We elect our representatives to Washington, D.C., to serve us, not enrich themselves. But according to a new report, that's exactly what our federal officials are doing -- at the expense of the American taxpayer.
Investopedia reports that while Americans struggle to fund their retirement plans, members of Congress have access to federal dollars that ensure an extremely comfortable retirement.
Congressional members are eligible for their own unique pension plans under the Federal Employees Retirement System (FERS), though there are other retirement benefits available, ranging from Social Security and the Civil Service Retirement System (CSRS). Currently, members of Congress are eligible for a pension dependent on the member's age at retirement, length of service, and salary. The pension value can be up to 80% of the member's final salary. In 2016, Congressional pay was $174,000 per year, which, at an 80% rate, equates to a lifelong pension benefit of $139,200. All benefits are taxpayer-funded.
Americans, by contrast, enjoy a much lower standard of living.
Few private employees have the option to contribute to an employer-sponsored defined benefit pension plan. Most have the option to contribute to a 401(k) or 403(b), while others may contribute to an employee stock ownership plan (ESOP) or some other retirement option. The median benefit for private pensions and annuities was approximately $10,000 per year in 2015. For those receiving Social Security and a private pension, median income was between $30,000 and $35,000 per year. As far as other retirement assets, research from the Federal Reserve in 2013 found that the median retirement account balance was $59,000 and the mean balance was $201,300.
Even while our federal representatives increase the national debt and financial burden on future generations, they're ensuring their own futures -- and that of their children -- is secure, and they do it using the tax dollars of hard-working Americans.
Enough is enough. Congress needs a wake-up call, and the people are pursuing just that via the Article V Convention of States movement.
A Convention of States can propose constitutional amendments that both limit federal power and force Congress to be fiscally responsible. These amendments can help ensure that Congresspeople don't misuse taxpayer dollars and give the people and the states real mechanisms for holding the accountable.
