TITLE

Why West Virginia Retired the 401(k)

AUTHOR(S)
Long, Cindy
PUB. DATE
March 2012
SOURCE
NEA Today;Spring2012, Vol. 30 Issue 4, p38
SOURCE TYPE
Periodical
DOC. TYPE
Article
ABSTRACT
The article discusses two teacher retirement plans, the defined benefit (DB) pension and the defined contribution (DC) plan, which is like a 401(K). The article discusses West Virginia, where Governor Gaston Caperton switched newly hired teachers from DB to DC in 1990. The article says the DC plans lost most of their savings in the stock market crash of 2008 and teachers who had switched were unable to retire. The article says 401(K) plans were meant to provide tax breaks for executive officers.
ACCESSION #
75044263

 

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