Today the average Chicago public school teacher will retire with a pension of $73,000 a year. With a normal life expectancy each person will collect two million dollars of other people’s money.
Of course, this pension money is well deserved: 40% of Chicago’s high school students don’t graduate.
That person retiring today will not see much of anything considering their pension fund is bankrupt and the state/.gov cannot pick up the slack. Probably would have happened anyway, but Fed Zero Interest Rate Policy ensured it will happen as it is impossible to receive the nice safe bond return of 5-6% and compound return of 7-8% their pensions were based on. In that sense all pension funds and insurance companies are screwed, but IL ever so much more. Basic math, but the little peeps don’t have a clue what is coming.
Those that retired in previous years will also receive the shock of their lives when the lights go out and it’s far too late to do anything about it.