Pensions | MassCops

Pensions

Discussion in 'Retirement & Investments' started by kttref, Jul 15, 2007.

  1. kttref

    kttref New Member

    Currently, in CT anyway, a lot of PD's are losing pensions...or at least their town/city governments are attempting to take them away.

    Does anyone see this happening in their respective communities? We've been told that our town will most likely attempt to take away pensions for new hires during our next contract negotiations in 3 years. My husband's department is preparing for the same fight in 2 years. In fact, his town has already taken away pensions for town employee's, making it the sole responsibility of the employee and a 401(k).

    We save like it's our job anyway, taking full advantage of our 457(b) retirement plans, but I think this is an interesting topic...
     
  2. pahapoika

    pahapoika Subscribing Member

    looks like the cities and towns are taking a page from the private industry play book by eliminating pensions.

    most , if not all the utility companies like the phone , gas and electric here in Mass. now offer only 401K's instead of a pension.

    the pension is the big selling point for me with the prison job. they can't fill the vacancies now , wonder what they'll do when they take away the benefits , hire mexicans ?
     
  3. kttref

    kttref New Member

    I didn't realize that in MA it was governed by law. Here in CT it's every town/city for themselves...
     
  4. screamineagle

    screamineagle Masscops Therapist

    I thought in mass some fell under county retirement?
     
  5. pahapoika

    pahapoika Subscribing Member

    i thought the electric utility company on the south shore had stopped pensions for new hires after 1996 ( at least that's what one of the linemen told me )
     
  6. OutOfManyOne

    OutOfManyOne New Member

    They are still covered under pensions but I spoke to a Verizon guy the other day that there are new federal regulations on pensions due to the Enron scandal where the feds set the rates of return which is much lower than they are getting but safe, so the pensions will diminish alot for them.
     
  7. Delta784

    Delta784 Guest

    I disagree....if a town/city is large enough to have their own retirement system, the state shouldn't start messing with it. I like the fact I can pick-up the phone and speak with someone who sits on the board of directors and call them by their first name, without getting the runaround that "Mister So-and-So will get back to you".

    When one of our officers was killed off-duty last year, getting pension benefits for his widow was a relatively quick, painless process because we knew everyone on the retirement board. I have the feeling that wouldn't have been the case if it was one giant, monolithic retirement system.

    About getting rid of public safety pensions....I knew when I raised my right hand that I was entering a dangerous profession, not only from the job itself but also my life expectancy was going to suffer after I retired. One of the huge things that attracted me to the jon anyway was the generous pension, which will probably be mostly collected by my wife anyway.
     
  8. pahapoika

    pahapoika Subscribing Member

    I think I answered that MOST utilities still cover their union members pensions. Verizon, National Grid, Nstar all have pensions for their union folks.

    sorry , wasn't trying to spit hairs , just read some articles recently about companies getting away from pension plans. usually takes about 10 years for the nonsense in the private sector to hit government jobs. heard my friend's wife going on about her companies "mission statement" and low and behold we had one bolted to the roll call room wall some years later.

    One of the huge things that attracted me to the jon anyway was the generous pension, which will probably be mostly collected by my wife anyway.

    think the average life expectancy after retirement is 18 months
     
  9. midwatch

    midwatch MassCops Member

    I've been trying to tell my guys this for years. Yeah, at first is kind of sucks, but you get used to it. Plus your salary eventually increases, helping to offset any "loss" in takehome.
     
  10. kttref

    kttref New Member

    But if you start it up right away (within the first 1 or 2 paychecks) you never know it's gone. And any time you get a raise you should try to raise your 457...at least that's how I was raised and how I do it...It's like free money in the end (because you don't miss it upfront anymore).
     
  11. OutOfManyOne

    OutOfManyOne New Member

    I put $250 every 2 weeks in 457b on top of my county pension, and i don't even feel it.
     
  12. Delta784

    Delta784 Guest

    Our retirement board is actually very well-run, so I'd hate to see it become collateral damage in a retirement system purge.

    Besides telling them the best places to eat, I consider that the most valuable non-police advice I give to newbies when I'm training them. Whenever I get a raise, I bump-up my contribution correspondingly and I never feel it. Between my pension, 457 fund, and Social Security (assuming it's still around), my retirement is pretty much set.
     

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