Almost half of the states have been underfunding their retirement plans for public workers

[Bozita]

Source: NYTimes

December 19, 2007
Pension Fund Shortages Create Hard Choices

By MARY WILLIAMS WALSH
Almost half of the states have been underfunding their retirement plans for public workers and may have to choose in the years ahead between their pension obligations and other public programs, according to a comprehensive study to be released to the public on Wednesday.

All together, the 50 states have promised to pay some $2.7 trillion in pension and retiree health benefits over the next 30 years, according to the Pew Center on the States, which spent more than a year studying the issue.

The amount does not include separate retirement plans run by local governments.

While some states are managing their costs reasonably well, the center found that others, like New Jersey and West Virginia, have made serious mistakes and are now cutting education and health programs as they struggle with costs incurred decades ago.

Read more: http://www.nytimes.com/2007/12/19/business/19pension.ht...

[papau]

1. the 20 year and retire for police/fire/etc can not be afforded - but folks are afraid to say no n/t