TEXPERS-DB-vs-DC

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  • TEXPERS Special Report 1 --- "Fact and Fiction in the Laura and John Arnold Foundation's Solution Paper 'Creating a New Public Pension System'"
    In this fact-checking article, TEXPERS responds to various myths about defined benefit plans. The paper responds to assertions that are made the Laura and John Arnold Foundationís first policy paper on the ìneedî to change public employee pensions from defined benefit to defined contribution plans.
  • NIRS Report --- "Decisions, Decisions: Retirement Plan Choices for Public Employees and Employers"
    This National Institute on Retirement Security study describes how defined benefit (DB) retirement plans are instrumental to government employersí ability to attract and retain employees. The study proves: a) how DB plans are a primary factor in qualified employeesí decision to choose public service, b) why defined contribution plans like 401(k)s are not cost efficient, and c) that states mistakenly shift from DB to DC plans thinking they can save money.
  • NIRS Report --- "Pensionomics: Measuring the Economic Impact of State and Local Pension Plans"
    This National Institute on Retirement Security study analyzes data on state and local government pension plans from the U.S. Census Bureau to assess the overall economic impact of benefits paid by these plans to retirees. The study provides informative statistics, like the amount of assets held in state and local defined benefit plans, the amount of benefits paid to retired public sector employees, and the impacts that retirement benefits have on state economies.
  • Pension Trustee Advisors Study --- "TEXPERS DBDC Analysis"
    TEXPERS, with the support of the three public employee retirement systems in Austin, Houston and San Antonio, asked William B. Fornia and Pension Trustee Advisors, Inc. (PTA) to compare defined benefit pension plans to 401(k)-type defined contribution retirement savings plans using actual employee data for those systems. Pension Trustee Advisors found that for the profiles of Texas workers in three selected systems, the defined benefit plansí costs ranged from 39% to 44% less than the defined contribution costs to provide the same levels of retirement benefits.
  • NASRA Report --- NASRA State and Local Gov. Spending
    This report documents a finding that less than three percent of all state and local government spending was used to fund local public pension benefits in 2009. In addition, the report states that public retirement systems distributed more than $175 billion in pension benefits, an amount more than doubt that paid by taxpayers through their cityís employer contributions. For Texas, the report indicates that only 1.95% of all state and local government spending in 2008 were taxpayer contributions to public employee pensions.
  • NCPERS Research --- NCPERS 10 Advantages of DB Plans
    This research paper provides the top 10 reasons that taxpayers should continue to view defined benefit plans as cost-effective means of attracting and retaining a public workforce