So we run the numbers just so everyone knows;
71808 * .06 = 4308.88 / 12 = 359.04/Month
71808 * .126 = 9047.81 / 12 = 753.98/Month
Killed herself over 394.44 a month on a 71K salary. Right. One wonders just how overextended she was in other aspects of her financial life.
That wouldn’t be how they calculate it though. It wouldn’t be based on her pay, it would be based on how much the premium cost per month. So, it the premium was 1000.000 per month - she would have to kick in 12.6% of that premium and the taxpayer pays the rest.
Isn’t that how it would be calculated? I don’t think they can base health insurance on how much you make?
Actually, it's going from 0.06 to 0.126 of her insurance premiums, not her salary.
Total fringe benefits = $18,234.
Let's assume that ALL of that was health insurance and subject to the budget repair bill
($18234/.94)*0.06 = $1164
($18234/.94)*0.126 = $2444
A difference of $1280 per year.
That's assuming that 100% of her fringe went towards benefits to which the employee contribution increased from 6% to 12.6% and assuming no other changes occur as a result.
Almost 90% of the school districts in WI get their insurance from THE TEACHERS UNION. It's a bloated, cadillac policy that can cost upwards of $10,000 a year more for a family plan than a comparable plan with a different carrier.
In other words, it's money laundering for the union, and due to collective bargaining, most districts have not been able to shake this very expensive cost.
So....say a top of the line insurance plan is $28K for a family. An additional 6% of that would be about $140 a month, or $1680 per year.
Now, under Walker's plan, school districts could kill the WEA Trust insurance monopoly and look for a more cost saving carrier (WITHOUT REDUCING THE UNBELIEVEABLE BENEFIT STRUCTURE THE SPOILED BABY TEACHERS ARE USED TO: no copays, no deductibles, etc.)
So, say they found a comparable plan for $20K - now we are talking an additional $100 per month.
BUT WAIT--THERE'S MORE!
Walker's plan also gives teachers the CHOICE to opt out of paying union dues. Say she's paying $80/month for that. So we're down to TWENTY dollars a month. Skip Starbucks once per week and done!