Are you counting on that city, state, fed pension?

[TFOGGER]

I don't count on any kind of retirement. Even my 401Ks that I have I am scared the government will eventually bankrupt and steal it all.... i wish SS would disappear and I could put that money into my safe.

My wife is on PERA, but I have her starting a 401K. PERA does pretty well from what I have seen and listening to my parents who are retired teachers as well.

My wife is a PERA member as well. She has both a 401k and a 457 account. PERA is very close to being insolvent as well.

[davsel]

Looks like Colorado came in at #38 (63.25% funded) out of the 50 states - as far as having their pensions funded.

http://www.zerohedge.com/news/2013-1...move-wisconsin

[mpatch]

I can start next year after 34 years. I want to go another 4. Not much in the way of a pension for us .gov federal workers anymore but it is better than nothing. After 37 years with a final high 3 pay of $65K my annual "defined benefit" will be about $24K per year.

snip

So you retire at 35 years at roughly 60 then live for another 20-30 years getting 24k every year. Any math guys that can tell me how much that would equal in a traditional retirement account?

[jerrymrc]

So you retire at 35 years at roughly 60 then live for another 20-30 years getting 24k every year. Any math guys that can tell me how much that would equal in a traditional retirement account?

60 Years old will be right at 38 years of federal service. Most of the larger company's that I could work for have about the same retirement plan. in addition I might do it next year just for the fact that in my field working for the fed I am about 30-40K short on income and almost no OT to be had. I got about 24hrs last year.

I know it may seem like a lot but not really. Had I known then what I know now I would have gone to GE or Philips. I lost two of my good techs this year because after talking a hard look they left for more $$$. My one guy started at what I am making now.

$250K in an IRA should provide about $24K a year. I am close to that in mine. Current FERS retirement has 3 parts. The defined benefit, 401K plan and SS. I currently put $630 per month into my 401K with a match of $150. I hope that by living within my means for the first 60 years of my life that I can enjoy the last 20-30 but that was a choice I made many years ago.

I know that is not where you wanted to go with this but that is where I took it.

[davsel]

And so it begins.

From: http://market-ticker.org/akcs-www?post=226468

Got A Pension? Better Pay Attention


Detroit's bankruptcy has been ruled legal. The pensions are not protected, as federal law trumps state when it comes to bankruptcy.
Incidentally, this is explicitly in The Constitution, so suck it liberals.

Section. 8.
The Congress shall have Power To lay and collect Taxes, Duties, Imposts and Excises, to pay the Debts and provide for the common Defence and general Welfare of the United States; but all Duties, Imposts and Excises shall be uniform throughout the United States;
To borrow Money on the credit of the United States;
To regulate Commerce with foreign Nations, and among the several States, and with the Indian Tribes;
To establish an uniform Rule of Naturalization, and uniform Laws on the subject of Bankruptcies throughout the United States;

Your state constitution is meaningless when someone comes into Federal bankruptcy court, because Bankruptcy is a delegated power.
This isn't "judicial activism", it's black-letter law.
I've warned people for the last several years -- since The Ticker began, in fact, that these bogus pension and "benefit" packages that were negotiated at gunpoint and by fraud with state and local governments are unenforceable irrespective of so-called constitutional protections.
They should be unenforceable because there was no true adversarial process and can't be so long as the people negotiating for the wages and benefits can elect the people on the other side of the table, and they both can and do.
But they are unenforceable because when push comes to shove bankruptcy is a federal matter and as such the so-called protections are worthless as the federal bankruptcy code does not recognize any such attempt to give priority to these claims.
They are in fact just a debt -- like any other debt.
Those of you who think you can simply crank up taxes on people, such as many are gambling on in Chicago, are delusional. Citidel's Kenneth Griffin correctly points out that what Illinois is doing is outrageously stupid; not only will producers leave (they have already begun to do so -- I left!) but in addition when push comes to shove the bankruptcy courts will not protect these pensions and alleged "benefits."
Good luck folks.

[spqrzilla]

Note that the bankruptcy court is not going to approve a plan that just zeros out the pensions. We've not seen any particular plans proposed to the bankruptcy court on Detroit's filing yet.

[rbeau30]

This impending financial crisis is a great stage to be set for the use of "Emergency Powers" to be exercised, don't ya think?

[roberth]

And so it begins.

From: http://market-ticker.org/akcs-www?post=226468

Got A Pension? Better Pay Attention


Detroit's bankruptcy has been ruled legal. The pensions are not protected, as federal law trumps state when it comes to bankruptcy.
Incidentally, this is explicitly in The Constitution, so suck it liberals.

Section. 8.
The Congress shall have Power To lay and collect Taxes, Duties, Imposts and Excises, to pay the Debts and provide for the common Defence and general Welfare of the United States; but all Duties, Imposts and Excises shall be uniform throughout the United States;
To borrow Money on the credit of the United States;
To regulate Commerce with foreign Nations, and among the several States, and with the Indian Tribes;
To establish an uniform Rule of Naturalization, and uniform Laws on the subject of Bankruptcies throughout the United States;

Your state constitution is meaningless when someone comes into Federal bankruptcy court, because Bankruptcy is a delegated power.
This isn't "judicial activism", it's black-letter law.
I've warned people for the last several years -- since The Ticker began, in fact, that these bogus pension and "benefit" packages that were negotiated at gunpoint and by fraud with state and local governments are unenforceable irrespective of so-called constitutional protections.
They should be unenforceable because there was no true adversarial process and can't be so long as the people negotiating for the wages and benefits can elect the people on the other side of the table, and they both can and do.
But they are unenforceable because when push comes to shove bankruptcy is a federal matter and as such the so-called protections are worthless as the federal bankruptcy code does not recognize any such attempt to give priority to these claims.
They are in fact just a debt -- like any other debt.
Those of you who think you can simply crank up taxes on people, such as many are gambling on in Chicago, are delusional. Citidel's Kenneth Griffin correctly points out that what Illinois is doing is outrageously stupid; not only will producers leave (they have already begun to do so -- I left!) but in addition when push comes to shove the bankruptcy courts will not protect these pensions and alleged "benefits."
Good luck folks.

Federal law trumps state law. Are people starting to understand just a little bit about why we don't want an all encompassing federal government?

Watch what happens in Detroit, it will be played out in every city and state that is currently underwater and thinking about bankruptcy.

[spqrzilla]

Detroit is not the first city in bankruptcy. Just the largest ... to date.

[Cujo0920]

http://www.zerohedge.com/news/2013-1...w-pension-cuts

The dominoes should start falling fast and furious as the generation-long Democrat votes-for-payola scheme implodes under the weight of its own fraud and artifice. Looks like Detroit pensioners - many or most of whom turned a blind eye to the crooked urban Democrats running the city into the ground in collusion with the Wall Street grifters - are getting their just desserts: 16 cents on the dollar, to be further debased by Zimbabwe Ben's/Old Yellen's Federal Reserve printing press. To any police or firefighters reading this: learn something.