Writer's pension math problem

Greg Stimpson writes on May 30 that teachers don't really contribute enough to cover their own pensions, implying they share the blame for the current pension problems.

Like the politicians that are the root of the pension crisis, his facts are not completely or wrong. He indicated that they can retire as early as age 55, however not without penalty, receive a 3 percent annual increase (true), do not pay income taxes (untrue), and get free medical coverage (untrue).

To retire at age 55 without any penalty, a teacher must have 34 years of service. They do not pay Illinois state tax, however they do pay federal income tax. Several other important facts are missing from how teachers builds up money in their retirement account. The teacher in this example pays 9 percent of $50,000 for 34 years amounting to $153,000. The state is supposed to hold this money and through modest investment of 3 percent annually would now total $267,579.00 amounting to nearly eight years of retirement at $35,000 per year.

However, another fact not mentioned is that the state is also to make their own contribution like the employer's contribution with Social Security. Combining the state and the teacher's contribution would give over 15 years of retirement coverage, not the four years mentioned.

These facts give a more accurate picture of the contributions of teachers as well as the bogus math that is used to divert your attention from the politicians to the teachers. Also, retired teachers always pay for their health coverage to the tune of $400 to $600 per month until they qualify for Medicare at age 65-66.

All in all, blaming the teachers for the state's problems is like blaming the fans for the Cubs problems.

Bruce Wrightwood

Roselle