Hybrid pension plan for school, state employees projected to produce $11 billion in savings over 30 years

2014-05-29T21:17:39-07:00May 29th, 2014|Categories: 401(k), Defined Benefit Plans|Tags: , , |

A proposed pension reform plan that would change the design of the state and school employees’ retirement plans would eventually erase the pension systems’ $47.5 billion debt and introduce a mandatory 401k-style retirement-savings plan for new public employees. The hybrid defined benefit-defined contribution plan would produce a projected $11 billion of savings in taxpayers’ contributions to the systems over the next 30 years, according to an independent actuarial study commissioned and approved by the Public Employees Retirement Commission this morning. Other [...]