Pension cuts, by the numbers
May 23rd, 2011 | Pay & Benefits | Posted by Stephen Losey
In this week’s cover story, we examine the major effect proposed changes to the Federal Employees Retirement System would have on federal employees. Here’s the chart we ran with the print version of this story. In it, we profile three real federal employees and model out the long-term consequences of such a change for them.
As you can see, the numbers are pretty sobering. Federal employees would likely lose tens of thousands of dollars in a few years if their FERS contributions were increased from 0.8 percent to 5.8 percent.
Tags: by the numbers, deficit reduction, FERS, pension
Comments
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James Pygid Says:
May 24th, 2011 at 12:35 pmCuts? How about the cuts OPM makes in the interim annuity payments? They range from 20 to 30%, as high as 50% in some cases. And they go on for months and months, until finally they figure out the correct amount.
In 2002, Congress passed the Improper Payments Information Act. Underpayments – like these – are just as much “improper payments” as overpayments.
Somebody should complain about this to the IG, or to Congress!
(For accurate annuity calculations, go to http://www.fedbens.us) -
youngfed Says:
May 24th, 2011 at 1:41 pmI find it astonishing that our congressmen are going out of their way to target federal employees. Without federal employees there would be no federal programs or earmarks. In fact all of the progress they tout as personal achievements were due wholly in part to the federal employees. NO congressman would be elected if it were not due to the hard work and dedication of the federal workforce. Secondly, I find it more astonishing that they suggest this only months after OPM launched a campaign to reduce hiring times, make applying easier, and hire the best and the brightest. I very much doubt that the best and the brightest will be attracted by pension increases and staffing reductions. I’ve only been employed by the Federal Government a short while, but I am already making efforts to go back to the private sector.
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Paula Says:
May 25th, 2011 at 7:09 pmI notice the federal employees they charted are GS-13. What about those of us who don’t make that kind of money? We are the ones who are going to feel the cuts and pay freezes’. Not the GS-13′s or Congress.
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Elaine Mitchell Says:
May 31st, 2011 at 12:13 pmI notice the federal employees they charted are GS-13. What about those of us who don’t make that kind of money? We are the ones who are going to feel the cuts and pay freezes’. Not the GS-13′s or Congress.
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Elaine Mitchell Says:
May 31st, 2011 at 12:14 pmI notice the federal employees they charted are GS-13. What about those of us who don’t make that kind of money? We are the ones who are going to feel the cuts and pay freezes’. Not the GS-13′s or Congress
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Donald Says:
May 15th, 2012 at 3:06 pmFederal employees are overpaid