401k?

 

Can't do a 401k on your own.

 

Everyone that is gainfully employed should have whatever retirement account their employer offers AND personal IRA accounts or mutual fund holdings. Counting solely on an employer sponsored retirement account (especially when it's government ran) is incredibly risky and naive.

Can't do a 401k on your own.

 

Everyone that is gainfully employed should have whatever retirement account their employer offers AND personal IRA accounts or mutual fund holdings. Counting solely on an employer sponsored retirement account (especially when it's government ran) is incredibly risky and naive.

 

Is it time for it in the education sector?

Can't do a 401k on your own.

 

Everyone that is gainfully employed should have whatever retirement account their employer offers AND personal IRA accounts or mutual fund holdings. Counting solely on an employer sponsored retirement account (especially when it's government ran) is incredibly risky and naive.

 

 

I think that sounds great on paper. But funding 2 retirement accounts is a huge chunk of income, especially for those who have only just started their careers. Add in any education loans they are paying back, or CTE fees, I’m not sure how many early-career individuals in education could afford that

Is it time for it in the education sector?

 

From the sounds of things with the new system, if they had subbed out the pension plans for 401k's teachers would've had an even bigger fit.

 

But to answer your question, it's my personal opinion that DC plans like 401k should be the standard retirement plans across all sectors.

I think that sounds great on paper. But funding 2 retirement accounts is a huge chunk of income, especially for those who have only just started their careers. Add in any education loans they are paying back, or CTE fees, I’m not sure how many early-career individuals in education could afford that

 

IMO, you don't need to do it early on...Take care of getting any loans off the books and then knock out retirement. Those just starting out have plenty of time to build wealth. The problem, IMO, is people try to do everything at once.

401k?

 

As was mentioned, can't do a 401k if it's not offered. These teachers have been paying into the system, some for years, and now the system is suddenly changed in an extremely shady way. Most teachers teach because that's what they want to do, and truly enjoy it. They do it despite the lower pay, but what they have been getting on the backend in retirement helps attract and keep these folks on the job. Now much of that is gone.

IMO, you don't need to do it early on...Take care of getting any loans off the books and then knock out retirement. Those just starting out have plenty of time to build wealth. The problem, IMO, is people try to do everything at once.

 

This advice is sound, But for teachers, again, easier said than done. With the requirement for teachers to get their masters, often, more loans end up being taken out, as Masters Degrees don't come cheap, and are still being paid for well into their 30's. I get the argument that they could have chosen another profession, but teachers play a huge role in our society. We need teachers, and we are making it harder and harder for them.

From the sounds of things with the new system, if they had subbed out the pension plans for 401k's teachers would've had an even bigger fit.

 

But to answer your question, it's my personal opinion that DC plans like 401k should be the standard retirement plans across all sectors.

 

I agree with you and that was Bevins original plan to move all teachers to 401k. They should transfer the new wave of teachers to it now.

If the legislature would start funding the Teacher Retirement (I can't speak to others) it would recover in a reasonable amount of time. The problem would alleviate itself even quicker if the legislature would consider raising revenue through sin taxes and casino gambling.

 

I had a lot of time to think about this on our drive back from Perdido Key Thursday morning & afternoon (:lol2:), and this was the conclusion I came to. I'm not a huge proponent of casino gambling, and I would do the other two first, but this is a major crisis that has to be taken care of.

 

I understand the outrage of those involved. My family is involved with my wife being a teacher of 18 years. I just wonder where this outrage was for years when the state was stealing from the pensions without any ramifications. It's absolutely criminal what went down for the last couple of decades, or however long it's been.

 

One thing this really underscores is the importance of not relying solely on your employer sponsored retirement plan. It's imperative that people, regardless of retirement plan or career choice, invest in IRAs, Roth IRAs, and other investment instruments.

 

100% correct.

I had a lot of time to think about this on our drive back from Perdido Key Thursday morning & afternoon (:lol2:), and this was the conclusion I came to. I'm not a huge proponent of casino gambling, and I would do the other two first, but this is a major crisis that has to be taken care of.

 

I understand the outrage of those involved. My family is involved with my wife being a teacher of 18 years. I just wonder where this outrage was for years when the state was stealing from the pensions without any ramifications. It's absolutely criminal what went down for the last couple of decades, or however long it's been.

 

 

 

100% correct.

 

Exactly.

I had a lot of time to think about this on our drive back from Perdido Key Thursday morning & afternoon (:lol2:), and this was the conclusion I came to. I'm not a huge proponent of casino gambling, and I would do the other two first, but this is a major crisis that has to be taken care of.

 

I understand the outrage of those involved. My family is involved with my wife being a teacher of 18 years. I just wonder where this outrage was for years when the state was stealing from the pensions without any ramifications. It's absolutely criminal what went down for the last couple of decades, or however long it's been.

 

 

 

 

Agreed but the victims shouldn’t be the ones punished. Legalize gambling and marijuana and a whole bunch of money can be made to put a dent in that deficit.

Agreed but the victims shouldn’t be the ones punished. Legalize gambling and marijuana and a whole bunch of money can be made to put a dent in that deficit.

 

It's really that simple. I'll not listen to anyone who says they are interested in lowering the deficit when they won't vote to legalize casinos and marijuana.

Agreed but the victims shouldn’t be the ones punished.

 

No question. That's what makes the least sense here. State employees have been the victims of theft, and now they have to shoulder most of the responsibility for that? Senseless.

 

I imagine if the shoe was on the other foot, and state employees (or any citizen of Kentucky, for that matter) shorted the state, the result would be quite different.

 

Having said all of that, state employees will likely have to shoulder some of the load regardless of what actions are taken. But no way should they be expected to carry the bulk of this burden when it was not their fault to begin with.

Agreed but the victims shouldn’t be the ones punished. Legalize gambling and marijuana and a whole bunch of money can be made to put a dent in that deficit.

 

It's really that simple. I'll not listen to anyone who says they are interested in lowering the deficit when they won't vote to legalize casinos and marijuana.

 

You guys need to look North and see how that has worked out for Ohio. The money spent on enforcement for Casinos in Ohio is 3 times what the revenue it is generating. Also they cant even get the Marijuana program together in the state and have/will spend over 100 Million dollars before the first tax is collected.

 

In therory it sounds great, but you have to look at all aspects to get things like this to steam, and how much it will really bring in. How many casinos do you think KY will get initially? The market is already flooded with them in the area.

No question. That's what makes the least sense here. State employees have been the victims of theft, and now they have to shoulder most of the responsibility for that? Senseless.

I imagine if the shoe was on the other foot, and state employees (or any citizen of Kentucky, for that matter) shorted the state, the result would be quite different.

 

Having said all of that, state employees will likely have to shoulder some of the load regardless of what actions are taken. But no way should they be expected to carry the bulk of this burden when it was not their fault to begin with.

 

I would by that if the non funding of the retirement plans had just happened in the last few years. Its happened for almost 2 decades......DECADES.... and those on the plans sat on their hands and did nothing. Now that someone is trying to address the situation (that they allowed to happen) its a big issue.