Education budget cuts

[golfgal]

Teachers in North Carolina and lots of other places have a lot to complain about, but the retirement program in North Carolina isn't one of them IMO. Torins mom said it might soon be her only benefit. Well, it's a HUGE one. While teachers do contribute 6%, the state pitches in 8.75. Teachers typically retire with roughly 80% of the take-home pay they received their last year working. Retirees also continue to get health insurance. Contrast that with my husband's company where the company will match 50% of the employees contributions, up to 3% and retirees have to pay 100% of their health insurance (they can remain part of the group, though). That 3%, alas, is almost worthless too as it was in company stock. My small organization does the 50% up to 3%, but we have no provisions at all for retirees to get insurance.

As my teacher friends have started to retire, I've seen just how big this benefit is. It's not just that their retirement pay is bigger, but also that they typically work in the same state for 30 years and it all counts. Many of those of us in the private sector had to move around as we climbed the ladder so retirement at 52 with the company pension being a primary motivater isn't possible.

So take your retirement money and put it into an annuity and you will get pretty much the same deal. Yes, a pension is a huge deal. For the continued health coverage they generally have to take less income from their pensions to receive that benefit so it isn't like they are not paying for that too.

Your organization could chose to offer medical coverage for retirees, they chose NOT to do so. If you have a beef with that, talk to the owners of your company, don't take it out on the teachers.

Teachers retiring at 55 also have a smaller pension pay out then they would if they worked to 65. You could retire from your company at 55, take your 401K money without penalty under the T-72 provision and start another career AND draw money from your 401K--or roll that money into an annuity and have a "lifetime income" as well.

Pensions are typically 60% of the average of their high 5 years of salary or an average of their last 5 years salaries. I have RARELY seen an 80% pension pay out.

 

[Rumpus]

Yet you think that teachers should get paid minimum wage but be held to the same professional standards as doctors. This entire thread is about how teachers are NOT paid a professional wage AND how people like you want to cut their benefits-which have long been used to help compensate teachers for such a low pay scale.

Also, nurses most certainly do leave after their shift. Most hospitals do not allow nurses to work overtime. Drs RARELY call patients after hours.

Teachers make "endless salary demands" because people like you think that they should work for free yet be held to this "professional standard". If teachers were paid a comparable salary to the private sector for the same job responsibility and educational requirements you probably wouldn't hear these "endless" demands.

Again, I, nor anyone in this thread suggested that teachers should receive "minimum wage" nor has anyone suggested that they work for free, but there is a limit to what taxpayers can afford. Having been a patient several times, I can assure you that doctors do call after hours.
There is is saying in surgery; All bleeding stops...eventually. That is guaranteed. What isn't guaranteed is the survival of the patient. The taxpayer is the patient.

 

[Acklander]

http://www.npr.org/2011/02/16/133783606/balancing-the-budget-the-problem-might-be-you

I read this article this morning and thought of this thread. It makes a lot of sense. We all want the government to make cuts, but then get upset when those cuts result in less services.

 

[Acklander]

Your organization could chose to offer medical coverage for retirees, they chose NOT to do so. If you have a beef with that, talk to the owners of your company, don't take it out on the teachers.

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And teachers could make more money in the private sector, but the chose NOT to. We all make choices and live with the results. If your choices don't work for you, then hop on another lily pad.

 

[tar heel]

So take your retirement money and put it into an annuity and you will get pretty much the same deal. Yes, a pension is a huge deal. For the continued health coverage they generally have to take less income from their pensions to receive that benefit so it isn't like they are not paying for that too.

Your organization could chose to offer medical coverage for retirees, they chose NOT to do so. If you have a beef with that, talk to the owners of your company, don't take it out on the teachers.

Teachers retiring at 55 also have a smaller pension pay out then they would if they worked to 65. You could retire from your company at 55, take your 401K money without penalty under the T-72 provision and start another career AND draw money from your 401K--or roll that money into an annuity and have a "lifetime income" as well.

Pensions are typically 60% of the average of their high 5 years of salary or an average of their last 5 years salaries. I have RARELY seen an 80% pension pay out.

I didn't know I was bashing teachers, but golfgal just told me I was. It's still a fact that teachers and state employees (who have the SAME retirement plan in North Carolina) have a better plan than almost anyone else in the state. My son is a state employee and that helps me to feel good about his future. My point in my apparently offensive post was that teachers DO have one really good benefit that most private sector employees in North Carolina do not have.

Nowhere did I say that teachers (and state employees) get 80% of their salaries. I said TAKE HOME pay. I work with a retired teacher who is married to a teacher. Perhaps he lied to me.

I could ask my company's "owners" to add benefits, but it's a nonprofit and in this economy . . . it's not the time.

I fail to see how 3% is equal to 8.75%, especially when the 3% is in almost worthless stock.

 

[Kathi OD]

just changed my mind.