New State Gov't Employees to Have Percentage Taken Out of Checks for Pension
By: KARK 4 News
Updated: September 19, 2012
State lawmakers think they've come up with a way to save taxpayers some money while at the same time shoring up public employee retirements.
Lawmakers approved a study of deferred compensation plans on Wednesday afternoon, meaning all new state government employees will have at least 3 percent of their paychecks set aside in a separate fund to pay for their pension.
"Taxpayers should know if we help educate our employees in saving more for retirement that will in the long term reduce the overall burden to the taxpayer because they are saving more of their money." Says Sen. Johnny Key (R) of District 17.
The whole reason is to make sure when these folks reach retirement age, they'll have enough to carry them through their final years.
Lawmakers approved a study of deferred compensation plans on Wednesday afternoon, meaning all new state government employees will have at least 3 percent of their paychecks set aside in a separate fund to pay for their pension.
"Taxpayers should know if we help educate our employees in saving more for retirement that will in the long term reduce the overall burden to the taxpayer because they are saving more of their money." Says Sen. Johnny Key (R) of District 17.
The whole reason is to make sure when these folks reach retirement age, they'll have enough to carry them through their final years.
