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Thursday, September 11, 2014

Why Illinois Is Bankrupt: 6,000 Teachers Get Pensions Of $100,000+

From 2013 to 2014, the number of teachers receiving six-figure pensions in Illinois increased by 24 percent. Today, 6,000 retired Illinois teachers are collecting at least 100,000 in annual pension money.

Yet, as Kelly Riddell reports for the Washington Times, if the Illinois Teachers Retirement Service (TRS) were forced to pay out the pensions it owes today, it would only be able to pay retirees 40 cents for every dollar. Indeed, the state’s pension fund is in trouble:
According to a report from the spending watchdog group Open the Books, over 100,000 Illinois teachers had already broken even on their pension payments after just 20 months of retirement.
Illinois taxpayers can pay up to $2 million per teacher per retirement.
The TRS pension fund is underfunded by $54 billion, according to the Illinois Policy Institute.

By 2029, the fund could be entirely broke.

3 comments:

  1. It is sure to happen in Wicomico also!!

    Here are the stats of the County's pension liability.

    2013 - 3.8 million
    2014 - 4.32 million
    2015 - 4.89 million
    2016 - 5.53 million
    2017 - 6.22 million
    2018 - 6.98 million
    2019 - 7.82 million
    2020 - 8.73 million
    2021 - 9.74 million
    2022 - 10.83 million

    Bottom line - Wicomico taxpayers are in for the shock of their life. The only way out is to invoke or repeal legislation that binds the taxpayers to their golden parachutes. And the same goes to law enforcement. The average Joe Blow taxpayer cannot sustain these types of increases especially in light of a demoralizing economy.

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  2. Unions had a time when they were needed and brought great reforms for the hourly wage earners but they have gone the way of the studebaker! The only people who really benefit are the union bosses. Dresser and Crown Cork and Seal unions got what they wanted and the hourly guys got unemployed, so their union did a great job for them did'nt they?

    ReplyDelete
  3. Home of the gangsters.

    ReplyDelete

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