Posts Tagged: 401(k)
The CalPERS headquarters in Sacramento. (Photo Shutterstock)
A bill by state Sen. Steven Glazer, D-Orinda, giving new state workers the option new University of California workers received two years ago, a 401(k)-style plan rather than a pension, is opposed by unions and soon may be opposed by CalPERS. More than a third of eligible new UC employees have chosen a 401(k)-style plan. Instead of a guaranteed lifetime monthly pension check, the 401(k) plan that replaced pensions in most of the private sector uses individual tax-deferred investments to build a retirement fund.
A retiree checks out the newspaper in his back yard. (Photo: Budimir Jevtic, Shutterstock)
Calpensions: A board working on a proposal to enroll most small business employees in a state-run retirement savings plan, unless they opt out, was told last week that small technology-focused financial firms could do the job. The founders of three firms that offer 401(k)s and other retirement plans to small businesses did not object to competition from the state.
The campus of the University of California, Berkeley. Photo: LAgirl5252
Calpensions: In the competition for top talent, the University of California has been able to offer something increasingly rare among leading private universities: a generous lifetime pension. Now a much lower cap on pensions for new UC employees is part of an agreement to freeze UC resident tuition for two years announced last week by Gov. Brown and UC President Janet Napolitano.
The CalPERS' governing board during a meeting several years ago at the pension fund's headquarters. (Photo: CalPERS board)
Calpensions: Last week was not a good one for CalPERS. Wednesday, Gov. Brown said CalPERS adopted regulations that undermine the anti-spiking provisions for new hires in his pension reform. Thursday, the state Fair Practices Political Commission rejected a proposed $1,000 fine for CalPERS board member Priya Mathur, suggesting a $4,000 fine for a serial offender who has repeatedly failed to file campaign funding reports.
A little-known private firm that has sold customized supplemental pensions to dozens of California cities, including bankrupt Stockton and San Bernardino, is prohibited from selling more by a pension reform bill that took effect this year.
Public Agency Retirement Services or PARS, sounding close to the “PERS” in CalPERS, can continue to offer other
Signature gathering began last week for an initiative to switch new hires of California’s largest city from pensions to a 401(k)-style plan, a change begun in the second largest city, San Diego, after voters approved a similar initiative in June.
Former Los Angeles Mayor Richard Riordan, who has warned the city is sliding toward