Quote:
Originally Posted by DAEpperson
The bottom line is, how long can our society afford to pay the high FD salaries, and their bloated retirements. In CA, it is common practice to bank overtime or give it to the soon-to-be retired to artificially inflate their pensions. And by some accounts up to 80% go out on disability near the end of their careers (at around 50) so that half of their retirement income becomes non-taxable.
Didn't a voluntary FD work for a very long time? Why won't it work now.
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Funny when I look at my paycheque and see the deduction for pension I didn't realise that someone else payed that ammount for me. I thought it came off my cheque, that I earned. As to banking overtime to boost a pension, most pensions are based on a 5 year average so unless they worked overtime for 5 years and whole bunch of it too, it wouldn't increase their pensions very much. Most penisons actually exclude OT in their calculations. I'd rather have the time off. As to 80% going on disability, well that's just laughable, especially at age 50. Ask anyone who has had to go on disability how that system works. Yes a voluntary FD works, but you get what you pay for.