Tag: state and local government
The brief’s key findings are: Currently, state and local pension contributions equal 3.8 percent of total budgets. To get back on a path to full funding, sponsors will need to contribute: 5.0 percent of budgets if liabilities are discounted by 8 percent; or 9.1 percent of budgets if liabilities are discounted at 5 percent. But…
The brief’s key findings are: Defined benefit plans based on final pay: “backload” benefits, so younger shorter-service employees get virtually nothing; favor those with high earnings growth, who tend to be higher paid; and invite sudden late-career “spikes” in earnings. Moving to career-average earnings would: provide reasonable benefits for younger shorter-service employees; treat high- and…
