Figuring out how to pay for retirement plans might not be the most scintillating topic, but it’s a growing issue for Louisiana lawmakers. Here’s why:
Just as with Social Security, active workers pay into the system while retirees take money out. The difference between the pension plan’s cash on hand and how much will be paid out over time is known as the unfunded accrued liability, or UAL. In Louisiana’s state retirement systems, the UALs have grown a lot lately.