The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1916-01-04
BRIEF OUTLINE
OF PENSION LAW
FOR EDUCATORS
Widespread Interest In Measure
Prompts Mr.. Kinney To Sum-
Marie Provisions -.
MINIMUM PENSION
CREATES OPPOSITION
Prospective Pensioners Must
Apply Before May Meeting of
Board Of Education

SO much interest has been shown in
the pension law by the teachers of the
territorial department of public 10
struction, that Superintendent Henry
W. Kinney has compiled and published
a brief summary of the law for the IN.
formation of the educators. 1t is as
follows:
Any teacher now in the service Of
the department can become an appli.
cant by paying one per cent year Of
her salary, payable in two emi-annual
installments Of One.half per cent each,
provided however, that she must be.
come an applicant before July !, 1916.
If she desires to enter later than that
date she cannot be given credit for ser.
vice rendered in the department pre-
vious to the date of entrance.
The department may retire a teach
er who has served in the schools of the
Territory twenty-five years, of which
twenty must have been spent in the
public schools.
Amy teacher may retire voluntarily
who has served thirty years in the
schools of the Territory or in the
United States, provided twenty years
have been spent in the public schools
of the Territory.
Funds To Be Secured
THE funds from which the pensions
are to be paid will be secured as fol.
lows:
1.-Two and one-h half per cent of the
school tax will be set aside for this
purpose. The total school tax in 1914
was about $l2O.O 900,
- Assuming that the tax will he
about the same this year, the amount
available for the pension fund will be
$4,000. -.
Approximately $50 teachers are
taking advantage of the pension act,
while the average pay of teachers in
this Territory is 1908 year. 1t Is
safe to assume that the salaries of the
applicants, who are most of them teach.
ers who have been in the service for
a considerable length of .timc, run
higher than this amount, say $1,000
year. This will make the annual con.
tribution from the teachers amount to
s2500 s.
Contribution By Teachers
1.-THE act also provides that teach.
er who becomes ,pensioner must have
per cent of her salary per annum at
the time of her retirement. BY -.
'If we take the ten oldest teachers
in the service and their salaries as an
example, we find that, if these teachers
should all retire on July l, 1916, the
twenty per cent contributed by them
would amount to $4,000. W.
,u, nTh hi s wSSId give a total to start
1.-THE objection has been raised in
some quarters that the maximum pen,
sion of $400 is an amount which the
recipient cannot live on. As q matter
of fact, the legislature did not intend
It to answer that purpose, but it did
intend to provide an amount which
would be of material assistance when
taken together with such other savings
as the teacher might have accumulated.
Teachers Not Improvident ~ st
Preachers are, of course, not regard
ed as being more improvident than
other people. 1t is presumed that they
make as wise provision for old age as
do others. As a matter of fact, $500
a year is equal to the annual interest
on 10000 at savings hank rates; AMI
a prominent banker informed me the
other day that ordinarily the premium
on an endowment policy, paying $400
a year after twenty-five years, would
cost about $I25 year, or total, after
twcnty.fv years, of 1913 and in this.
ease the amount paid in is lost If the
policy holder dies or gives up the pro
position, whereas in the case of the
TEACHER who dies or changes her mind,
one half of the sum is refunded to her
hers. However, | am not here TO de,
fend or criticise the act but TO explain
it and to answer questions which you
may make concerning 1t to the best
or my ability. ~. n b,
Must Apply Before May "
"In the meantime, IL is my intention
to ask the commissioners to consider
several features in connection with the
Act. shall probably propose that
those who wish to retire aud TO have
their pensions begin in July, must
make an application to this effect in
time to allow its submission 70 the
May meeting of the commissioners, and
it probably viii be found advantage.
Gus, in order to avoid complications, to
have the May meeting of each year set
aside as the meeting at which such
matters are decided upon. 1t win Also
he necessary to make /, arrangements
iur blanks to be furnished the appli'
cants, on which they can furnish the
necessary data relative to when and
" here they taught, etc.