Alaska Public Pension Coalition

OASDI Release of Beneficiaries by State and Zip Code for 2010

OASDI has just released a comprehensive report of beneficiaries by state, divided by ZIP code. Some highlights from the Alaska fact sheet:

Total beneficiaries in USA: 54,031,968

Total in Alaska: 78,208

     Number who are retired workers: 49,275

    Number who are disabled workers: 12,119

    Number of children recieving benefits: 8,831

Total in Anchorage: 55,450

Total in Fairbanks: 12,795

Total monthly benefits in Alaska (in thousands of dollars):  $79,906 

For the full report, check out the OASDI website, where information is available for all 50 states, D.C., and outlying U.S. territories.

 

Actuary Support for Traditional Pension Plan

The push for returning to a traditional pension plan continues in Alaska. A hearing regarding Senator Dennis Egan's Senate bill 121, which would allow public employees to return to a defined-benefit plan, took place on Thursday, September 15th. Those in favor of bill 121 still face strong opposition from the Parnell administration. A consulting actuary was brought into strengthen the argument for the bill. Flick Fornia, the actuary, testified that the change back to a defined-benefit plan would be no more costly than the current plan and would end up providing a more secure retirement for many workers.

To read a full news report from the Juneau Empire, click here.

(Full news article by Pat Forgey of the Juneau Empire, article appeared on September 16th, 2011)

ARMB- Alaska Retirement Management Board

The Alaska Retirement Management Board assumed fiduciary responsibility for Alaska's retirement systems in October, 2005. The Board is a part of the Alaska Department of Revenue, and has updates and upcoming meetings listed on their website. In addition, interested parties can also view annual audited financial schedules, contribution rates, profiles of the Trustees, monthly financial reports, and other items.

You can access the website here.

Social Security Payroll Tax on Incomes over $250,000 Proposed

Excerpted from the Alliance for Retired Americans:

Currently, active workers and their employers each owe a payroll tax on a worker’s wages up to $106,800 for Social Security. Congressional liberals have proposed raising the payroll tax to include income above $250,000 a year for individuals. This legislation is designed to keep Social Security solvent for the next 75 years, by putting an additional $6.5 trillion into the Social Security trust fund over that period. The sponsor of the House bill, Rep. Peter DeFazio (D-OR), believes that it is time to stop discussing raising the retirement age, cutting benefits, and privatization. Sponsors in the Senate include Bernie Sanders (I-VT), Barbara Boxer (D-CA), and Sheldon Whitehouse (D-RI). During President’s Obama’s 2008 presidential campaign, he proposed the same type of payroll tax increase. “The concern lies in getting this bill past the Republicans, because they have made it their stance to oppose any increase in taxes,” said Ruben Burks, Secretary-Treasurer of the Alliance. Recently Obama, in an effort to stimulate the economy, has proposed paring the planned 6.2 percent payroll tax on employees next year to 3.1 percent, and cutting the payroll tax to employers as well. He wants to replace the revenue that would be lost to Social Security with money from the government’s overall budget.

Updates from the National Women's Law Center

Dear Friend,

Especially in today's uncertain economy, it's hard to achieve a secure retirement — and women face additional challenges, because they generally earn less than men and live longer. But whether you've just started working or are nearing retirement age, there are steps you can (and should!) take to prepare for retirement.

Looking for answers? The National Women's Law Center is hosting a two-part series of free webinars for service providers, advocates, and individuals. The first webinar focuses on women and Social Security, and the second webinar will dig deeper into pensions and savings.

Register today! These online workshops are free to participants, but registration is required.

Planning for the Future: What Women Need to Know About Social Security

2:00 p.m. Eastern on Wednesday, September 7, 2011

Find out more about the benefits Social Security can provide, including before retirement, and about how your decisions (and your spouse's, if you are married) about when to claim benefits can affect your retirement income.

Planning for the Future: What Women Need to Know About Pensions and Savings

1:00 p.m. Eastern on Monday, September 12, 2011

Find out more about ways you can save for retirement and manage your savings to improve your retirement security.

There is no reason to be intimidated by retirement planning. The webinars, part of the National Women's Law Center's Citi Education Series on Family Economic Security, will give you some tips and strategies to obtain peace of mind. Register today!

Sincerely,

Joan Entmacher Vice President, Family Economic Security National Women's Law Center

Oppose Cuts to Medicare, Medicaid, and Social Security Cosponsor H. Con. Res. 72

Clearly state that any legislative language approved by the Joint Select Committee on Deficit Reduction should not reduce benefits for Social Security, Medicare, and Medicaid recipients.

 Current Cosponsors (38):  Grijalva, Lee, Johnson (GA), Thompson, Al Green, Towns, Jackson-Lee, Woolsey, Schakowsky, Jackson, Clarke (NY), Richardson, Christensen, Honda, Waters, Davis (IL), Butterfield, Fudge, Lewis (GA), Cummings, Gonzalez, Kucinich, Filner, Wilson (FL), Bass, Stark, Hinchey, Clarke (MI), Cleaver, Bordallo, Frank, Gutierrez, Courtney, Nadler, Reyes, Olver, Cohen, Rush    

Dear Colleague:

As you know, the debt ceiling package that was recently signed into law by President Obama creates a Joint Select Committee on Deficit Reduction.  This committee is tasked with improving the short-term and long-term fiscal imbalance of the Federal Government by identifying at least $1.5 billion in additional cuts.

The creation of the Joint Select Committee on Deficit Reduction makes three of our country’s most vital safety net programs - Medicare, Medicaid, and Social Security - targets for cuts.  Such cuts would be highly unpopular with the public and would weaken the health of our social insurance programs at a moment when the economy is reeling.  

Congress needs to go on the record and state its intent to preserve America’s safety net and social insurance programs.  The Super Committee needs to prioritize the preservation of Medicare, Medicaid, and Social Security and focus on finding a means of balancing the budget that doesn’t harm working families. 

If you would like to cosponsor H. Con. Res. 72, please contact Michael Darner in my office at michael.darner@mail.house.gov.

Sincerely,

John Conyers, Jr.

MEMBER OF CONGRESS

[Concurrent Resolution under the cut.]

Social Security Administration Report Makes the Program’s Importance Clear

Social Security is the most significant source of income for Americans age 65 and older, and its importance has continued to grow over time, according to a recent Social Security Administration  (SSA) report. Social Security made up 38% of the total income of people age 65 and older in 2009—up from 30% in 1962—and is the largest of any type of retirement income. According to U.S. News and World Report, “only a fortunate minority” of Americans have significant sources of retirement income other than Social Security. Social Security made up half or more of the retirement income of 66% of Americans age 65 and older in 2009, up from 64% in 2008. And more than a third of retirees (35%) receive 90% or more of their income as a monthly payment from SSA. While Social Security makes up a large share of the typical retiree's income, the amount they are paid is actually fairly small. The average monthly payout to retired workers was $1,176 in 2010. For more statistics and a link to the report itself, go to http://bit.ly/qzOouz.

[Excerpted from the Friday Alert from the Alliance for Retired Americans.]

Sen. Bernie Sanders Moves to Protect Social Security from Budget Slashers

Sen. Bernie Sanders (I-Vt.) said last week that he will introduce legislation that would expand the reach of the payroll tax, as part of an effort to give further support to Social Security. According to The Hill, Sanders is proposing to make individual income higher than $250,000 per year subject to the payroll tax — an idea he says he is lifting from President Obama’s 2008 campaign for the White House. As it stands, the payroll tax, which funds Social Security, applies to the first $106,800 of annual income; the Sanders bill would not impose the payroll tax on income between that level and $250,000. In a recent news release, the senator said he was also worried that the new Super Committee tasked with finding additional ways to reduce the deficit will try to find savings through cuts to Social Security. One method that has already been discussed would involve switching to the so-called “chained CPI,” an alternate form of inflation that would lead to a slower increase in Social Security benefits.  “Social Security did not cause federal budget deficits, and should not be part of the Super Committee’s solution to the debt problem,” said Barbara J. Easterling, President of the Alliance. According to Sanders’ office, the chief actuary for Social Security says the senator’s proposal to make the payroll tax applicable at higher income levels would create enough new revenue to keep the program solvent for the next 75 years.

[Excerpted from the Friday Alert from the Alliance for Retired Americans]