Chicago Pension Situation Improving Says Mayor: Careful Analysis Uncovers Lies | MishTalk
Oh, wait, that was a Friday news dump, so it was designed to hide the ball. The ball Emanuel is hiding is the fact that the city is not making necessary pension contributions today, but is deferring them to the future, long after Emanuel will be gone. This is another story of the Boomers simply acting fiscally irresponsible, and forcing the Millennials to pick up massive payments in the future.
So what does that generational fraud look like? This:
The city will never catch up to these payment problems with this approach. It must get ahead of the problem, and contribute the necessary amounts to fund these pensions today, not long in the future. Millennials will rightly see this as an attempt to allow Boomers to live high on the hog today, press the city's current bills into the Millennials future, expect the Millennials to accept these payments, and accept the fact that they will never have the rich benefits enjoyed by the Boomers.
When this finally explodes, it will hurt many Boomers. I suggest making sure your retirement savings are sufficient regardless of undependable external benefits like pensions, and Social Security benefits. Fair warning.