The Wisconsin Lie Exposed–Taxpayers Actually Contribute Nothing To Public Employee Pensions

FORBES ^ | 2-25-11 | Rick Unger

[tcrlaf]

Pulitzer Prize winning tax reporter, David Cay Johnston, has written a brilliant piece for tax.com exposing the truth about who really pays for the pension and benefits for public employees in Wisconsin. Gov. Scott Walker says he wants state workers covered by collective bargaining agreements to “contribute more” to their pension and health insurance plans.

Accepting Gov. Walker’ s assertions as fact, and failing to check, creates the impression that somehow the workers are getting something extra, a gift from taxpayers. They are not. Out of every dollar that funds Wisconsin’ s pension and health insurance plans for state workers, 100 cents comes from the state workers.

How can this be possible? Simple. The pension plan is the direct result of deferred compensation- money that employees would have been paid as cash salary but choose, instead, to have placed in the state operated pension fund where the money can be professionally invested (at a lower cost of management) for the future.

Many of us are familiar with the concept of deferred compensation from reading about the latest multi-million dollar deal with some professional athlete.

A review of the state’s collective bargaining agreements – many of which are available for review at the Wisconsin Office of State Employees web site - bears out that it is no different for state employees. The numbers are just lower.

[Carling]

I actually have clarity now, Leni. So do millions of other Americans. The fact the you’re trying to ban me tells me all that I need to know about you and the rest of you state union workers.

[MinuteGal]

I didn't try to have you banned....nor am I a "state union worker", either past or present. Your sick attacks on fellow freepers are worthy of notice, however....and last time I looked, it was against the rules here.

However, I don't waste time on snarks like you, so....rave on, and good night.

Leni

[Carling]

I'm not attacking anyone. I only commented on flaglady47’s own profile, and her own defensiveness against those of us paying for her. I'm sorry if you can't handle the rhetoric, but lines have been drawn, and flaglady47 the RINO chose her side.

[flaglady47]

“It’s the state union leeches”

Never was in a union, *sswipe. Buzz off.

[Carling]

Then why are you defending them?

[Duke Nukum]

Sorry, I didn’t see this for a number of days. When I did go back, I noticed it was from another Forbes blog:

http://blogs.forbes.com/kurtbadenhausen/2011/02/25/will-wisconsin-union-budget-boost-job-growth/