Re: Wisconsin pension

On Feb 21, 12:05 pm, Ben Stewart <benjstew...@xxxxxxx> wrote:
On Feb 21, 11:53 am, xyzzy <xyzzy.d...@xxxxxxxxx> wrote:

On Feb 21, 12:51 pm, mianderson <clay...@xxxxxxxxxx> wrote:

On Feb 21, 11:44 am, Ben Stewart <benjstew...@xxxxxxx> wrote:

My question is twofold: Why can't she opt out and is there anyone who
thinks she shouldn't be able to?

We'd certainly expect to keep the previous 18 years' worth of pension
benefits she's already earned, but quite honestly, I don't trust our
government... it's too easy for them the change the rules and take a
lot of it away with the stroke of a pen.

I'd much rather have it in a 401k (or 403b) being managed by an
independent 3rd party.

that's insane........the previous 18 years worth of pension benefits
she has earned doesn't compare favorably(Im sure) to what she will
expect to get when she retires at full retirement(is that 30 years in
wisconsin for teachers?)......

thats why these state pensions for teachers are *killing* state
taxpayers all across the country.  You have teachers retiring at 51
after 30 years, living to be 90, and getting a big fat check for 130%
or more of the time that they spent teaching(in addition to untold
hundreds of thousands of dollars in medical benefits over that time as

Do those pension payments start immediately upon retirement at age 51,
or when a certain retirement age (like 62 or 65) is attained?  A lot
of people don't realize that having earned full pension benefits
doesn't necessarily entitle you to receive them right away.- Hide quoted text -

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Pension payouts here are based on a complicated formula, but it's akin
to social security in that the longer you wait, the more you get back.

If we could opt out, I would not expect to receive a lump sum or
anything, just a prorated payment based on her years of service.

which is overly optimistic......the agreement is generally only valid
for people who retire at full # years in the system. If you get x% of
your salary at x years, you're not going to get .5x% at .5x would be some lesser amount. Similar to if you pull a cd
out early or something.

BTW - I forgot to mention before... The amount being paid into the WRS
on her behalf is about 12.5% of her salary. Her employer pays half and
the state pays half.

If this budget bill passes, she will be responsible for paying in one
half of the 12.5%. I don't know if the state and the school will
"split" the other half or if the school will still pays it's current
contribution.- Hide quoted text -

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