funding for FERS (11.2%). For TSP, the employer contributes up to 5%.
I was mistaken about the COLA. The COLA is CPI-W minus 1% unless the CPI is less than 2% when you receive the full CPI-W. No other private or goverment pension plan receives CPI-W minus 1%.
Please dispute my facts with evidence. I doubt that you can provide anything other than union propaganda.