Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: Westbrook
Force all all government employees, especially Congress, to surrender their retirement package to Social Security and participate in that program

I agree with your agenda except for this old and inaccurate saw.

The old CSRS (Civil Service Retirement System) was a union-like defined benefit program (mostly gov't funded and extremely "generous") and was eliminated beginning in 1984 (remember Reagan?). It was changed to FERS (Federal Employees Retirement System.

Under FERS, employees are in the Social Insecurity System the same as everyone else. In addition, they have an employer/employee contribution system called TSP (Thrift Savings Plan) which is the major component of the retirement system. It is basically a 401k plan and is invested in stocks, bonds, etc. at the employee's discretion. It is "owned" by the employee (or his heirs) and not the government. The old "defined benefit" system like CSRS is still there, but was cut w-a-ay back, and is really a minority player in the mix.

FERS is quite unlike most union controlled state and local retirement plans which are gold-plated monstrosities befitting of UAW and other predatory like union systems. It is one of the few smart things the feds have done, along with the federal employee health plan (FEHBP) - which will eventually be coopted and ruined by the ObamaCare monstrosity and made more expensive to the taxpayer as well.

58 posted on 02/13/2011 11:47:53 AM PST by Gritty (Entitlement is a disease, much like cancer - Herman Cain)
[ Post Reply | Private Reply | To 18 | View Replies ]


To: Gritty

Thank you for the correction and elucidation!

One of the reasons I enjoy the exchanges I experience here is that I can always learn something.


67 posted on 02/13/2011 12:46:22 PM PST by Westbrook (Having children does not divide your love, it multiplies it.)
[ Post Reply | Private Reply | To 58 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson