Fed Public Service Pensions - Under the Gun

[Goober]

The next logical step will be to institute a policy of Defined Contribution to the public service sector. That in itself will carve 100's of millions off the books annually.

No, I disagree. The next step would to base it upon total earnings. Not the last / best 5 years or so as is presently done.

 

[taxslave]

No, I disagree. The next step would to base it upon total earnings. Not the last / best 5 years or so as is presently done.

I don't think that works with defined contribution plans.

 

[Goober]

I don't think that works with defined contribution plans.

The Fed Pub Serv has that as part of their plan - and it is a defined benefit - same as my Military Pension. Based up the best 6 years,averaged out, then years of service etc. They can easily change it to last 15 years - mean average, years of service.

 

[captain morgan]

No, I disagree. The next step would to base it upon total earnings. Not the last / best 5 years or so as is presently done.

To my understanding, a Defined Contribution Plan measures the total monies kicked-in (employer+employee) over the life of the individual's employment. That said, my belief is that there is no recognition of specific years in terms of highest or lowest income earning years.

 

[CDNBear]

I'm obviously not at the lower skill level.

It's isn't obvious at all. Not that being a garbageman like yourself, requires much of a skill level.

I made far more money in the private sector and took my current job despite the salary, not because of it.

I'm sure the perks, benefits, and rights you have as a union leech, that most Canadians do not enjoy, make up for that.

There is no real goal focus in the public sector.

That is why the public sector seems seems to wander aimlessly at times if there isn't clear, precise direction.

You made that perfectly clear here...

To put it into perspective, assume I wish to go to Vancouver and I head out to the highway and turn east. One could say I was driving in the "wrong" direction. This would be true although driving east is not inherently "wrong". It's just wrong given that I wish to go to Vancouver. I could change my goal to Winnipeg and my actions would then be "right". The concept of right and wrong do not exist for me in the absence of a goal. In religion, that goal is doing what God wants or going to heaven. Since i don't think God cares what I do, I make my own goals.

Nothing says wandering aimlessly, like heading to Vancouver, by way of Winnipeg.

People like myself that are goal focused find it terribly frustrating.

Really? You seem quite at home changing your goals depending on your mistakes.

Kind of like...

Pee Wee's Big Adventure - Bike Flip - YouTube

Blanket statements about public servants are simply wrong.

Except for police, and not that they're public servants, but First Nations too.

I can't say that because I don't know the bulk of cops on the job. All I can really go by is the pay and recruiting standards of police dept nowadays. Well, that and the experience of myself and others.

Your logic has the same consistency as your jello like principles.

 

[Goober]

To my understanding, a Defined Contribution Plan measures the total monies kicked-in (employer+employee) over the life of the individual's employment. That said, my belief is that there is no recognition of specific years in terms of highest or lowest income earning years.

The Pub Serv pension has what I described as what is used to set the amount of pension earned. Best 3 to 5 years is what the Pub service uses - or something very close. That is a major difference between what you believe, as many do and what the Pub Serv pensions are.
The Military uses best 5 years or so - averaged out to arrive at avg income for 1 year, multiplied at 2 % per years served, to arrive at your monthly pension.

 

[taxslave]

The Pub Serv pension has what I described as what is used to set the amount of pension earned. Best 3 to 5 years is what the Pub service uses - or something very close. That is a major difference between what you believe, as many do and what the Pub Serv pensions are.
The Military uses best 5 years or so - averaged out to arrive at avg income for 1 year, multiplied at 2 % per years served, to arrive at your monthly pension.

REgardless of what convoluted formula they use it is still a defined benefit plan, which pays out with no consideration as to how much money is in the fund. Leaving the poor taxpayer on the hook for all the excess. Now if their excessive pensions bankrupted the plan and current members were on the hook for it I would not care.