Republican plan to cut Federal Workers, Pay, Retirement

[James48843]

Republican introduces a bill to ELIMINATE FERS pension for all new hires starting in 2012:

Senator proposes cuts to federal annuity benefits

By Emily Long elong@govexec.com
March 18, 2011

New legislation aims to cut federal pensions for all new employees hired after 2012, citing a need to bring benefits in line with those in the private sector.

Sen. Richard Burr, R-N.C., on Thursday introduced a bill (S. 644) that would eliminate the pension portion of the Federal Employee Retirement System for all new government hires beginning in 2013.

More:

http://www.govexec.com/story_page.cfm?articleid=47378&dcn=todaysnews

 

[James48843]

That's just STUPID that this republican wishes to end FERS retirement benefits. FERS is fully funded, according to this writer:

http://www.amazon.com/Pensions-Pens...=sr_1_1?s=books&ie=UTF8&qid=1300490272&sr=1-1

There IS no shortfall in FERS pensions. All Federal employees pay into it. and the fund is fully solvent right now. There is NO shortage.

 

[nnuut]

FERS pension is already small enough, without TSP it's a pittance. Federal Employees pension benefits have already been cut enough, by you know who.

 

[law87]

I'm not against you guys or anything but i think Federal employee are making ridiculous amount of money, and getting ridiculous bonuses.

example would be just in january i hear civilian (that i work with) are getting 100k bonuses (where i work at) for doing their job!

 

[Boghie]

All I can say is that politicians can game the pensions but they cannot touch the 401(k) - that is, TSP - assets.

Also, I am very happy I didn't even know we had a smallish pension to go with the 401(k). I plowed lots of mullah into TSP from 1994 onward. Luckily, I've always mathed out my retirement without regards to pensions or Social Security.

But, if the FERS Pension is rather small (and it is) and fully funded (and it probably is - but, how can you tell) it is a nice selling point.

Oh well.

Don't count on politicians keeping the promises of former politicians:notrust:

 

[nnuut]

I'm not against you guys or anything but i think Federal employee are making ridiculous amount of money, and getting ridiculous bonuses.

example would be just in january i hear civilian (that i work with) are getting 100k bonuses (where i work at) for doing their job!

WHAT???
Hell the most I ever got was 3.5% and that wasn't a bonus, I didn't get bonuses only Performance awards, OUTSTANDING! $100,000 must be SES or something?
Does everyone think we get money like that? WRONG!

 

[burrocrat]

All I can say is that politicians can game the pensions but they cannot touch the 401(k) - that is, TSP - assets.

i'm not so sure i believe that.

i would like to see an option to roll my contributions (and their earnings) out into a private IRA after a vesting period. they can keep the free half in there, pretty sure they're going to keep it anyway later.

but can't do that so here is my workaround: i take out a general purpose tsp loan and deposit it in private accounts after spending some, then pay it back like a forced savings plan. when the loan is paid off after 60 days i do it again. that way most of the tsp balance is only the free money.

now i just got to pry it out of the broker's hands when i think i need it. better odds of that i think. when my balance gets to the point where i can't borrow my full half then i'll figure out something else. pretty sure i could get a mental disability exemption or something.

yes, the FERS is fully funded by contributions but where are they? in .gov bonds waiting to be disbursed instantly when you ask for them? like all the other investors money, like the chinese, saudi's, mom and pop? no way we all gonna take a haircut on those full faith and credit pieces of fancy paper are we? (pssst, yes, it's called inflation).

i think some pols are getting smart and realizing we can't pay the bills. so that's how i deal with it.

 

[law87]

WHAT???
Hell the most I ever got was 3.5% and that wasn't a bonus, I didn't get bonuses only Performance awards, OUTSTANDING! $100,000 must be SES or something?
Does everyone think we get money like that? WRONG!

i'm not sure what SES mean but all he does is keep track of equipment, he actually doesnt do it, it's the military that do it but of course he get credits for it.

i wish i was getting like half of that or a quarter lol.

i be happy if i get TSP matching contribution

 

[Boghie]

Burrocrat,

You hit it on the head. The politicians CANNOT directly grab our TSP retirement assets. But, they CAN tax them at redemption. And, inflation can eat at the holdings and growth.

The nicest thing is that TSP assets are diversified through hundreds of individial companies and government debt instraments. Unlike Social Security and our pension, TSP assets (unless you are in the G) are NOT backed by the 'full faith and credit' of an entity that hasn't paid its bills in full for over fifty years straight.

Folks, we is broke and they is lookin' for ways to jigger computations. Pensions and Social Security and Medi-Whatever ARE at risk.

 

[burrocrat]

i'm not sure what SES mean but all he does is keep track of equipment, he actually doesnt do it, it's the military that do it but of course he get credits for it.

i wish i was getting like half of that or a quarter lol.

i be happy if i get TSP matching contribution

SES is senior executive service, got to be a GS-13 to enter. i've no idea what bonus's they get.

once in a while i get 8-40 hrs comp time to use instead of vacation if i really work my *** off above and beyond the call and my supervisor isn't too full of their accomplishments to recognize mine.

one time i got a QI or QE i think it was called, supposed to be a jump in step, but agency is tight so just gave me one year's worth of the increase in cash, so that way it isn't cumulative over my career.

if you think the grass is greener over here come give it a try, after the hiring freeze is lifted. trade you the value of your recruitment bonus, gi bill education benefits, healthcare, plus the free hots and cots for the sum total of my 'bonuses' and 5% match. i bet we come out about even. i don't think you would come out on the losing side of that trade.

 

[Show-me]

Makes no matter look at your history. When we got into budget trouble back in the day CSRS was axed as a budget money saver and replaced with half a pension, SSI and a employee contributions to TSP. Thus, the two tiered retirement system we have now.

While I was in the private sector the same thing was happening quietly in all of the union shops in this area. Two and some times three tier pay and retirement systems.

Fast forward to our broke ass State of the Union $14 trillion debt laden nightmare. How do you save tons of money?

My Union represents the largest number of Federal employee's and just last week negotiated a two tier pay system and a new category of employee that is utilized 360 day with a 5 day break in employment, no set schedule, less starting pay, longer step, less top step pay, and no pension.

It's coming whether you like it or not. Just give the baby boomer more time to retire and deplete the Treasury some more.

 

[Show-me]

And, I forgot 30 hours is the minimum guarantee work week.

 

[burrocrat]

Burrocrat,

You hit it on the head. The politicians CANNOT directly grab our TSP retirement assets. But, they CAN tax them at redemption. And, inflation can eat at the holdings and growth.

The nicest thing is that TSP assets are diversified through hundreds of individial companies and government debt instraments. Unlike Social Security and our pension, TSP assets (unless you are in the G) are NOT backed by the 'full faith and credit' of an entity that hasn't paid its bills in full for over fifty years straight.

Folks, we is broke and they is lookin' for ways to jigger computations. Pensions and Social Security and Medi-Whatever ARE at risk.

i'm still not a believer boghie,

sure tsp is 'investments' in lots of companies and gov paper, but...

you still got to get past the .gov gatekeeper to access them, or move them around, and we all know how well that has been going lately.

of course it ours and we belong in that exciting club with all the party favors and pleasure, but if the bouncer don't let you in then you out.

i only contribute minimum 5% to tsp to get the match, then take my half off the table into outside resources as soon as i can. invest the newly private money in tsp fund equivalents and treat it just the same.

except for the portion of my money i just got back that i spend on major things like home repairs or new computers, thanks uncle sam. get it while it's hot. the cupboard is bare.

 

[burrocrat]

i worked 4 years as a temp/intermittant/contractor with no benefits before i got the permanent gig. so i'm feeling pretty fat dumb and happy now, got the whole 3 legged stool under me.

check this out, how do you cut fed salaries? institute a hiring freeze then jigger the retirement benefit to make it attractive for the big boys to leave (hi 3 vs hi 5 etc). end result is fewer people doing the same work for less, and less efficiently i would think but looks good on paper, there's that whole fake paper thing again, never good when your corporation undergoes a brain drain.

i've seen approx 5% retirement of high level supervisors in my agency in the last year, most are gone just as soon as they use all the annual leave they can't cash out. i wonder if they know something?

 

[Boghie]

Actually, Burrocrat, our TSP accounts are held by BlackRock.

Also, most private 401(k) accounts have a limited selection of funds and limited trading access.

The United States Government has NO legal contol of TSP assets. If you are worried than watch the contributions and matching transactions. If the Gubmint misses those than start looking for a quality job.:nuts:. Even then the assets that are held by BlackRock are safe.

i'm still not a believer boghie,

sure tsp is 'investments' in lots of companies and gov paper, but...

you still got to get past the .gov gatekeeper to access them, or move them around, and we all know how well that has been going lately.

of course it ours and we belong in that exciting club with all the party favors and pleasure, but if the bouncer don't let you in then you out.

i only contribute minimum 5% to tsp to get the match, then take my half off the table into outside resources as soon as i can. invest the newly private money in tsp fund equivalents and treat it just the same.

except for the portion of my money i just got back that i spend on major things like home repairs or new computers, thanks uncle sam. get it while it's hot. the cupboard is bare.

 

[Boghie]

Its called deflation.
Over time its call depression.

i worked 4 years as a temp/intermittant/contractor with no benefits before i got the permanent gig. so i'm feeling pretty fat dumb and happy now, got the whole 3 legged stool under me.

check this out, how do you cut fed salaries? institute a hiring freeze then jigger the retirement benefit to make it attractive for the big boys to leave (hi 3 vs hi 5 etc). end result is fewer people doing the same work for less, and less efficiently i would think but looks good on paper, there's that whole fake paper thing again, never good when your corporation undergoes a brain drain.

i've seen approx 5% retirement of high level supervisors in my agency in the last year, most are gone just as soon as they use all the annual leave they can't cash out. i wonder if they know something?

 

[burrocrat]

Actually, Burrocrat, our TSP accounts are held by BlackRock.

Also, most private 401(k) accounts have a limited selection of funds and limited trading access.

The United States Government has NO legal contol of TSP assets. If you are worried than watch the contributions and matching transactions. If the Gubmint misses those than start looking for a quality job.:nuts:. Even then the assets that are held by BlackRock are safe.

that's sounds great, how safe is blackrock? are they related to the lehman bros? of course the whole legal protection thing is good until you realize it would take a bunch of lawyers to argue a compromise, that might get expensive.

the underlying fundamentals are what worries me, everybody is broke and floating paper. if things go t.u. you're welcome at my place, plenty of beef and a clear view, we can sit around the fire while clutching our tsp statements and tell stories about what might have been.

 

[law87]

SES is senior executive service, got to be a GS-13 to enter. i've no idea what bonus's they get.

once in a while i get 8-40 hrs comp time to use instead of vacation if i really work my *** off above and beyond the call and my supervisor isn't too full of their accomplishments to recognize mine.

one time i got a QI or QE i think it was called, supposed to be a jump in step, but agency is tight so just gave me one year's worth of the increase in cash, so that way it isn't cumulative over my career.

if you think the grass is greener over here come give it a try, after the hiring freeze is lifted. trade you the value of your recruitment bonus, gi bill education benefits, healthcare, plus the free hots and cots for the sum total of my 'bonuses' and 5% match. i bet we come out about even. i don't think you would come out on the losing side of that trade.

haha i'm not sure where you work at so it might have been different? but i know that guy was banking on that bonus, my re-enlistment bonus is not even half of what that guy get o well, some people got it good i guess.

i'm sure he's not making less then me either.

 

[burrocrat]

haha ... i'm sure he's not making less then me either.

good one. dang, i was hoping you would go for the deal.

what you got to complain about then?

you got a spot at this fire.

seriously, i appreciate your service, thank you.

 

[Buster]

I'm not against you guys or anything but i think Federal employee are making ridiculous amount of money, and getting ridiculous bonuses.

example would be just in january i hear civilian (that i work with) are getting 100k bonuses (where i work at) for doing their job!

While everything is frozen?..I find that hard to believe..:suspicious: and if you think the Government employee is overpaid..please do not ever become one..this may help out the ones that appreciate their Civil service employment and maybe get a percent or two increase next year to help keep pace with cost of living and inflation..