Real Name: JAMES BURGER Member Since: March 14, 2006 Last Signed In: November 19, 2008 Profile Views: 3842 Blog Views: 11610 County retirement costs going up by $8 million County retirement agency buys ground for new office Bad economy trashes...trash. "Gilbert" might have a history of threatening violence Gilbert back in Kern County Animal fugitive run down in Reseda Big West - trustworthy? Fire chief: "Sorry, Mr. Hall" Prop. 8 Debate: notebook dump Home battle: Cluster compromise? July 06 August 06 September 06 October 06 November 06 December 06 January 07 February 07 March 07 April 07 May 07 June 07 July 07 August 07 September 07 October 07 November 07 December 07 January 08 February 08 March 08 April 08 May 08 June 08 July 08 August 08 September 08 October 08 November 08 
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County union deal pending
Both the County of Kern and the Service Employees International Union say they've locked in acceptable contract language that will finalize the deal made in exhaustive negoitations this year.
Here are some of the details: • New employees get a mixed retirement benefit — up to 1.62 percent of their salary in retirement for each year they worked for the county, plus a 401(k)-style investment plan with up to a six percent county match. • The switch from that percentage-based retirement to a "hybrid" system is supposed to help the county save a small amount of money in the near future. But, as a best guess, between now and 2027 it is supposed to save the county a total of $547 million. • All of the 5,700 SEIU member jobs get at least a four percent raise immediately and some job classifications get up to a 38.5 percent raise to bring their pay in line with the median pay for the job in other counties. • all jobs get four percent raises in each of the next two years. Union members have been waiting on their raises for more than a month. They should get them by the end of next month, county and union leaders said on Thursday. What do people think of the deal? James 15 comments from 8 users
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posted by
robbwillis
on Oct 19, 2007 at 08:58 AM
1.62 percent of their salary in retirement for each year they worked That's pretty sweet! Current employees get more than that? posted by
Jburger
on Oct 19, 2007 at 09:23 AM
Robb,The current county plan offers general employees (not police, fire, DAs or probation officers, etc. who get 3-at-50) a benefit commonly called 3-at-60. It works like this: An employee gets annual pay in retirement that is equal to three percent of their final year's annual salary times the number of years they worked for the county. The "60" in 3-at-60 refers to the minimum age at which the employee can retire and get the benefit. The math for a 25-year county employee earning $60,000 a year works like this: 25 years x three = 75 percent of $60,000 = $45,000 a year in pay in retirement at age 60. The new plan, which is only available to new employees, would work this way for the same hypothetical person: 25 years x 1.62 = 40.5 percent of $60,000 = $24,300 a year in pay in retirement at age 65. James posted by
Hardliner4freedom
on Oct 19, 2007 at 09:32 AM
It's a step in the right direction. For all the inside details of State retirement benefits, go here: posted by
robbwillis
on Oct 19, 2007 at 09:39 AM
Thanks James, I was thinking 1.62 x annual salary and was ready to grab a shovel and head south! Thanks for returning me to reality... posted by
Jburger
on Oct 19, 2007 at 09:55 AM
Another note:The "1.62-at-65" benefit is supplemented in the new contract by a 457(k) retirement investment program for new employees. Similar to private-sector programs like 401(k) the employee contributes a percentage of their pay and the employer matches up to six percent and that combined cash is invested for retirement. James posted by
theColorNine
on Oct 19, 2007 at 04:19 PM
Sorry, James, DDAs do NOT get 3 at 50 and never have. I believe you are correct on the other groups however. ALSO, in order to get the 1.62% someone has to work all the way to age 65, regardless of how long they have worked. If you retire at any age before that, including age 64 and 11 months, you get the number of years worked times 1.15% - which isn't quite so "sweet." What that means is that someone who has worked 40 years for the county and retires at age 64 gets 46 percent of their salary, plus whatever they have managed to save in their retirement account. That may not be a lot for many employees, considering that they are also paying for health insurance and contributing to their county pension in addition to saving in their 401(k) or 457 account. Some county employees make fairly good salaries; many do not. Whatever one may think of the various retirement plans, let's at least get the facts (a) right and (b) ALL out on the table so that people can fairly evaluate them.
posted by
mildmannered1
on Oct 19, 2007 at 05:09 PM
"Union members have been waiting on their raises for more than a month."
Heck, James, we've been waiting a lot longer than that--we've been going backwards for over three years, and now we're still waiting for the retroactive pay from July 2007. So the 4% we'll finally get is a start in making up for the backwards years. We're convinced the current delay is their wanting to earn interest on our money just a little longer. posted by
Jburger
on Oct 19, 2007 at 05:50 PM
Thanks for the correction ColorNine.Mild, as I understand the situation, the minimal raises in previous years was part of the contract previously negotiated by the union and approved by the membership in order to lock in the 3 at 60 benefit. Please correct me if I'm wrong. James posted by
Jezmee
on Oct 19, 2007 at 06:31 PM
I understand the retro pay will be taxed at 42% regardless of dependents. Anyone hear about that? Or know anything about it?
posted by
ChicoEsquela
on Oct 19, 2007 at 06:38 PM
The 42% would probably be an estimated "flat rate" your County Auditor would utilize sans having better deduction information as to deductions case by case (W-4). Of course make sure you can "settle up" with Uncle Sugar at year end if you do. You can file (at least you used to be able to) W-4's just for short periods of time to "smooth out" pay periods your income "spikes". Check into it with your paryroll people. posted by
Jezmee
on Oct 19, 2007 at 06:42 PM
42% across the board, no matter how many dependents, to include state, federal and fica tax. I don't think paying U.S. later is an option. Or did you mean get it back April 15?
posted by
ChicoEsquela
on Oct 19, 2007 at 06:58 PM
If your Auditor has taken the 42% position no matter the W-4, then I guess that's that!
I meant 10 exemptions for a few pay periods, and possibly owe at tax time.
You used to be able to do that (and then change back to try and get to where you don't owe a bunch Apr 15 or get a bunch back) ...... I always recommend using Unca's money when you can but some don't save very well!
posted by
Hardliner4freedom
on Oct 19, 2007 at 07:49 PM
That's the other thing wrong with these union bennies -- they have become excuses to borrow from the future rather than paying people what they're worth. So, as much as I am a conservative grinch where public employee benefits are concerned, I say: quit postponing the bill and pay 'em what they're worth right now. The days of deferring financial obligations to our children's generation need to end.
posted by
NancyII
on Oct 19, 2007 at 08:13 PM
AMEN to that !
posted by
theColorNine
on Oct 19, 2007 at 10:44 PM
Aw, Nancy, you beat me to that AMEN, so I'll just say DITTO!!
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