Tagged: nancy derringer

There’s an ongoing debate about how to sustainably fund the Michigan Public School Employee Retirement System.

According the Bridge Magazine, an online publication of the Center for Michigan, the retirement system is underfunded by $45 billion.

Bridge Magazine staff writer, Nancy Derringer, has taken an in-depth look at this issue.

Derringer notes that Senate bill 1040 would change the way the retirement system is funded. "If you are a new employee your contribution to the retire system would increase to 8%. And they currently pay 3 and 6.2 % of their salary. And then if you are a retiree you currently have your health care premiums 90% paid by the state and you pay 10%, that would switch to 80/20."