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Today's Poll!McNary: State retirement fund expectations 'unrealistic'
Wednesday, September 26, 2012
Missouri’s retirement funds generally expect to earn interest at rates that “are completely unrealistic,” according to state Rep. Cole McNary.
And if Missouri voters elect him as state treasurer in November, the Chesterfield Republican said Tuesday he will “serve as the watchdog over state pensions” and work with lawmakers to “ensure that we have all the facts needed to make wise fiscal decisions for the future.”
When the Missouri State Employees Retirement System (MOSERS) board voted last week to reduce the earnings expectations and to increase state taxpayers’ share of the retirement plan’s funding, McNary noted, incumbent Treasurer Clint Zweifel “was the lone no vote on this initiative to shrinking the gap between assets and liabilities.”
The treasurer is one of 11 board members of the board that also includes four lawmakers, other state officials and representatives of state government’s retirees.
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Comments
bluesfan13 8 months, 3 weeks ago
Nice... First off, there isn't currently a deficit in MOSERS balance sheet, so there is no gap between assets and liabilities that needs shrinking. Second off, part of the reason that MOSERS funding needs adjusting is BECAUSE of the legislature (that Mr. McNary is a part of), and their over-zealous estimates on how much savings the State would see by making new employees contribute to their retirement.
tonto_goldberg 8 months, 3 weeks ago
The fund has money, but there is a technical problem. A healthy retirement system has a balance of at least 80% of the total balances due as calculated by the actuariese. Missouri is at 77% and has not been putting in the full required contribution (as calculated by the actuaries) for a few years.
Paroquet 8 months, 3 weeks ago
One: State employees contribute to their retirement from the get-go. That's part of the offset in cash salary they receive stylized as a "benefit", which still can't bring them above 50th in the nation commensurate to compensation for education, services, and expectations.
Two: McNary is from Chesterfield. Ever been there? It's an enclave of the wealthy elite. The place is darned near a Vatican.
Three: The state matches up to $25 monthly of an employee's voluntary contribution to the retirement fund above what is "granted" as an "offset" to what amounts to compensation for indentured servitude.
Last statement I got for my service time with MO showed +14% growth over its duration. Anything better than negative is a plus, and the 14% so-far over the term is hardly unrealistic; it's reality.
MOSERS has consistently been in the black. No brokey, no fixey. Find somewhere else.
tonto_goldberg 8 months, 3 weeks ago
The state has not put that $25 into employee retirement savings accounts for a few years. It's one of Nixon's cutbacks.
chickamonker 8 months, 3 weeks ago
"The state matches up to $25 monthly of an employee's voluntary contribution to the retirement fund...". Are you sure about that? I'm pretty sure they don't match anything anymore.
tonto_goldberg 8 months, 3 weeks ago
Grandstanding by a candidate for public office. Who would have expected that? Reducing the opportunities for tinkering by elected officials is just another good reason the retirement system has an independent board.
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