Teacher Retirement System Looks to Cut Costs
Texas lawmakers are once again heading into a legislative session facing concerns over the fiscal health of the state’s major pension systems, and changes to retirees’ health insurance may play a role.
The state’s Teacher Retirement System, for instance, is not out of money. As of August, the fund was valued at $111 billion, about $41 billion more than just three years ago, at the height of the recession. But the fund’s long-term stability is in question.
So when the state reduced its contribution to the fund, the retirement system decided to lower its own costs, starting ...
Comments (7)
hans5162@ix.netcom.com hans
Idiot legislators reduce the state contribution to what is a viable pension scheme and they are then "shocked" to find that there is a slight shortfall in funding.
Cindee Sharp via Texas Tribune on Facebook
The article is a tad misleading. Perhaps it could be clarified that the pension fund ($111 billion) and the TRS-Care health insurance fund are two separate funds. The pension fund is in reasonably healthy shape (about 82% funded) and needs some shoring up to protect it for the long-term. The TRS-Care health insurance fund is in dire need of restructuring or some other changes as it may well face a shortfall in not the coming biennium, but the one that follows. Whatever changes impact TRS-Care do not impact the pension fund.
F Grafos
I am still fuming at the fact that TRS pays the investment analysts close to half a million dollars with bonuses for the cheapjack job they do. From the time they dumped my pension in Enron (over 12 years ago) I have not received a single COLA and yet they get hundreds of thousands in pay and bonuses? For what? They took a healthy fund and ripped it apart and its taken years to get into what Ms. Sharp calls a "reasonably healthy shape" This State and this state's TRS are worse than swindlers toying only with the funds of those of us who are not in a position to pursue action for your bungling actions. I know TRS-Care is in a different fund from my pension fund but its the same entity overall & I have no faith that any of you will act in my best interest.
Rudy Gonzales
The Texas Teacher's Retirement System is not short of money, but if it is being run and managed by TEA-Republican Bureaucrats, trouble will rising.
Amber Dru via Texas Tribune on Facebook
Maybe they could work until 67 like others are expected to.
Wilkins Micawber via Texas Tribune on Facebook
Or you could do a little work and try to understand what an annuity-based pension is...
Elaine Erback
I feel cheated in that my school district started taking out for Medicare in 1986 but did not tell long-term employees. Now I find myself to never be able to have Medicare part A with the possibility of reduced coverage/no insurance as a retired teacher. They took out extra for TRSCARE for me instead of Medicare. Of course one could buy Medicare part A but the cost is prohibitive - over $400 a month. Is anyone else in this situation?