Open Government
WPC's Center for Government Reform's mission is to partner with stakeholders and citizens to work toward a government focused on its core functions while improving its transparency, accountability, performance, and effectiveness for taxpayers.
What's New
SB 5851: Creating a Defined-contribution Retirement Plan Option for Public Employees
Jason Mercier, Director, Center for Government Reform
, March, 2013Introduction
A long-standing Washington Policy Center recommendation is that the state transition from costly defined-benefit pension plans to a stable defined-contribution retirement plan for new state employees. A defined-benefit plan promises workers they will receive a certain dollar benefit level every month after they retire, while a defined-contribution plan provides workers a stable contribution toward the pension during their working life, along with tax-free employee contributions, which the worker can draw from during retirement.