Try 3 months for $3

Arnie Roblan recently proposed changing PERS for new employees to a 401K plan. I would heartily endorse this only if the plan is handled by private entities such as Vanguard, Charles Schwab, Fidelity and others. PERS is an unmitigated disaster, doomed to failure.

Currently, for every one dollar going into PERS, three dollars are being paid out. Promises made by PERS were unsustainable. It’s too bad the people who made those promises can’t be held accountable.

Most defined benefit have gone away. Many have been bankrupted. The difference with PERS is the taxpayer is on the hook for the promises made by PERS.

My advice to people, especially current employees stuck in PERS, is not to put any voluntary money such as bonuses, pay increase, overtime or anything else in PERS. Open a Roth IRA and max out the contribution.

To new employees, embrace a 401K and learn everything you can about handling it.

Michael Boehme

North Bend

Subscribe to Breaking News

* I understand and agree that registration on or use of this site constitutes agreement to its user agreement and privacy policy.