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Grounds Keeper Willy

Huge IOMG pension contribution short fall

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20 minutes ago, Phillip Dearden said:

However, I think that by funded most people mean that there is a separate ring-fenced fund manged by trustees into which contributions are paid and out of which pensions are met. If this is what you mean by funded, then none of the Government schemes are funded - except the Post Office (and SPCo, if that is included as govt).

Actually I suspect most people would assume that funded would mean there is a separate fund.  Which there is, and while it is not nominally ring-fenced, I don't think that it has been used for any other purpose except pensions.  Though of course ring-fencing has hardly been infallible in protecting private company pension schemes in any case.  The problem is simply that not enough money has been put into this fund.

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Separate fund? Where?

Do you mean the PSEPR? This does exist and does include some assets so I guess you could call it a fund but it is not at all similar to most pension funds in  that;

a) it is not under separate control

b) employer contributions do not go in here

c) employee contributions do not go in here

d) pensions are not paid out of the PSEPR (and could not be).

The PSEPR is about 109m and is an allocation of both Government Reserves (ie bottom half of Balance Sheet) and Government Investments (top half of BS). It is really a re-labelling of some government cash and reserves...but you could call it a fund if you wanted.

The last audited accounts (2018) showed a pension liability of 3.7bn. The PSEPR is a gesture towards funding this. The real problem is that neither employee or employer contributions were put in a separate place to fund the pension liability. When there is no fund, the concept of an employer contribution is odd, the pensions are funded in full by the employer out of current revenue, some of this is then charged to the PSEPR.

 

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1 hour ago, Donald Trumps said:

Snob

DT, I am far, far from being a snob. I am from a commissioners house and so is my wife, so please don’t pigeon hole me. Only the people who have to work for a pittance need to be in what you call social housing.

The many young people earning average money could afford to buy their own if they had a leg up from Government. My daughter , as a single person, does not earn enough to get a bank mortgage, yet too much to qualify for the Gov. scheme. If she produces a child as a single parent she gets more help for a Gov. one and could get one tomorrow, even though she won’t be able to earn the same money. That is mental.

We have a nice house now, only because my wife, when single, worked more than one job and obtained the points for what was then a completely different set up regarding mortgages.

For some reason now, the Government seem to prefer everyone to pay high private rents that prevent our young folk being able to save for the deposit for a loan while trying to pay the rent and feed themselves. 

Too many backs being scratched in my humble opinion.

 

 

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25 minutes ago, Phillip Dearden said:

Separate fund? Where?

Do you mean the PSEPR? This does exist and does include some assets so I guess you could call it a fund but it is not at all similar to most pension funds in  that;

Well it's called the "Public Service Employees Pension Reserve".  So you can see why people might think it is a reserve for pensions and is the equivalent of a separate fund in the private sector.  And if it hasn't been managed in the same way as a proper pension fund then that is surely the fault of successive governments and those civil servants advising them.

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Perhaps worth reminding ourselves that the shortfall in the pension funding was first flagged up by one A. Bell in his capacity as Treasury Minister in 2006. At that point the liability was circa £1Bn. We were advised that matters were under control.

Thirteen years on, the liability has reached well over £3Bn. Apart from a flawed attempt to unify the various schemes (GUS), what else was done during that period? The fund is due to be totally depleted in 2021, with IIRC, liabilities rising in various amounts up to and beyond that point.

Thirteen years.....

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57 minutes ago, Non-Believer said:

Perhaps worth reminding ourselves that the shortfall in the pension funding was first flagged up by one A. Bell in his capacity as Treasury Minister in 2006. At that point the liability was circa £1Bn. We were advised that matters were under control.

Thirteen years on, the liability has reached well over £3Bn. Apart from a flawed attempt to unify the various schemes (GUS), what else was done during that period? The fund is due to be totally depleted in 2021, with IIRC, liabilities rising in various amounts up to and beyond that point.

Thirteen years.....

I firmly believe it hasn't been fixed because it can't be fixed and they know it!

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1 hour ago, dilligaf said:

DT, I am far, far from being a snob. I am from a commissioners house and so is my wife, so please don’t pigeon hole me. Only the people who have to work for a pittance need to be in what you call social housing.

The many young people earning average money could afford to buy their own if they had a leg up from Government. My daughter , as a single person, does not earn enough to get a bank mortgage, yet too much to qualify for the Gov. scheme. If she produces a child as a single parent she gets more help for a Gov. one and could get one tomorrow, even though she won’t be able to earn the same money. That is mental.

We have a nice house now, only because my wife, when single, worked more than one job and obtained the points for what was then a completely different set up regarding mortgages.

For some reason now, the Government seem to prefer everyone to pay high private rents that prevent our young folk being able to save for the deposit for a loan while trying to pay the rent and feed themselves. 

Too many backs being scratched in my humble opinion.

 

 

You don't know what I'm calling social housing

You're just automaticalling biased against the idea of it

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4 minutes ago, Donald Trumps said:

You don't know what I'm calling social housing

You're just automaticalling biased against the idea of it

How many ways can you describe social housing. Are you from the DDR ? Explain yourself then.

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5 minutes ago, Donald Trumps said:

I'm not 'explaining' myself to you. Fuck off

Quoted for further use. Thank you for your reply.

edit to ask if you have a Corpy house, a place in 

Spain and a motor home ?

( and a big income )

Edited by dilligaf

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9 hours ago, woolley said:

A concerned government employee told me that a few years ago the small print on a yearly government update on his pension status had subtly changed from "The Isle of Man Government will pay....." to "The Isle of Man Government will endeavour to pay....." As he said at the time, one word, big difference.

Sounds good to me. Shows somebody in Government in a position of power over these things has an idea of what is going to be necessary in the future.

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Saving the pot for the current lot who retired early not having paid a penny in, over the last years civil servants pay 10% into their pension to get less pension than their old colleagues.   Better to not contribute and let benefits top you up in the future.

The old guard should have their cheques stopped after the mess they left over last 20 years.

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7 minutes ago, buncha wankas said:

Saving the pot for the current lot who retired early not having paid a penny in, over the last years civil servants pay 10% into their pension to get less pension than their old colleagues.   Better to not contribute and let benefits top you up in the future.

The old guard should have their cheques stopped after the mess they left over last 20 years.

You aren’t actually a bunch are you ? Just a singular one.

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9 minutes ago, dilligaf said:

You aren’t actually a bunch are you ? Just a singular one.

You think those that let this happen should be allowed to walk away with what is essentially a win on the lotto?

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13 minutes ago, finlo said:

You think those that let this happen should be allowed to walk away with what is essentially a win on the lotto?

I think everyone is 100% entitled to what was in their job description. All those who thought the Civil Service was for losers are sick as fuck now that they chose higher paid jobs ( at the time) and now have next to fuck all for a pension. Read it and weep.

Every single job in the CS was open to anyone qualified. Most moaners on here were not educated enough to apply for most jobs, so don’t qualify to complain. So fucking boring reading the same old same old every day about the  pensions .

If you were clever enough to get a job in the CS and didn’t, then blame yourself not the ones who got the jobs.

edit to add that it not directed at you Ffinlo.

Edited by dilligaf

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