In Case You've Wondered

My blog is where my wandering thoughts are interspersed with stuff I made up. So, if while reading you find yourself confused about the context, don't feel alone. I get confused, too.

If you're here for the stories, I started another blog:

One other thing: sometimes I write words you refuse to use in front of children, or polite company, unless you have a flat tire, or hit your thumb with a hammer.

I don't use them to offend; I use them to embellish.

Thursday, April 6, 2017

Pensions and Disaster

Using a search engine, and typing in "pension plan crises", will reveal more information than you'll have time to read. Considering the magnitude of the budget shortfalls of pensions, you'd think there would be a strong effort to fix the problem.

From what I've read, many pension plans are basically bankrupt. More goes out than goes in, less contribute to the plan, and the brewing disaster is already affecting the credit ratings of some states.

There are only two ways to fix the problem:

- Find the revenue to make up the shortfall.
- Reduce pension payouts.

Regardless of which method is used, it seems too many are just taking the ostrich approach, but waiting only leads to major problems. If bankruptcy is the final outcome, the "plan", which is the agreed reduction in liabilities by creditors - may lead to pennies on the dollar. To someone already retired, pennies on the dollar of their planned income is a disaster. For taxpayers that may have to make up the shortfall of public pensions, the increase in taxes to pay for foolishness is unconscionable.


  1. My wife's pension is from the State of Georgia. Wouldn't surprise me on iota if they stopped paying it so they could build more low income housing.

    1. I think states will deal with shortfalls better than cities. Cities, from my perspective, are the most incompetent, fraudulent, and ignorant of political entities.