What's the Story
Even assuming an average 9.5 percent rate of return over the next 16 years (which is wildly unrealistic--25 percent more than Warren Buffett assumes), the major pension plans have greater than a 50 percent probability of being underfunded I've the next 15 years. Essentially, we are in major trouble, because these systems are as risky as betting a few hundred billion dollars on a coin flip.
What's At Stake
$498 billion
This amount is five times annual general fund expenditures. This figure is computed in Joe Nation's SIEPR report on California's pension systems (assuming a 6.2 percent investment rate of return) prepared with the assistance of CACS researchers, available at www.siepr.stanford.edu. Our government should not gamble with our future and needs to address this massive pension debt. Vote to FixIt!
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When you vote to FixIt! you let your elected officials know you care. Elected officials will listen and respond when many people vote to FixIt!
| Based on | Pension Funding Status |
| Posted by |
Dakin Sloss
on 12/13/2011 |
The Data
Media Coverage
Recent Activity
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Mickie W. voted to FixIt!About 17 hours ago
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Mark E. voted to FixIt!About 6 days ago
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Micah R. voted to FixIt!About 8 days ago
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Aaron P. voted to FixIt!About 10 days ago
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Jessica J. voted to FixIt!About 14 days ago
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Steve H. voted to FixIt!About 17 days ago
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Jeff V. voted to FixIt!About 18 days ago
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Ezra S. voted to FixIt!About 19 days ago
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James B. voted to FixIt!About 19 days ago
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David L. voted to FixIt!About 19 days ago
