It's Become Clear States Will Not Be Able to Honor Pension Promises to Retirees - Page 3 - TigerDroppings.com

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ashy larry
LSU Fan
Marcy Projects
Member since Mar 2010
3552 posts

re: It's Become Clear States Will Not Be Able to Honor Pension Promises to Retirees


quote:

Back in the day the retirement plans were offered to attract employees, since the salaries were WAY lower than comparable jobs in the private sector.


correct

quote:

That no longer applies, and hasn't applied for a very long time.


For most positions, you are correct. Secretaries and other low end jobs are typically overpaid. However, a lot of the specialized jobs are paid less than the private sector (i.e. IT, engineers, etc). The only attractive part of this job for someone is the benefits. There is no bonus structure and for the most part, pay is decided on experience more than performance. So retention is almost the only way to really motivate someone. In the private sector performance can be rewarded with higher salaries, better benefits, and/or bonuses.






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lsu13lsu
LSU Fan
Member since Jan 2008
1923 posts

re: It's Become Clear States Will Not Be Able to Honor Pension Promises to Retirees


Some of the pensions are like the Stanford CDs that guaranteed 6% - 8%. It should be obvious to anyone that if it is too good to be true it probably isn't. Ponzi Schemes...people will never learn.





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buddhavista
Member since Jul 2012
3543 posts

re: It's Become Clear States Will Not Be Able to Honor Pension Promises to Retirees


quote:

It's Become Clear States Will Not Be Able to Honor Pension Promises to Retirees
it sucks for the retirees, but no one should expect their pension to actually show up.

yeah, my mother was a gov't worker. Her pension was sweet, she makes like 70k a year for the rest of her life. And she is on the state of texas plan, can you imagine what its like in MA? CA?

We are so fricked.






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BigJim
LSU Fan
Baton Rouge
Member since Jan 2010
2524 posts

re: It's Become Clear States Will Not Be Able to Honor Pension Promises to Retirees


quote:

The administrative overhead at the various pension kingdoms for public employees is reason enough to shut them down.
Just in La., the amount of money spent on consultants, investment managers, bank asset custodians and internal staff is staggering.


Well, I'll give you that we don't need 13 retirement boards. That's crazy.

But in terms of investment consultants and managers, I don't know that it is disproportionate. They invest billions, I am OK with them paying experts to help them. Better just letting staff and a part-time board of employees make investment picks. I am pretty sure they pay less in fees than most people pay to their 401k managers.









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LSURussian
LSU Fan
Baton Rouge
Member since Feb 2005
81113 posts
 Online 

re: It's Become Clear States Will Not Be Able to Honor Pension Promises to Retirees


quote:

I don't know that it is disproportionate.
I do know and it is.
quote:

I am pretty sure they pay less in fees than most people pay to their 401k managers.
That's irrelevant even if it is true. My tax dollars are not being used to pay for private employers 401(k) plans.






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RCDfan1950
LSU Fan
United States
Member since Feb 2007
10929 posts

re: It's Become Clear States Will Not Be Able to Honor Pension Promises to Retirees


quote:

the only solution is to let Obama hold everyone's retirement and distribute it according to the code of what is fair. We can't discriminate.


There ya go...the Obama strategy to "fundamentally change this nation". It's a virtual fait accompli. The larger issue is whether or not the Obama model of *government* (regardless of any 'consent of the governed') will be the transitory model...or will the economy go toward the Greece version where barter and smaller community-based economies with their own version of 'money' will become the norm.

One thing is for sure...there most certainly IS going to be a "fundamental change" to the status quo.







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TX Tiger
LSU Fan
at home
Member since Jan 2004
17243 posts

re: It's Become Clear States Will Not Be Able to Honor Pension Promises to Retirees


Big money and corruption. Who could have seen that coming?





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BigJim
LSU Fan
Baton Rouge
Member since Jan 2010
2524 posts

re: It's Become Clear States Will Not Be Able to Honor Pension Promises to Retirees


quote:

I do know and it is.


Well I know better and it isn't.
quote:


quote:

I am pretty sure they pay less in fees than most people pay to their 401k managers.

That's irrelevant even if it is true. My tax dollars are not being used to pay for private employers 401(k) plans.


That doesn't even make sense. They are state employees. Whatever system they are enrolled in you are going to be paying, since taxpayers are responsible for their wages and benefits. If they get moved to social security you are going to be paying for that.

Now if your claim is "their benefits are too generous compared to what we need them to be to attract good state workers" I could get behind that.

If your claim is "social security would be cheaper than the LA pension system" I'd say that's an empirical claim that we can look at. And a fairly complex one. Do you count payments to the UAL of the system? Would you add in an employer match to a 401k?

If you claim is "screw 'em they should suffer like the rest of us" they you are no better than those that want to get "their fair share" from the rich.






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LSURussian
LSU Fan
Baton Rouge
Member since Feb 2005
81113 posts
 Online 

re: It's Become Clear States Will Not Be Able to Honor Pension Promises to Retirees


quote:

Whatever system they are enrolled in you are going to be paying,
Not for administrative overhead, which are the expenses I was referring to.

The vast majority of employers pay the fees for the plans, not the employees and not the employees retirement funds. Employers can pay the fees and deduct those fees from their taxable income.

In public retirement plans, the administrative overhead is paid out of the funds, which the taxpayers are on the hook for maintaining.

There is absolutely NO VALID REASON, other than politicians wanting to control vast amounts of public employees' money and continually voting to increase benefits in order to get re-elected, for there to be separate pension systems for public employees.







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BigJim
LSU Fan
Baton Rouge
Member since Jan 2010
2524 posts

re: It's Become Clear States Will Not Be Able to Honor Pension Promises to Retirees


quote:

There is absolutely NO VALID REASON, other than politicians wanting to control vast amounts of public employees' money and continually voting to increase benefits in order to get re-elected, for there to be separate pension systems for public employees.


Holy frick! Did you just read what you wrote? How the hell is adding more people to Social Security NOT a power grab by "politicians wanting to control vast amounts of public employees' money and continually voting to increase benefits in order to get re-elected"?????

You seriously trust the idiots in Washington more than the idiots in LA? I just cannot get behind that. Empirically as bad as the state retirement system is, it is more solvent than Social Security. We need to be moving people OUT of SS for the very reason you state.






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