An enlightened STRS stakeholder gives us the TRUE story, not the garbage our pension system puts out in their eUpdates, which they call "The Real Story". Read the TRUTH below, in capital letters.
One of our STRS stakeholders just penned a response to the latest STRS eUPDATE that came out this morning in another attempt to interfere with the current Board Member Election.
April 27, 2023
The Real Story (Part 3) — Pensions for Educators With 34 or More Years of Service
There's been a lot shared about STRS Ohio lately on social media, the Internet and email. Sadly, much of this information has been incomplete at best and incorrect at worst. LIKE WHAT? EXAMPLES PLEASE!
In this edition of “The Real Story” we’ll share more undeniable facts about the pensions enjoyed by many new STRS Ohio retirees with 34 or more years of service.
FACT 1:
These new STRS Ohio retirees receive on average an annual pension benefit of about $69,000.* THIS IS THE SIMPLE RESULT OF NEW RETIREES WITH 34 OR MORE YEARS OF SERVICE ARE RETIRING WITH A FINAL AVERAGE SALARY (FAS), OF OVER $92,000. OF COURSE, WITH A 5-YEAR FAS OF $92,000 THEY HAVE BEEN PAYING CONTRIBUTIONS OF $12,880 A YEAR INTO STRS, PLUS THE EMPLOYERS HAVE PAID IN ANOTHER $12,880 EACH OF THE LAST 5-YEARS; THAT'S $128,000.
These new STRS Ohio retirees receive on average an annual pension benefit of about $69,000.* THIS IS THE SIMPLE RESULT OF NEW RETIREES WITH 34 OR MORE YEARS OF SERVICE ARE RETIRING WITH A FINAL AVERAGE SALARY (FAS), OF OVER $92,000. OF COURSE, WITH A 5-YEAR FAS OF $92,000 THEY HAVE BEEN PAYING CONTRIBUTIONS OF $12,880 A YEAR INTO STRS, PLUS THE EMPLOYERS HAVE PAID IN ANOTHER $12,880 EACH OF THE LAST 5-YEARS; THAT'S $128,000.
FACT 2:
About one in five retiring educators elect to receive a Partial Lump-Sum Option Plan (PLOP) payment immediately upon retirement. The average PLOP paid to these new retirees was approximately $157,000.* THESE RECENT RETIREES HAVE BECOME MORE EDUCATED AND AWARE OF STRS MANIPULATIONS THAT HAVE STOLEN BILLIONS OF DOLLARS OF THEIR FUTURE BENEFITS BY ELIMINATING THEIR COLA. THEY KNOW FOR SURE THAT THEIR PENSION WILL SEE NO INCREASE FOR AT LEAST THE NEXT 5-YEARS. THEY ALSO KNOW THAT THE 2013 RETIREES SAW NO COLA INCREASE FOR 9-YEARS. THEY ALSO HAVE LEARNED THAT THEY CAN INVEST THEIR $157,000 AVERAGE OF PLOP MONEY INTO THEIR PERSONAL IRA AND POSSIBLY DOUBLE, TRIPLE OR QUADRUPLE THEIR MONEY DURING THEIR LIFETIME. AND, UPON THEIR DEATH, ALL OF THEIR REMAINING FUNDS WILL GO TO THEIR HEIRS, UNLIKE THEIR STRS PENSION, WHICH KEEPS ALL OF THE REMAINING FUNDS BEYOND THE DEATH OF THE RETIREE AND/OR THEIR BENEFICIARY.
About one in five retiring educators elect to receive a Partial Lump-Sum Option Plan (PLOP) payment immediately upon retirement. The average PLOP paid to these new retirees was approximately $157,000.* THESE RECENT RETIREES HAVE BECOME MORE EDUCATED AND AWARE OF STRS MANIPULATIONS THAT HAVE STOLEN BILLIONS OF DOLLARS OF THEIR FUTURE BENEFITS BY ELIMINATING THEIR COLA. THEY KNOW FOR SURE THAT THEIR PENSION WILL SEE NO INCREASE FOR AT LEAST THE NEXT 5-YEARS. THEY ALSO KNOW THAT THE 2013 RETIREES SAW NO COLA INCREASE FOR 9-YEARS. THEY ALSO HAVE LEARNED THAT THEY CAN INVEST THEIR $157,000 AVERAGE OF PLOP MONEY INTO THEIR PERSONAL IRA AND POSSIBLY DOUBLE, TRIPLE OR QUADRUPLE THEIR MONEY DURING THEIR LIFETIME. AND, UPON THEIR DEATH, ALL OF THEIR REMAINING FUNDS WILL GO TO THEIR HEIRS, UNLIKE THEIR STRS PENSION, WHICH KEEPS ALL OF THE REMAINING FUNDS BEYOND THE DEATH OF THE RETIREE AND/OR THEIR BENEFICIARY.
FACT 3:
Removing reductions for PLOP payments and Joint and Survivor Annuities (many choose to protect loved ones via these options), the average new STRS Ohio retiree with 34 or more years of service receives an annual pension of more than $77,000.* THIS SIMPLY SHOWS THAT A STRS RETIREE’S PENSION IS REDUCED BY ABOUT 10% FOR PROVIDING PENSION PROTECTION FOR THEIR SPOUSE OR OTHER BENEFICIARY.
Removing reductions for PLOP payments and Joint and Survivor Annuities (many choose to protect loved ones via these options), the average new STRS Ohio retiree with 34 or more years of service receives an annual pension of more than $77,000.* THIS SIMPLY SHOWS THAT A STRS RETIREE’S PENSION IS REDUCED BY ABOUT 10% FOR PROVIDING PENSION PROTECTION FOR THEIR SPOUSE OR OTHER BENEFICIARY.
*All figures are from fiscal year 2022.
posted by Kathie Bracy at 10:29 PM
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