UC = University of Chinese International Cash Cows
http://www.latimes.com/local/lanow/l...924-story.html
As parents and students start writing checks for the first in-state tuition hike in seven years at the University of California, they hope the extra money will buy a better education.
But a big chunk of that new money perhaps tens of millions of dollars will go to pay for the facultys increasingly generous retirements.
Last year, more than 5,400 UC retirees received pensions over $100,000. Someone without a pension would need savings between $2 million and $3 million to guarantee a similar income in retirement.
The number of UC retirees collecting six-figure pensions has increased 60% since 2012, a Times analysis of university data shows. Nearly three dozen received pensions in excess of $300,000 last year, four times as many as in 2012. Among those joining the top echelon was former UC President Mark Yudof, who worked at the university for only seven years including one year on paid sabbatical and another in which he taught one class per semester.
How a pension deal went wrong and cost California taxpayers billions
The average UC pension for people who retired after 30 years is $88,000, the data show.
The soaring outlays, generous salaries and the UCs failure to contribute to the pension fund for two decades have left the retirement system deep in the red. Last year, there was a $15-billion gap between the amount on hand and the amount it owes to current and future retirees, according to the universitys most recent annual valuation.
I think this years higher tuition is just the beginning of bailouts by students and their parents, said Lawrence McQuillan, author of California Dreaming: Lessons on How to Resolve Americas Public Pension Crisis. The students had nothing to do with creating this, but they are going to be the piggy bank to solve the problem in the long term.
Rest at link.
http://www.latimes.com/local/lanow/l...924-story.html
Quote:
As parents and students start writing checks for the first in-state tuition hike in seven years at the University of California, they hope the extra money will buy a better education.
But a big chunk of that new money perhaps tens of millions of dollars will go to pay for the facultys increasingly generous retirements.
Last year, more than 5,400 UC retirees received pensions over $100,000. Someone without a pension would need savings between $2 million and $3 million to guarantee a similar income in retirement.
The number of UC retirees collecting six-figure pensions has increased 60% since 2012, a Times analysis of university data shows. Nearly three dozen received pensions in excess of $300,000 last year, four times as many as in 2012. Among those joining the top echelon was former UC President Mark Yudof, who worked at the university for only seven years including one year on paid sabbatical and another in which he taught one class per semester.
How a pension deal went wrong and cost California taxpayers billions
The average UC pension for people who retired after 30 years is $88,000, the data show.
The soaring outlays, generous salaries and the UCs failure to contribute to the pension fund for two decades have left the retirement system deep in the red. Last year, there was a $15-billion gap between the amount on hand and the amount it owes to current and future retirees, according to the universitys most recent annual valuation.
I think this years higher tuition is just the beginning of bailouts by students and their parents, said Lawrence McQuillan, author of California Dreaming: Lessons on How to Resolve Americas Public Pension Crisis. The students had nothing to do with creating this, but they are going to be the piggy bank to solve the problem in the long term.