California pensions to be 5 times the tax revenue by 2012

Wow, I think California is going to resemble Greece here shortly. Wonder how they are going to pay the government officials and the illegal alien welfare benefits at the same time. Or the thousands of other Moonbattery ideas they have.

Link-California Pension Promises May Top Taxes by Fivefold, Milken Study Finds

Snippet-

California, which has the largest U.S. public-pension fund, faces liabilities that may exceed its annual state-tax revenue fivefold within two years unless lawmakers rein in benefits, according to a study.

To keep their promises to retirees, the California Public Employees Retirement System, the biggest plan, the California State Teachers Retirement System, the second-largest, and the University of California Retirement System may have combined liabilities of more than 5.5 times the state’s annual tax revenue by fiscal 2012, according to the study released today by the Milken Institute. Levies are forecast to reach about $89 billion in the year that began July 1.

So, the leeches on the government dole are going to use up 5.5 times the quantity of taxation in just two years.

Hmmm, anyone want to tell me how that is going to be taken care of?

Anyone, anyone, Bueller, Bueller........................................

California, if you have not realized this yet, YOU are NOT allowed to print money.

Only the idiots in Washington are allowed to buy their own debt.

QE coming to a Wiemar Republic near you.

Originally posted by saltheart foamfollower

So, the leeches on the government dole are going to use up 5.5 times the quantity of taxation in just two years.

Hmmm, anyone want to tell me how that is going to be taken care of?

Anyone, anyone, Bueller, Bueller........................................

Much, much more immigration, legal or otherwise, will create more taxpayers and an incredible increase in revenue !

Am I right? Do I win a prize ?

reply to post by eNaR


much much more immigration will lead to much much more entitlement programs more bloated government and more unfunded pensions.


california doesnt get it and alot of people who dont get it but someone who does get it is the op.


california the blind leading the clueless all the name of power meh

I think they'll be looking to bump off the pension receiving generation sometime soon.

Many developed Countries, including mine in the UK are facing the same problem with an ever increasing ageing population. When the majority of the Country are either going through schooling or are into their retirement, leaving the working group to sustain them trough taxation, this will be unsustainable.

When the ageing population who are retired outnumber those that are in work, democracy in electing a government will be quite interesting.

Will the working group become slaves to the elderly?

Indeed. I was one of the first to harp on California 2 years ago. They are headed for a collapse and they refuse to let go of tried and failed Liberal policies.

Sorry California, NOT EVERYONE CAN BE A WINNER. And by trying to "help" everyone succeed, you've managed to become a loser yourself. California is the biggest example of what not to do. 500 Amendments to it's Constitution, a tax code large enough to rival the 70 or 80,000 pages of the US tax code, more laws on the books than the US, Canada, and Mexico combined...Every other item is up for referendum by a voting public that is so entitled to their government benefits and you people wonder why it's all coming apart at the seams?

Why am I singling out the Liberals on this one? Because, they're the ones who control California and have for some time. Michigan has been under Liberal control for 50 years, and look at it now. It's a third world country within a first world nation.

Originally posted by saltheart foamfollower
Hmmm, anyone want to tell me how that is going to be taken care of?

Easy, tax the rest of the nation to prop up the socialist utopia called California. You guys actually think that the elites are really going to let their bastion of power, money, and prestige slide into the Pacific? Socialist California won't be allowed to fail until others fail first.

reply to post by saltheart foamfollower


I think this may be scare propaganda to reign in a few votes for a certain prop that is on our ballot. All of those current retirees, and future retirees who have already paid into the system, are bound to vote yes out of fear.

reply to post by saltheart foamfollower


When a friend of mine was a school teacher here in CA, she had money taken from each paycheck to go to her retirement and it was managed by the state teachers union, NOT the state of CA. So the money that goes to pay a teachers retirement will not affect the states budget even though the state has tried many times over the years to try and take the money away from them to "help balance" the state budget.

Thought I would do a little more digging, here is a nice collection of information.

reason.org...

CalPERS reported a loss of $56.2 billion for the fiscal year that ended June 30, 2009. CalSTRS posted a loss of $43.4 billion in 2009. California taxpayers are on the hook for funding shortfalls not made up by pension fund performance or employee contributions, so taxpayers will be paying more to make up for these pension investment losses.

10's of billions, pretty soon they are going to be talking REAL money.

California taxpayers are paying pensions that exceed $100,000 a year to over 12,000 former state and local government workers, including more than 9,000 state and local employees covered by the California Public Employees’ Retirement System (CalPERS) and over 3,000 former school administrators or teachers covered under the California State Teachers’ Retirement System (CalSTRS).

$1,200,000,000 hmmmm, wonder how many more are on other pension plans, that the serfs are giving the government leeches money?

California taxpayers pay 85 percent of the health care premiums for most active state workers, 100 percent of the health care costs for most state retirees and 90 percent of health care costs for their families.

Glad the taxpayer can be there for those poor government officials.

The public pension benefit increases passed in 1999 via SB 400, which offered retroactive benefit increases to government workers, were supposed to cost $650 million in 2010. That figure was based on CalPERS’s assessment of its “superior return on system assets.” The actual costs of SB 400 to taxpayers: $3.1 billion this fiscal year and $3.5 billion next year. SB 400 passed by a 70-7 margin in the Assembly, and unanimously (39-0) in the Senate.

Hmmm, $650 million went to $3.5 billion, I think they were off just a TAD BIT with their figures.

Lots more sobering news at that link.

Here are a few more-

www.pensiontsunami.com...
www.prweb.com...
www.economicsjunkie.com...

Hey do not worry folks out there in the rest of the US. You are going to get your chance to dig deep to help out California, if you like it or not.

By the way, I wonder if they are still paying the City of Bell folks their salaries why they are awaiting trial?

And if you do not like it serfs, too bad, you are ultimately responsible for this. That is why you are called serfs. Now go eat your cake.

It used to be that a career in local government was considered to have job security, but it was not necessarily a ticket to the good life. That has obviously changed. Two recent articles in my hometown newspaper illustrate how far public pensions have spiraled out-of-control:

www.signonsandiego.com...
Cmdr. Glenn Revell, 58, ends a 28-year career with the San Diego County Sheriff’s Department....
Revell retires from a salary and benefits of $148,618 to an annual pension of $126,176. On April 2, he said, he and his family are moving to a home on 11½ acres in Jamul, where he plans to build a workshop and a stable for his wife’s horses. He hopes to surf, sail, tinker on his boat....

www.signonsandiego.com...
Sheriff’s homicide Lt. Dennis Brugos, 60, who retires Wednesday....
He makes $111,870 a year and will retire with an annual pension of about $97,300....

Now I am not on principle against a secure retirement for any worker, but these guys get well above 90% of pay for life. And the surviving widow will get a percentage of that until she dies. And these guys aren't even the top brass. And of course this kind of stuff is rampant in all the government departments, and at every level--local, state and federal. Outside of the executive suite, does any worker in the private sector make anything close to these stratospheric levels?

I guess, after 'serving' the people for so long, they now are entitled to rape the public.

reply to post by projectvxn


You're pretty right in most regards to this. California has a serious problem managing its revenue.

You can't pin it all on the 'liberals', there are plenty of conservatives in the state as well. Just look at the gridlock every year between one side of the house and the other when the budget comes up in Sacramento. California's probably the best example of giving too much power to voters. Admit it, uninformed voters can be dangerous. California can barely raise taxes because in order to do so they have to put it up for popular vote every two years. If it doesn't pass, no extra revenue.

An intelligent person would realize that if you want more benefits you need more revenue. California's full of people who are of the mentality that taxes=bad while entitlements=good.