"A recent study of some 126 state-sponsored pension plans by the Center for Retirement Research revealed that assuming investment returns of 6%, the plans will run out of money by 2023 or 2025, depending on their framework.
Assuming an even more generous 8% investment return, the plans will run out of money in 2033 or 2041."
Should you take out your public pension funds and reinvest on your own?
Investment News
"The Ohio House of Representatives is weighing a slate of changes to the state's five public pension plans, including tying the cost-of-living-adjustment to the Consumer Price Index and capping it at 3%, instead of an automatic 3% increase.
Another part of the law would raise contributions by police officers and firefighters to 12%, from 10%, and raise the age at which employees could take their full pension to 52, from 48."
Although I retired at 60, it looks like today you should plan to work to 65 or 70, unless you've put aside other funds, as we had done. I don't regret a minute that I've had those 10 good years of activities and travel I enjoy--on the other hand, retirement is much more expensive than I imagined. I'm thankful I was able to sock away 15% in tax deferred plans, and for many years learned not to use my income which would have resulted in a more materialistic lifestyle.
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