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Michigan’s largest debt declines

Gov. Whitmer asks to put less into the pension system

… for public school employee pension debt is down by roughly $5.2 … administration. Lawmakers promised pension benefits to workers in a state-mandated … what was promised. State pension funds are not like Social … up. (They don’t.) Instead, pension fund managers have flexibility … estimates, the costs for pensions are as employees are working, … more

How to Control the Pension Debt

The costs of pension liabilities have grown out of control

… as I watch the government pension scandal across the country. Pensions provide retirees with a decent … six states, they say, total pension liabilities have grown beyond … for them. This means that pension debt is growing faster than … matter with this trend. If pension obligations grow a lot from … more

Governor Granholm Called to Underfund Pensions 6 Years Before Company Bankruptcy

There is no natural constituency for properly funding pensions

… of pressure to underfund pensions, and the promises that guarantee … employees with defined benefit pension plans, they are required to … bankruptcy, the employee pension plan was terminated and taken over by the Pension Benefit Guaranty Corporation. … criticized federal rules governing pensions and called for weakening … more

Taking the Pension Task Force to Task

Governments should stop generating new pension debt

… ere is a well-established pension funding principle that was … cover the full costs of the pension benefits earned by their employees that year. This prevents pension debt from growing out of control. … fundamental challenge for financing pension systems. To keep them from … burden on future taxpayers, pension managers need to accurately … more

Why Michigan Pension Reform Matters

Michigan now a national leader on fixing pension problems

… of the 2017 public school pension reform is a transformational … state officials to promise pension benefits to new school employees … participants in the state’s school pension system. It covers 189,761 … from this system. But the pension fund is underfunded. The state … has saved to pay for their pensions and the amount the system’s … more

Don’t redirect pension funds

Lawmakers should be wary about lowering pension debt payments

… million out of the state’s pension debt payments and spend it … should be careful. Underfunded pension debts have a long history … part of the state-managed pension and retiree health insurance … pay for their employees’ pensions, and the state pays out pension checks to employees when they … more

How to Control the Pension Debt

The costs of pension liabilities have grown out of control

… as I watch the government pension scandal across the country. Pensions provide retirees with a decent … all but six states, total pension liabilities have grown beyond … pay for them. It means that pension debt grows faster than the … matter with this trend. If pension obligations grow a lot from … more

Schoolchildren, Teachers, Taxpayers Harmed When Pension Managers Assume Too Much

The realities of Michigan's $26.5 billion pension liability

… retirement system to base annual pension contributions on an assumption … means contributions into the pension fund will be insufficient … to pay. Michigan’s school pension system has put taxpayers on … last year. Several state pension officials quoted in a recent … year to adequately fund the pension system. Failing to reach assumed … more

State Policies Created School Pension Pain

The only real solution is to close public pensions to new employees

Pension costs are forcing tough choices on Michigan’s school … policies will be. To pay for pension benefits, the state assesses … its payroll to the school pension system, while the employees, … annual responsibility for pensions. It also announced that it … districts to cover a portion of pension benefits. Currently, that’s … more

New Bill Fixes a Pension Problem, Leaves Major Problem Untouched

Boosted pensions aren't the main cause of underfunding

… boost their taxpayer-funded pension benefits. The bill could can … runaway costs of an underfunded pension system. The problem with public pensions in Michigan is not how generous … they earn credit towards a pension that they will collect when … employer puts money into a pension fund. This ensures that the … more