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“Defined benefit plans are the ones that have cost problems because they promise a certain monthly pay out upon retirement. but because of medial advances people are out-living the money set aside for the pension benefit so it costs more than what was put to the fund. Additionally, Congress sets the tax code that limits what companies can pay into the pension funds so the funds are under-funded. Less pension expense, equals less company expense deductions, equals more taxable revenue, equals more taxes to the Government (see the MAP-21 legislation)”

From a Republican in Denver, CO
In reponse to: Should pension plans for federal, state, and local government workers be transitioned into privately managed accounts?

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