Changes are Afoot in Trenton
Based upon Governor Christie's speech in early
February, it appears that major changes will be coming soon to state
pensions and medical benefits. Although it is unclear whether PRESENT
RETIREES will be affected, surely changes will be made to the pension
system for existing public employees. Among his proposals, Governor
Christie has suggested:
..A 1.5% of base pay/pension toward health-care benefits
..A change in the retirement/pension formula to include 60 as the
denominator (over years of service in the numerator) times the average
of the last FIVE years of salary to determine pension bases
..Possible limits of family benefits
Stay tuned! We will try to clarify Governor Christie's intentions and how the state legislature seeks to enact these "reforms." See the new page on the website: Pension/Health Benefits Update!
NO COST OF LIVING INCREASE
FOR 2010
The State of New Jersey has announced that there will be
NO cost of living increase for the year 2010. This decision is based upon a calculation of the Consumer Price Index for the period August 2008 to August 2009 when no increase was noted. This lack of increase may result in a slight decrease in pension benefits. Stay tuned as details become more clear.
Medco Prescription Plan
On January 1, 2010 our prescription plan was changed from Caremark to Medco. Please sign in with Medco and check that your prescriptions have been effectively transferred from Caremark. It will also be VERY important to check the list of preferred medications and any personal correspondence you receive from Medco. Some medications may require pre-approval or a generic form in order to enjoy the cost savings of the Medco plan. Please report any difficulties you encounter to the Executive Board of AFTR so we can share your stories and/or successes.