General Discussion

A HERETIC I AM

(24,876 posts)

63. "A pension fund should never rely on existing workers to fund retirees. "

Tue Oct 13, 2015, 09:37 AM

Oct 2015

A pension fund relies on two things;

1) Returns on it's investment portfolio that are appropriate to meet its obligations, and

2) a steady stream of new contributors.

The Teamster fund has apparently been unable to do either. If the returns are a result "mismanagement" then they are no different than any other pension fund out there. It isn't managed by your average Joe. They use professional money managers, consultants, brokerages and analysts.

A 10% contribution of salary over a career most certainly can provide for a very lucrative retirement.

Sure. When the length of that retirement was 20 years or less and there was a steady stream of new contributors.

FWIW, I am a Teamster, but my company does not take part in any pension fund, instead they offer a 401(k).

Edit history

Please sign in to view edit histories.

Recommendations

0 members have recommended this reply (displayed in chronological order):

112 replies

= new reply since forum marked as read

Highlight:

My brother's Teamster's Union pension was just cut.... [View all] Punkingal Oct 2015 OP

what in the hell happened? this is not right... CTyankee Oct 2015 #1

The teamster pensions are running out of money. Waldorf Oct 2015 #8

Sustainability... TipTok Oct 2015 #13

who cut it? saturnsring Oct 2015 #2

The union did...they cut most everyone. Punkingal Oct 2015 #6

Omaha Steve posted about this a couple weeks ago. Blus4u Oct 2015 #82

Gov mandated managers that have included Goldman Sachs and Northern Trust. Omaha Steve Oct 2015 #84

Thanks for the link... Punkingal Oct 2015 #92

Glass-Steagall happened. All these pensions are now in the jwirr Oct 2015 #96

I started an entire new post on this Omaha Steve Oct 2015 #98

I consider myself fortunate that my own very small pension SheilaT Oct 2015 #3

yes he gets SS...and he knew this was coming...but it still sucks. Punkingal Oct 2015 #7

Of course it sucks. SheilaT Oct 2015 #10

Me too- I'm 66 now, and still working. I had no idea the percentage was so small. NBachers Oct 2015 #31

I don't think it pays to wait hfojvt Oct 2015 #54

Be sure to investigate thoroughly before pulling the trigger on SS at 62. Blus4u Oct 2015 #81

I plan to collect in late 2016, age 67---not wait to 70 BECAUSE: I had the S.S. Office calculate my WinkyDink Oct 2015 #100

Expect more of this shit unless we elect more like Bernie Sanders. BernieFan57 Oct 2015 #4

Senator Sanders can not alter the fundamentals of math. n/t A HERETIC I AM Oct 2015 #21

Actually he could, if he went nose to nose with the bankers, got rid of the Fed, and PatrickforO Oct 2015 #27

None of what you suggest will solve the problem the pension fund is experiencing. A HERETIC I AM Oct 2015 #34

It isn't magic, nor does it need to be Major Nikon Oct 2015 #53

"A pension fund should never rely on existing workers to fund retirees. " A HERETIC I AM Oct 2015 #63

Well thats what Social Security does philosslayer Oct 2015 #73

Social Security is NOT a pension plan. It's a government sponsored insurance plan. Major Nikon Oct 2015 #91

That's so cute that you would think that. Nuclear Unicorn Oct 2015 #93

Not as cute as not knowing what OASDI stands for. Major Nikon Oct 2015 #95

Oh but it would. Redeeming pensions would be a specific 'project' the government would PatrickforO Oct 2015 #58

Well, until such time that you can convince Congress to do such a thing, it is a rather pointless... A HERETIC I AM Oct 2015 #64

You're right. It doesn't. And Congress won't do a damned thing unless PatrickforO Oct 2015 #65

You mean this, more or less; A HERETIC I AM Oct 2015 #66

That's great! PatrickforO Oct 2015 #67

I believe many of the big integrated steel companies saddled the government with their Blus4u Oct 2015 #85

Printing money without undergirding economic growth causes currency inflation. Nuclear Unicorn Oct 2015 #94

That is a fallacy because inflation is based on too many dollars chasing too few goods and services PatrickforO Oct 2015 #102

Pension funds generally use long term corporate bonds Yupster Oct 2015 #80

Pension funds generally use a wide mix of asset classes. A HERETIC I AM Oct 2015 #108

Yes my 109 years ago Yupster Oct 2015 #109

A bailout like the one proposed by Sanders!!! Omaha Steve Oct 2015 #88

I had one other thought on this. PatrickforO Oct 2015 #103

If congress had not done that, the economy would have collapsed A HERETIC I AM Oct 2015 #107

No put he can with our help stop the investment banks from jwirr Oct 2015 #97

The Teamster pension plan is run by the Teamster Union. former9thward Oct 2015 #101

if you have a pension, be aware someone is working very hard to get rid of it Skittles Oct 2015 #5

You must be mistaken... I've been assured that pensions are GUARANTEED hughee99 Oct 2015 #104

they could have been Skittles Oct 2015 #106

That is dreadful---less than half. virgogal Oct 2015 #9

The teamsters fund doesn't have the money Travis_0004 Oct 2015 #11

Yes... Punkingal Oct 2015 #12

And when driverless trucks come they are really in trouble Travis_0004 Oct 2015 #15

you working on driverless trucks for google LOL snooper2 Oct 2015 #71

No, but the reality is the day is comming. Travis_0004 Oct 2015 #77

Thanks. virgogal Oct 2015 #17

Yea, I will get a lot of flak for this, but I like my 401k fund just fine GummyBearz Oct 2015 #14

Well I'm glad you got yours but the majority of Americans have less than $100000 in liberal_at_heart Oct 2015 #16

The point is still valid Major Nikon Oct 2015 #19

The point might be valid ideology... AOR Oct 2015 #20

This country will have one hell of a wake up call when the generation we played guinea pigs with liberal_at_heart Oct 2015 #23

It's stunning how many of these "libertarian thinkers" think they will be immune... AOR Oct 2015 #26

"Libertarian thinker" GummyBearz Oct 2015 #33

I suspect the irony that the Teamsters endorsed Saint Ronnie in 80 and 84 is lost on that one Major Nikon Oct 2015 #37

The demands and the solidarity of the working class on a whole... AOR Oct 2015 #43

I feel bad for the OP GummyBearz Oct 2015 #45

You say... AOR Oct 2015 #49

I'm a socialist living in a capitalist country GummyBearz Oct 2015 #55

I know this much, and it sounds like you don't... Punkingal Oct 2015 #52

I agree with you on the pioneers of the labor movement GummyBearz Oct 2015 #56

I'm well aware of that scenario GummyBearz Oct 2015 #30

sorry, not buying into the generation war. My father's generation, my generation, and my liberal_at_heart Oct 2015 #51

My father has an awsome pension GummyBearz Oct 2015 #57

I suppose I could add a 4th option Major Nikon Oct 2015 #25

Standard issue red-baiting... AOR Oct 2015 #28

You funny Major Nikon Oct 2015 #36

I can assure you if you're feeling shortchanged... AOR Oct 2015 #38

I don't know if you've noticed... Major Nikon Oct 2015 #39

Says the one who pops out of the lounge... AOR Oct 2015 #44

401K is a right wing talking point! Major Nikon Oct 2015 #48

if you think it's yourself Skittles Oct 2015 #41

Sure, because pensions have been a resounding success Major Nikon Oct 2015 #46

I can make anyone "expert" enough in a single minute whatthehey Oct 2015 #83

I got mine, fuck you all Skittles Oct 2015 #18

Thank you! Punkingal Oct 2015 #24

You got yours AND mine. GummyBearz Oct 2015 #32

LOL Skittles Oct 2015 #40

LOL GummyBearz Oct 2015 #47

that was in reference to YOU, not ME, Einstein Skittles Oct 2015 #50

How is the irony lost on this? GummyBearz Oct 2015 #59

What is your basis for saying you will never get your pension? 'I just know' is not actual basis. Bluenorthwest Oct 2015 #68

You posted at the same time I did GummyBearz Oct 2015 #70

Yep,no 401k when I joined the Union and still none, which is good. Go Vols Oct 2015 #99

Funny, I bet some of the Teamsters thought the same thing... Fla_Democrat Oct 2015 #110

Its a shame they got the choice Go Vols Oct 2015 #112

My parents had pensions with different employers tammywammy Oct 2015 #22

This may be entertaining... Fla_Democrat Oct 2015 #29

Why can't you have both? When 401K's were first brought out, it wasn't suppose to B Calm Oct 2015 #62

yea GummyBearz Oct 2015 #69

PBGC will protect your pension. B Calm Oct 2015 #74

Multi employer is different. MichMan Oct 2015 #86

For a few years I worked with Teamsters, some of whom voted Republican the whole time. brewens Oct 2015 #35

An astonishing number of union members SheilaT Oct 2015 #42

That's been a huge problem. Even those that have never been union have benefitted greatly brewens Oct 2015 #75

Yep. They get paid a good wage with good benefits because they had a strong union. Liberal Veteran Oct 2015 #79

If you ask a lot of the tissue mill guys in my area, they'll tell you they make good brewens Oct 2015 #87

Union households constantly vote 75% or more on election day Omaha Steve Oct 2015 #89

Hoffa allowed UPS to bail MichMan Oct 2015 #60

Theh did pay a few billion when they bailed out. Travis_0004 Oct 2015 #78

Doesn't surprise me. Teamsters is corrupt as hell and even endorse republican candidates. B Calm Oct 2015 #61

Judge Approves Agreement Ending 25 years Government Oversight Of Teamsters Union Omaha Steve Oct 2015 #90

That is awful. Just awful. mnhtnbb Oct 2015 #72

This is where we should print money. abelenkpe Oct 2015 #76

Yep. People will be shocked at first, but it is the only solution, short of rethinking capitalism. reformist2 Oct 2015 #105

Why have taxes and treasury bonds? 1939 Oct 2015 #111