Pension plans

Pension Funding Equity Act of 2004

atraub — Tue, 25 Sep 2007 12:54:39 -0400

Legislation

The middle class

Supports

Video Summary

Injustice Facts

Number of Americans who have a defined benefit pension plan paid for by their employer: 34 million
Minimum number of private employer-sponsored defined benefit pension plans in 1975, when the Employee Retirement Income Security Act (ERISA) became effective: 100,000
Maximum number of plans today: 31,000
Percentage of large employers that would either freeze their defined benefit pension plan or convert it to a defined contribution plan if the interest rate change in this legislation were not enacted: 39
Percentage of large employers who have frozen their pension plans in the last two years: 15
Size of the private pension deficit: $450 billion

Overview/Summary

Middle Class Position Analysis

The Middle Class Supports: A secure retirement after a lifetime of hard work is one of the cherished goals of the American middle class. Yet the decline of the stock market, large-scale corporate fraud by companies like Enron and Tyco, low interest rates and the growing number of retirees have combined to produce shortfalls in the defined benefit pension plans of many American companies. This bill is a stop-gap measure that shores up pension plans for two years to enable businesses to build up their pension resources and gives Congress time to formulate a more permanent solution for the pension deficit. Without this temporary solution, more of the 34 million mostly middle-class Americans who have a defined benefit pension plan paid for by their employer would see their plans discontinued or their benefits frozen. Yet the fix offered by this bill does little to ensure that businesses meet their pension obligations in the long term. The retirement security of millions of middle-class workers and current retirees depends on Congress taking further action to reform the laws meant to keep the plans solvent.

Quotes from Experts

Beyond this Bill

Additional Resources

Deficit Reduction Act of 2005 (House vote)

atraub — Mon, 24 Sep 2007 12:53:19 -0400

Legislation

The middle class

Opposes

Video Summary

Injustice Facts

Estimated amount of child support that will go uncollected over five years due to this bill’s cuts to enforcement budgets, according to the Congressional Budget Office (CBO): $2.9 billion
Amount of additional childcare funding the CBO estimates states would need over five years to provide programs enabling welfare recipients to meet the new work requirements in this bill: $8.4 billion

Overview/Summary

Middle Class Position Analysis

The Middle Class Opposes. Hurricane Katrina’s devastating aftermath starkly revealed the deep inequalities and entrenched poverty that still afflict our nation. In the wake of the disaster, many hoped that Congress would renew its focus on the hurdles faced by low-income Americans struggling to attain a measure of middle-class security. In the midst of a prolonged budget fight that continued well into 2006, Congress instead approved this legislation, providing inadequate funding to Katrina survivors and imposing arduous new work requirements on welfare recipients while cutting back on programs like Medicaid, foster care and child support that ensure the nation’s poorest and most vulnerable children get a fair and healthy start in life. At the same time, the budget squeezes new government recepits from financially-strapped parents and college students paying student loans, increasing financial hardship for those striving to get the education that can enable them to enter the middle class. While reducing deficits was the pretext for this budgetary attack on the aspiring middle class, the bill’s supporters conveniently ignored the fact that these deficits originated in Congress’ own frequent rounds of tax cuts for the wealthiest Americans, more of which were set to be approved in 2006. Slashing services for the poor to finance tax cuts for the rich is a recipe for shrinking the American middle class.

Quotes from Experts

Beyond this Bill

Additional Resources

Deficit Reduction Act of 2005 (Senate vote)

atraub — Mon, 24 Sep 2007 12:38:59 -0400

Legislation

The middle class

Opposes

Video Summary

Injustice Facts

Estimated amount of child support that will go uncollected over five years due to this bill’s cuts to enforcement budgets, according to the Congressional Budget Office (CBO): $2.9 billion

Amount of additional childcare funding the CBO estimates states would need over five years to provide programs enabling welfare recipients to meet the new work requirements in this bill: $8.4 billion

Amount of childcare funding the bill provides to meet the requirements: $1 billion

Estimated number of child care slots for low-income families that would be lost by 2010 as a result of the shortfall: 255,000

Maximum co-pay states were usually allowed to charge low-income Medicaid beneficiaries for medical services and prescription drugs prior to this bill: $3

Co-pay a family of three with an income of $24,500 dollars could now be expected to make for a day of hospitalization, according to the Center on Budget and Policy Priorities: $320

Cost increase per $10,000 borrowed for parents taking out PLUS loans to help their children attend college due to this bill: $382

Pension plans

Pension Funding Equity Act of 2004

Legislation

The middle class

Video Summary

Injustice Facts

Overview/Summary

Middle Class Position Analysis

Related Blog: Header

Quotes from Experts

Related Blog: Text

Beyond this Bill

Related Blog: Link

Additional Resources

Deficit Reduction Act of 2005 (House vote)

Legislation

The middle class

Video Summary

Injustice Facts

Overview/Summary

Middle Class Position Analysis

Related Blog: Header

Quotes from Experts

Related Blog: Text

Beyond this Bill

Related Blog: Link

Additional Resources

Deficit Reduction Act of 2005 (Senate vote)

Legislation

The middle class

Video Summary

Injustice Facts

Overview/Summary

Middle Class Position Analysis

Related Blog: Header

Quotes from Experts

Related Blog: Text

Beyond this Bill

Related Blog: Link

Additional Resources