Clarifying the View of Retirement Debt
"And then there's OPEB.
Barclay's did not include the unfunded liabilities of state and local retiree health coverage obligations (OPEB or 'other post-employment benefits') which are at least double and likely triple the size of the unfunded pension obligations reported by the public funds using conventional actuarial methods.
If you add the OPEB obligations, then 'we have a problem, Houston' as the percentage of revenues required to defease retirement promises this way would then jump to 15 to 20 percent of an average employer's annual tax revenues."
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