State Workers and Taxpayers Would Pay More Under Candidate’s Plan

DES MOINES, Iowa– Sam Clovis, a Republican running for state treasurer, believes both state workers and taxpayers will ultimately need to pay more to better secure Iowa’s pensions system.

A consultant recently found the state’s retirement plan for 325,000 workers is nearly $6 billion short. That puts it at 80% funded, down substantially from 97% funded a decade ago.

Clovis said, “We’re going to have to ask for a higher contribution for the employers. We’re going to have to pay more. I think also we’re going to have to start to have more pay down and it has to be a deliberate effort on the part of our general assembly to set aside money to start buying down this debt.”

Lawmakers already agreed on a host of changes last year that increased employee contributions, extended the time they need to get vested in the program and changed the way the state computes their pension amount.

5 comments

  • Randy Graven

    yeah imagine that-97% funded 10 years ago under which governor? Down to 80% now and the taxpayers have to make it up under which governor? Fiscally responsible my a** Who’s the tax-and-spend?

  • Dan

    It couldn’t be because of the caps and early retirement, could it? Must be a school teacher with all the facts.

    • BrutallyHonest

      I second that! Not my problem that a state worker won’t have as much of a pension. I do not see why any normal tax payer should be burdened with paying more taxes for someone elses pension. I have my own retirement to TRY and save for, I cannot afford to pay for someone elses retirement.

Comments are closed.

Follow

Get every new post delivered to your Inbox.

Join 965 other followers