Negotiators, our deep thinking politicians in Richmond finally agreed on a plan to require state workers to contribute 5 percent of pay towards their pensions. BUT OFFSET BY A 5 PERCENT RAISE FOR EMPLOYEES.
Ferris wheels also produce a lot of noise, but aren't going anywhere.
7 comments:
Anonymous
said...
But with their formula, your check will also be taxed for the 5% "extra" before you pay it into a retirement plan that will be taxed when you remove the $$.
Take it a step further,If when you retire at 68, maybe seventy, your income from the union pension plan may already have been used for political purposes, the pot is empty. Or your income may be so low there is no income tax. Or the republicans may have eliminated the IRS.
At one time the VRS was one of the best and financially secure retirement systems in America. There was a time when the employee paid 5% of their wages into the VRS and the state paid a matching 5% and all was well. Then the state started paying the employees 5% in lieu of a raise. And shortly after rather than pay the 10% the state would cut back on the amount it paid into the VRS as a means to balance the budget. With this and the market let down and interest rates at near nothing the VRS is not as healthy as in the past and again as a way to help with the financial problems the state wanted the employees to pay into VRS again as they once did which was reasonable.But what numbers cruncher decided it was a good idea to have emplyees pay 5% of their wages into VRS and the state give them a 5% raise to pay for this. The employee gets a 5% raise less the Federal and State income taxes and Social Security/Medicare payments, the state gives a 5% raise and pays the additional Social Security/Medicare payment and the VRS pays and additional 5% to the retirees in the future.
While this seems simple and sounds like not a problem, it is just more of the same and should stop. The pensions for the public worker is to good and costs us all to much. I remember the issue where even some senior people the the city manager and public works director getting even more retirement money on the side in a special deal that Herbert tried to hide! what gives? This has got to stop before they have us all in the poorer house.
7 comments:
But with their formula, your check will also be taxed for the 5% "extra" before you pay it into a retirement plan that will be taxed when you remove the $$.
Take it a step further,If when you retire at 68, maybe seventy, your income from the union pension plan may already have been used for political purposes, the pot is empty. Or your income may be so low there is no income tax. Or the
republicans may have eliminated the IRS.
At one time the VRS was one of the best and financially secure retirement systems in America. There was a time when the employee paid 5% of their wages into the VRS and the state paid a matching 5% and all was well. Then the state started paying the employees 5% in lieu of a raise. And shortly after rather than pay the 10% the state would cut back on the amount it paid into the VRS as a means to balance the budget. With this and the market let down and interest rates at near nothing the VRS is not as healthy as in the past and again as a way to help with the financial problems the state wanted the employees to pay into VRS again as they once did which was reasonable.But what numbers cruncher decided it was a good idea to have emplyees pay 5% of their wages into VRS and the state give them a 5% raise to pay for this. The employee gets a 5% raise less the Federal and State income taxes and Social Security/Medicare payments, the state gives a 5% raise and pays the additional Social Security/Medicare payment and the VRS pays and additional 5% to the retirees in the future.
While this seems simple and sounds like not a problem, it is just more of the same and should stop. The pensions for the public worker is to good and costs us all to much. I remember the issue where even some senior people the the city manager and public works director getting even more retirement money on the side in a special deal that Herbert tried to hide! what gives? This has got to stop before they have us all in the poorer house.
Want to know who got more that a little raise the last two years?
Deputy City Manager City Manager $128,750 10/1/2007 Suffolk
City Manager City Manager $151,410 6/13/2005 Suffolk
The City Manager has has a $26,000+ riase over the last two years alone!
Want to know who got more than a little raise the last two years?
Deputy City Manager $128,750
City Manager $151,410
The City Manager has has a $26,000+ riase over the last two years alone!
Politicians are always over valued as public servants. Its no different here in Suffolk. Their mental capacity is no different either.
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