4 ms·
Pensions are typically not paid based on average teacher salary, but paid based on terminal teacher salary. Defined benefit pensions are quite different from a
by andrewprock 4y ago
Pensions are typically not paid based on average teacher salary, but paid based on terminal teacher salary. Defined benefit pensions are quite different from a 401k.
In our district, once you qualify for a pension you get 2% of your terminal salary per year you work. If you work for 40 years, you will be paid 80% of your last year's salary.
- light_hue_1 4y agoI don't understand this reply. I quoted you the actual statistics for MA. https://www.teacherpensions.org/state/massachusetts https://www.teacherpensions.org/state/massachusetts Teachers pay into the system, quite substantially, at rates that are similar to what you would pay for a 401k. And their average pensions are quite low.
- andrewprock 4y agoThe formula on that page is a fixed benefit based, not on average salary, but the average salary at the end of the teacher's career - last five years. This is nothing like a 401k.