Letter: State’s retirees deserve long-awaited retirement income boost

To the editor:

Inflation has made it increasingly difficult for all of us to pay for groceries, mortgage payments and gas for our cars. Public retirees aren’t exempt from the pressures of higher costs for goods and services.

State retirees participate in a defined-benefit plan that provides a meaningful but modest monthly income. The average annual benefit is about $21,000. For local government retirees, the average is only $12,000.

The state pension plan was in dire straits a few short years ago. Fortunately, legislators have in recent years provided additional employer contributions to address the solvency crisis. The state pension plan is expected to be fully funded by the late 2040s.

This is scant comfort for today’s retirees. It has been 12 long years since the most recent pension inflation adjustment payment was provided. Real pension income has since dropped by one-third.

In the 2024 legislative session, public retirees in Kentucky will seek a one-time extra monthly pension check to help defray a portion of the loss of real income. Given the record Rainy Day Fund, the new revenue from legalized gaming, and the improving fiscal condition of the state pension program, the time is now for a one-time extra pension check.

Jim Carroll
Frankfort