It's hard to believe that a year has passed since I completed my service as a mathematics teacher for Chicago Public Schools, and my fourth term as an active Teacher Trustee on the Chicago Teachers' Pension Fund. Yesterday, as we were bringing in the new year, I was asked to share what I am most grateful for. The first thing that came to mind was, "I'm grateful and hopeful for having the opportunity to continue my fiduciary and socially impactful work in 2024." Retirement is a significant milestone in an educator's career. It marks the end of their teaching journey and the beginning of a new chapter in their lives. In Chicago, teachers usually retire after completing several years of service and reaching a specific age. Upon retirement, teachers may be eligible for various benefits when they are part of a Defined Benefit retirement plan. These benefits include a pension, healthcare coverage, and other benefits that are constitutionally protected. For more information on this, please visit the website. A Defined Benefit plan, more commonly known as a "pension," is crucial for teachers to ensure their financial stability during their retirement years. It involves saving our earned income as a community throughout your teaching career. It is a guarantee of retirement certainty and security. Unfortunately, laws were changed that affected those who started their teaching career with Chicago Teachers after January 1, 2011. In our work to restore CTPF, we are asking for this law to be repealed. Teachers may also consider making informed decisions about their supplemental retirement finances, such as 403(b) plans. (403(b)s are earmarked for non-profit organizations and certain government employers, while 401(k) plans are offered by for-profit companies). In addition to financial considerations, retirement can also bring about lifestyle changes. Many retired teachers choose to pursue hobbies, travel, or engage in volunteer work. Some may even continue to be involved in education by becoming mentors and tutors, or working as guest teachers in schools. Overall, teacher retirement is a well-deserved reward for their years of dedication and service in shaping the lives of students. Most importantly, it provides the well-earned and gold standards for teachers. What does retirement mean to you? As for me, it provides time to think about what I find purposeful and reflect on my other interests such as art. I created this piece with a broken lamp, unused candle holders, and Play-Doh. Even though the lamp was broken, it has not outlived its usefulness. Every time I flip the switch, it lights up the room.
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These is a thoughtful perspective on retirement for teachers. The union says to repeal Tier 2 and make a decent retirement a possibility for all our members, we need to focus on revenue. What are your thoughts on that?
ReplyDeleteTo ensure that all Chicago Public School educators receive an equitable constitutionally protected pension, the damage that was intentionally done must be repaired. I understand that the focus needs to be on revenue and that the Chicago Teachers’ Pension Fund (CTPF) must be made whole faster than we have been promised.
DeleteTo achieve this, we the members must engage with our fiduciary. We must ask that clear, concrete, and verifiable data be readily available for our due diligence process. We must hold our fiduciaries accountable for keeping the basic funding equation of C+I=B+E balanced, where C represents contributions (Employee, Employer, and other Statutory compensation), I represents investment income, B represents benefits, and E represents expenses.
Improvements in mitigating Benefits errors, such as over and underpayments, and reducing expenses will help improve our funding ratio. When CTPF does its part to improve the funding ratio then the revenue that is needed from the employer will be less.
In short, we need to make improvements on both sides of the basic funding equation and the relationships.