Evening star. [volume] (Washington, D.C.) 1854-1972, 1912-03-03
CITE TEACHER FUNDS
Systems Discussed by Com
mittee of One Hundred.
SUGGESTIONS FURNISHED
Feasibility of Operating Pension
Plan for Government Clerks Said
to Be Shown.

Contending that the teachers pension
funds in operation in different cities and
states of the country furnish, valuable
suggestions as to the feasibility of main
tanning and successfully operating a re-
tirement and pension system for govern
ment employees. the committee of one
hundred. former Senator Dick director
has prepared series of statistical tables
illustrating the working principles OF
these funds.
1t is shown that over a year ago the
bureau of labor collected figures relating
to teachers pension systems, and they
were published as Senate document.
Statistics were then given for forty-six
separate pension funds, including twenty
one states and the District of Columbia.
In the list were three New England
states, three eastern states five southern,
six central and four hey ond the Missis-
sippi river. OF this number six states
maintained systems for pensioning all
public school teachers. These were Mas
sachusetts, Rhode Island. Connecticut.
New Jersey, Maryland and Virginia. In
three of them separate funds were kept
up to pension the teachers III the largest
city in the state-Boston, Providence and
Baltimore.
In several cities, it appeared. the sep
arate funds were maintained The list in
cluded thirty-three different cities, of
which New York state had the largest
number, nine Ohio had four, Pennsylva-
mia three and Minnesota two. The COM
mittee believes it is probable that other
systems have been established since the
publication of this report.
Of Recent Origin.
These systems are OF comparatively
recent origin. Only three cities. Boston,
Cincinnati and Philadelphia, had them in
operation as early as 1890. and by 1895
only five more had been established.
There were sixteen in operation before
1900, while twenty-five have been started
since 1905.
The committees report shows that
there is the greatest variety in the es-
sential features. of these pension sys-
TENS, and many of them have been ma
gurated. 1t is believed to be likely that
other changes must be made before all
of them will be established on a firm
financial basis. 1t is realized that a
pension system must be actuarially
sound IL it is to survive, and while an
expert might detect weaknesses at a
glance, the fatal defects which may ex-
list in the cases Of most of these teach
ers' pension funds, may not appear for
years.
with administration costs eliminated, a
teachers pension system cannot with
safety charge less for an annuity than
life insurance company. The impor-
tance of this fact is emphasized because
So per cent of the teachers pension funds
are maintained Jointly by the teachers
and the municipality or the state in
which they teach. or entirely by the
voluntary contributions of the teachers
themselves. In nine cases, the report de-
clares, The teachers pay all, while in
seven they pay nothing, among the latter
being the state pension systems of
Maryland. New Jersey and Rhode Island,
the permanent pension fund of Boston,
the pension system of Charleston, s. c.,
the retirement fund of the College of the
City of New York and the El1xin fund
in Philadelphia
The Elkin Fund.
The Eikin fund is a pure benefaction
being a donation of 81 10000 and from
the interest an annuity of 800 Is paid
teachers Of twenty-five years service
who are incapacitated and are without
means of support" The pension fund
for the College of the City of New York
pays generously and Is supported entire
~ by the city. Rhode Island and New
Jersey pay adequate pensions. one-half
the average pay Of the past five years.
specified in the former state to be not
over $500 a year. Maryland appro-