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Health & Fitness

The Burden of Pension Costs on Government

Who Can Say They Have Read This Report? How bad is the public pension problem?

"Pension costs will crush government. Government budgets are being cut while pension costs continue to rise and squeeze other government priorities. As the Commission heard during its hearings, the tension between rising pension costs and lean government budgets is often presented today in a political context, with stakeholders debating the severity of the problem and how long it will last.

In another five years, when pension contributions from government are expected to jump and remain at higher levels for decades in order to keep retirement systems solvent, there will be no debate about the magnitude of the problem. Even with the introduction of two-tiered pension plans, barring a miraculous market advance, few government entities – especially at the local level – will be able to absorb the blow without severe cuts to services."

To learn more go here: http://www.chadwalsh.org/LittleHooverPensionReform.pdf

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