| Show Tax Study Group Croup Analyzes Public Retirement Plans in Utah The Utah foundation has made a detailed study of the public retirement problem in this thin state It is a matter of great interest to all public and to all an taxpayers in Utah According to the foundation there are now 18 separate public retirement retirement re re- re- re systems but only one of these basis basis basis- was as set up on a sound actuarial and in that one case the state stale teachers teachers' retirement plan the legislature has been reluctant to lo pay the full state slate share of the cost The foundation indicates that in all of these retirement programs the actuarial actuarial actuarial ac ac- ac- ac cost is high and those who set up the programs are unwilling to face realistically realistically real real- the high cost and place and government contributions at a proper level For instance the foundation reports that the one actuarially sound program the state teachers' teachers retirement plan calls for contributions from teachers ranging from per cent to 10 per cent of salary depending on age and sex On the other hand contributions of in a number of the systems range from 1 per cent to 3 34 4 per cent of salary Reason why this retirement problem is of special significance now is that the recent legislature approved an extension of the state retirement program to include include include in in- clude of any local government electing to participate Under this program program program pro pro- gram contribute 3 per cent of their salary up to a maximum contribution contribution contribution tion of 9 a month This amount is to tobe tobe tobe be matched by the state or by any local governing body which participates The maximum retirement benefit is a month The foundation analyzes this program along with a comparable life insurance annuity In the case of the state program program program pro pro- gram a public who had worked 30 years at an average salary of a month would contribute 72 a year or ora ora ora a total of 2160 in the 30 years This would be matched b by the unit of government government government govern govern- ment to make a total retirement fund investment investment investment in in- vestment of For that the em em- would be entitled to retire at age 60 at at an income of a month for life To get a comparable retirement ben benefit bene- bene fit in a private annuity says the foundation foundation foundation foun foun- dation a payment of a year or a total of over a period of 30 years would be required If the foundations foundation's analysis is anywhere anywhere anywhere any any- where near correct the state retirement plan is not actuarially sound That means at some future date the taxpayers will have to make up the deficit or the public public public pub pub- lic who think they are guaranteed guaranteed guaranteed guar guar- a retirement pay of a month will be grievously disappointed It is important that this question be settled promptly If the retirement p plan an anis is not sound then steps should be immediately immediately immediately im im- im- im mediately taken to put it on a sound basis Fortunately the law passed by bythe bythe bythe the last legislature provides that an actuarial study of the program be made between now and the 1951 session of the legislature Obviously until such a study is made there will win be uncertainty on the part of public and a reluctance to accept accept accept ac ac- ac- ac at face value a promise which may never be fulfilled |
