[quote=CA renter][quote=sdrealtor]I was hoping someone would notice that her argument rested on an assumption that SS was definitely going to be bailed out from a general fund. A complete guess with no basis which invalidated her entire case.[/quote]
I was hoping that someone would notice that Pri’s (and others’) arguments rest on an assumption that taxpayers will be fully responsible for shoring up the public pension shortfalls. So far, it’s the public employees who have been taking the hits to make up for the pension shortfalls.[/quote]
This is correct, and as I have posted here before, giving up “subsidized” healthcare and “subsidized” Medicare Part B and D coverage is one way they have doing it since the mid-late 90’s.
Yes, plans are OFFERED to (local) retirees under the age of 65 but they are so cost-prohibitive at COBRA rates, they can easily eat up 75-125% of a non-professional retiree’s monthly pension. So if the retiree is very sick and/or terminal and doesn’t qualify for Medicare, they will have no choice but to sign up for one of them, as they are NOT underwritten. If the retiree is relatively healthy, it doesn’t make sense to pay 75-125% of their mo pension out for a mo healthcare premium when they can obtain an (underwritten) HDHP on the open market for 1/4 the cost. Those who retired before 2002 receive an +/- $300 month healthcare allowance (depending on years of svc) to help pay their retiree healthcare premium but these retirees pension is figured on a formula giving them 1/3 to 1/2 the pension of a more recent retiree (who had MUCH larger payroll deductions). Those who do NOT elect to use the plans offered to them by their respective retirement assns do NOT receive the healthcare allowance.
About 73% of local pensioners retired in “non-professional” classifications (below the mid-management [MM] bargaining unit) . . . that is, the folks who DO THE WORK to keep the svcs running which we all enjoy.
Not familiar with the State formulas (PERS) but there is a LOT of misperception among the general public going on about this tired subject.
