In most industries across the United States when a person has completed 30 years of service then they are entitle to “FULL” retirement benefits. Not a educator in the State of Texas if current proposals pass.
Currently there are bills in both the House and the Senate to raise the minimum age required to have full benefits upon retirement to age 62. The bills read that for each year below the age of 62 your pension would be cut 5%.
Best 5 year average of $50,000 with 30 years of service.
30 X 2.3 (multiplier) = 69
This person is entitled to a pension benefit of 69% of their best 5-year average or $34,500 per year.
If they were a late starter and waited until age 24 to start teaching, then they would meet their 30th year of service at age 54. That is 8 years below the proposed age 62.
8 years X 5% per year is 40% loss of their $34,500 per year pension.
A 40% loss equals a loss of $13800 during year one.
It leaves a retirement pension of $20,700 for year one.
Each year the loss will be reduced by $1725.
I don’t know many people that are willing to live on $21,000 a year and support a family. If the current proposal passes then educators will be required to remain for 38-40 years depending on the age in which they began teaching. When you compare that with the benefits of our state leaders that are only required to serve 3 terms or 6 years to receive life time benefits, it is very out of balance. Their retirement is based upon $125,000 a year state judge.
It seems that every law that is proposed is designed to harm public schools. If we have bad benefits then it will keep good teacher from being a part of the system. If we give them extra work then they will quit. If we make the standards unobtainable, then we can say schools are a failure. If schools are failure, then we can privatize them and make money.
Where does it stop?
David R. Taylor
25 Year Teacher, Coach, and Principal