Seems a little high to me in some cases.
We often hear complaints about CEO salaries, what about bureaucrats?
Wait. Then there's the benefits which sometimes supercede those in the private sector. Yet, guess where the money comes from in the first place? You earn $30 000 a year in a private company that produces wealth, yet if you're lucky, will pay half (and I may be generous) of your salary in a pension package and your taxes go to make sure someone else, say the President of the CBC, is better taken care of?
As a whole, I wouldn't be surprised if public servants get better overall packages on average. My wife is a teacher and her pension looks pretty good.
I would truly love to see what the fair market value of some these incomes in the real world would be.
Note: I'm strictly looking at higher end public servants.
Look man, I paid 10% a year of my salary toward that public service pension to get, 42% of my salary of the 5 best years. Since 10 of my last years saw my salary frozen for 0 deficit reason those last 10 years entered in the calculus of that 42%.
ReplyDeleteNobody is giving me a present...I paid for the damn thing.
Furthermore from 1973 to 1982 it is indexed to the cost of living, but from 1982 to 1994, when I retired, no indexation.
You were a financial consultant, figure what hapened to my purchasing power.
Stop feeding the myths.
Mission accomplished.
ReplyDeleteWanted to get some emotion from SOMEONE.
In any event, I was more looking at the top-enders like the CEO's in the private sector who seem to get their own perks.
I certainly wouldn't want those who devoted time in the public sector to get screwed.
Actually, I would LOVE to hear more from public service workers. It's hard to find information on them.
ReplyDeleteOne other thing, I would still like to see if you're in the average. According to a study I just read, Canada's pension system remains generous - among the most in the world in fact.
ReplyDeleteI'll link it shortly.
Yes Canadians are lucky but, as that old guy in the Lehman Brothers add used to say: "We earned it". We did pay for it, all Canadians pay premiums, hidden away in the income tax since some twenty or more years, but a premium none the least. The younger ones don't know it.
ReplyDeleteThe private sector is something else. Do you know that even our MPs and MNAs are paying a premium from their salaries towards their pensions they get at 65 if they served at least 12 years?
The private sector's golden parachute are perks, not pensions.
I don't think those who examine public sector pensions (and certainly not me) would ever suggest otherwise; about workers earning them. Then again, there are degrees of public sector workers, rigth? City workers seem a lot more willing to play the system, whereas nurses and teachers are wickedly hard working.
ReplyDeleteAltough on average public sector workers work lesser hours and take more breaks - especially here in Quebec and that's been documented and linked here many times. Over time that's gold.
The premiums thing is interesting (and I notice that with my wife's income). I would have to talk about that with someone.
Actually I have a friend who runs a pension fund department at Royal. Maybe he has some info.
Your wife, I understand is a teacher. The teachers are an interesting case. Many are women and more likely to work part time, take maternity leaves and and take time out till their last one is in grade school then go back to work.
ReplyDeleteAccording to A.R.E.Q.,a 44000 member strong retired teachers association, the average pension of their members is 12000$ a year. My wife one of them, including the RRQ and federal pension, gets 21000$ after working from 1956 to 1996.
The $21 000 scale is on the upper-end I'm sure. My wife earns the max (she has two masters) and probably will get about that - I have to verify.
ReplyDeleteThe $12k sounds about right. I reckon the average teachers salary is in the $40-$50 range - maybe less. Of course, many earn well above that.
She will get 2% for each full year of work, part time years are prorated.
ReplyDeleteWith the last collective agreement that will be indexed once a year at I.P.C.-3% minimum 50%, retroactive to 2002. The calculus will be based on the average earnings of her 5 best salary years.
Post retirement she will have to adhere to a teachers retiree association to maintain her life and complementary health benefits. The membership fees include the benefits.
Her life insurance will drop gradually every 5 tears after she turns 70, a long way off I reckon.
Being on the managers plan I pay 38,82$ monthly for complementary health benefits on top of R.A.M.Q., the annaul health contribution...and eventually that 235 dollar thing. Life insurance at 179$ monthly for 500000$ I had been paying for the last 50 years I gave up last year, it would have dropped to 0 next March when I turn 80. Being a group insurance it had no buy back value.
Merci pour les details!
ReplyDelete