For obvious reasons, nobody has a handle on where cost of living adjustments or health care costs/insurance premiums will end up.
The White House’s proposal would eliminate a long-time benefit which provides “gap” payments to employees, like federal firefighters, forced to retire as early as age 57.
One of the great fears of people planning for retirement is running out of, or low on money while they are still breathing.
While there are some really dangerous federal jobs, including law enforcement officers, firefighters and prison personnel, even the 9-to-5 office positions are pretty scary now.
In what’s become the administration’s evergreen budget plan, the White House has again proposed that federal workers kick in more of their salary toward their retirement plan in return for smaller lifetime annuities that are frozen when they retire.
No one gets paid what they deserve. But everyone deserves a little stability.
President Donald Trump’s proposed 1% across-the-board federal pay raise is an attempt to meet Congress “halfway” on the topic, as the administration also recommended more agency funding on employee performance rewards and bonuses.
NARFE president Ken Thomas says last year’s White House budget proposal “breaks promises to both current and future retirees.”
Many people decided to ride out the Great Recession so they could miss the downside and return to the TSP’s C, S and I stock funds when things got better. Eleven years later, some still haven’t returned.
Federal workers this month are getting a 3.1% total pay and federal-postal retirees are getting a 1.6% cost of living adjustment.