i
-r.-
-I-
-t-
-2-
/h_PENDIX -l-I I
-I-
1198 9833 EEl IiR _I I// Hlfi l__l_ POPUI.ST p_rm __ Ill _l_I I__I_ SI0ff_ _ rllFR r l
1_3EIII/HH5 _ POPIIS[IQ _ II I{_PEnsIll_
1933E]_I_iHS _ POPULBT _Irm H67PE]_IOH
19_3 19( EIII_{IS 1E3]_I/ cIImII_ff )I__ _FIQN P(]M[I_I_ SliN_ _ _ _PEIISIII EISI_ _ _ FIWT
198aE11_I/HI_ _ F_iUTIOmN _ HBY F'EI_IQI#
1983E]_IYlI_IS POPI)[I[[lOll _ _ PE]_I_SIJPPI
1983O_I/tl_ _ POPOOtII_ flN NRY P_I88 _J_
I983[]_I/tll_ _ POPd[Efl[]I _ I _ P[_IOll
1983EHI_ CI]_]T _L6HOB _ _ _I_ _
1983 E_ E_Ix}__CIE_'RT _P_UiTI_ T-_Ql_im= _ ed MAY PE]_Ifl# _ FPFRT
191_ [mq I_EI_I J] LO YE _ II_-I E/HH M_ T ]S [FI IlTT T UTT Iql l-1 _l_ IT IqRT l._ IIB O_N _Y [,E_Irm SB_
1983_tl/HH5_ _JIMiIm _ MY_I[M SII_NT
15_3 []g [_t0YEE 1_I] 983 EY {QI F_ E] [l_I¢_ IEIIEFIT [,, _=IH{¢5 ( TIIIRtI{JIT _UT Ulll lT lP_ILBTIOW IF Tl P gOPg IT l'III I{LBTI ]F{SI{Q oaS_ IIII time QUi E{{RY d7PYIPE _PE ]_I _I_ I_JP mSt]PI R mL]_
ETPLIIYE EEFITOlll I-Yl;ll(B-Co_imed
19_3l_I41_ CII{S}_P[W'IIJi[IOM _ II_ PI_II]I{SII'PBlllf I
Elll1)_ IEI_:ITUl-n17HTIR!
[]PU]iTlID £ [FIuTn T l?RIlmm 182O
Employer Benefit Tax Expenditures in the Administration's
[_X[][ ][]IEFlrr gill _iteeel
0_0_1983 ][]ili 08rIT I/H_ _ lT_[M- PSP £mItim ItT_ IOIt l SaY I!_ PI_IilB
01_nlt ME_lT Ulll_TIm
EI_t EIFU]YEE /)_YEE _ BTn _ 171TI-Im 17RTI[]#-C_imu_ l
E]_JYtEE lIE _ ]tOI'IT _IT[7HTI TI r'l_I_.g __,. timed mztimmd
[{W=,_OY _ E[ IITH {-/lITlgm-Cntim
[]PtJfYEI[][_ tll_ 171_m
15
7
,, ,, ,, :
Budget by Budset Function, Fiscal Years 1983-1985 ,
l I II I II ! I I { I :
I. Introduction 5
23
| l ! Abstract 13 12 162
I {' I List of Tables 1814 Ii 7
(In millions of doll Contents ars) a/
19 22 21 2_
CIUILI_ CIUI_ tROR _-I]R_ IO-ORO_ ',: _I_ER_Z I_ IM 0K; N[OFE ;P :_IP RI_Y h_ PEAL FEQLTH TH PL_ PL_ ::;:_X WITH I_ HEliLTH IIF_SLTH PPr L_in ::t _84.=ERS INCOM IHC i;tI0 Z_ 26E E
As a provider and encourager of benefits and economic security the 25
,, ,,
over',CIUI_ 80 percen : _t of ',TOT_ those FIGURE I_'S wi:t:hWIll _I he I_'S lalth_ _insurance _TOTFI 4011('S earning :: I_gIlll _IK'S: less ! than
that sound I be_ne_fit : A be incorporated 8(;F_S 35_ into (IO(E)I, Off[ this YE}#(l answer ,OOIH(N]Itt; as well as
I ', 8GF_S _ _ OUE_R, _ YI]IR, ISO0HO(JiS
Table 8
I.: Should : the tax law ', encouraKe em_mp_o_yers _ _ _ OUER, to _prov YIZF ideE1,000 fring 9 benefits{
EBRI
', I I ERIS{I WORib-TI)I_IE
CIUILIIIM l_OK}l)liC[ ',RUElal(_ IHCOMEI PE]'ISI_ COUEk'RG[ I ;:C_)UEREB I _ IMO_ME
I ,,', ,oI ,,I :I
: ', I : _ 3_P_ ', 0U_,0_ YE_,1,, 800
:', : CIUILII_ : I: ', I PIG_ZS 35_ERIS8 04JRORIO-ORCE E0_ R,YEI_, IOOO
',CIUIU_I: _ : ',:TOTEIB'S',:_ :WITHIR/_'',S__ISBWORXII]RCI_ ERISR ',TOTE W_RX} 4JlK'S ORCE 'JWITH : 'I_IK'SF:IU[RAGE
:CIUII_IJ_ i4(UH(FTINII CIUILI_ IRi](iIO'O ',IF_U IHCO#I_ E]tI I 2i_tRZiblGE IHICE E II_O(_4E ',', I IiE_I@E', ', ',IHCOHE
Table 12
Provision 1983 1984 1985
Em Conclusion: ployee :benefits CIUIL_ILI_ ',partly:ha_vebecause a',:longofhist tax orytincentives, in the United participation ERIS8 SRORKIq]RCE tates as inpart employer of a
IV. Do Tax Incentives EncouraKe Emplo Table yee Benefit 6 Availability?
: CIUIU_ I T. Table Table 5F ,a
arecipiency traditional fraction I among of CIUI_ benefits total today's )compensation like young pensions I workers increased and Tablehe(ages a3lth, at twenty-five an andaverage the newer annual to forms thirty-four) rate of of benefits 12.8 is
directly F. discretion spent in aryprobenefits duction. I that Table LessIprothan 4vide one-third retirement I ofincome the total Ias a stream level ooff
pension The •government Social funding CIUILII_ ICIUILI_ Security recognizes in_ anticipation _ retirement, II_the P, UEI_B(IE shortcomings li_0_ ofI_COME the employer IenPE]ISIOM actment of based _ these ofpensions ', the estimates ZEmployee _ thatand pay I Retirement _publishes lifetime IPMIOPN5
employer.large go', vernment CIUILI_ Asportion a result, Itakes might t' the steps escape ',only to tax attention assure I altogether thagiven t Ipromised duetotodate the benefits to :capital actual aregains per
Analysis possible. force--including $25,000 ',of CIU_ Ifthe they in Idistribution 198 young couldn't 83U .E]_GE workers ',work, ofand acoverage direct women--while public and vesting controlling social byexpenditure earnings total would benefits category be
Composition of lh=ployee Benefits by Benefit Group, 1982
I:CIUII_IINI WOIilO-ORO[ cost. _KFO_C[ CIUILII_I iINote: I _: OFHJEP.BGI_ II _IHCOE IO) :t employee Ei_ II: IMO]H benefits I:_ E: cI aI: n IH(_ accommodate E I:: different I:: workers II',IHO]_
and ',CIUILIR_ if ROR so,IO-ORCE which ',H4J benefits l_IGGE INOJIE', or services should be enc_u_q@__.and
nation pension al and 'co ,RORKI:IIROZ mmitment health: IHCOHE to insurance pro'v,idingplans', a bis ase high. of : economi Among :c full-time, security ', tofull-year :active
Table 1:0
nearly costs. twice I WORI_ORCE that ofI#_ workers IE]IMOOME tPAE whoI are retiring ) today I(see TableI 2 and Figure I i).
COMPARISON percent Table employee like Section between benefits OF 401(k) 1960 PARTICIPATION reported salary and 1982. reduction in the The Chamber long-term and newRATES ofdelivery growth Commerce of FOR approaches tax-favored data Paf__eALL (21.like 7 WORKERS benefits percent) Section
warnings Income Security payments about I the Act anduse (ERISA) for of which ', taxand expenditure tain xesresponse are',deferred numbers: to ERISA; until : netbenefits growth are I in pension received
S'TSIE Commerce exclusion benefits, and Housinfor K Credit: employer those: over based age 55.:pensions that ', provide Pa_e :for capital
employee indicates', ', cost RORKF-ORC that WORK}I]RC variation pensions _ £IBVI_BGE IEH(_Eare INCO_ has I broadly )been 'undertaken ,distributed [ ', very among ', Irecently lower Iand ', tomiddle assess ',',income (I)
Total more ............... likely. 98,963,821: $15,961._ ', 59,041,441: 59._ ', $19,33_44
:WORIO-DR_I_ II:IIIUH_E ',II', TOI' Table ll_l'S P_. ', 1', Ii %Will( ',PRIP li_l'S _FJII_TH IISR It?P_JEiI_I(E _ I1_IITOT WITH ',HEETH PL _IK'S _', :%', WIITH 8U_ _IK'SI_ tI
workers, workers, ', rates displaced of Icoverage and disabled :are TOTFK_ even I_'S workers, :higher. _WITH EmpI_'S loyerretirees, : PaIn yme _ nts1983,and ',TOTHI_ Emmore ployer401K'S their Pathan ymen ', tdependents WITH s_704BIK'S', percent and of
ExpandedHowemployer Much of pension Pension-Related and welfare Tax Deferrals plans over is Lost the past to thethirty Treasury? years have
: : Distribution :THIPOPU S LIFFI_IFi_EJ(II(_E of Workers IflC(l_ I PEI_I_ I _COU_I_E{ tAUO_EIHOOHE
I Utilization ', Rates IERISB k_I_ for]O-ORI] Voluntary [IIICl);1 I.PAContribution JII_(J_G F'E [ ]/_)I_ _ I ;:_ IAt)EIJIGE INCOME
STRIrelative [ to total Percent compensation Savings,_Pension )of I Workers growthCovered Co'veraKe, ,is IPRI_ presented byH[and i_g anPL_ In Employer Iin co :me, ;[ Table Wig1979 _Group 9. Pt_ ) : _ IMC0_
represent 125 flexible accumulation, delivered, discretionary I compensation thatandtax-favored I all plans. Individual workers benefits I have Retirement access, paid Accounts, :by and employers. that have expense I all In 1982, is been
approaches and health (including to planhealth participation; employer Employment care cost contributions Coverage and containment suddenandto increases and Vesting: defined (2) possible in benefit the employer pension disincentives plans cost ofand to
SmIE ', ', ',I : ',TOTFH. ',THIS IRa'S POPULSH0_IB4_b_GE ',_ WITH : IR£r'_SIIi _ERI%GZ COIH:E PEIISIO ',TOTSL 4OIK'S H',IZ ;:(X)4JERIZ WITH : 4&IK' ',I]_ERBG S: ] Ii_X)NE E
SOUTH workers: IiP_(OT ......... R 76 percent 30of 6,5all :-(7$1 :nonagricultural 3,324.47.', :PRII'_ _J_i_T wage 14_,8_ PL_ Hand : ;: 3: salary WITH45.94 HI_Learners TPL H;;_ :', I_$covered 17,tP_ II_.7by 6
:uniquely II',and can ',', ITOTII_ ', accommodate I_'S',_ I', WITH ',asI_'S different a Perc', I e: ntag _I_ e ofgeographic I ',TOTII_ Ias',a Pe 4@IK'S rcentage ',Z ) sections :WITH Iof NIK'SI I of',l] the 10)flE
what type and level of tax incentive is a_p_p_ro_riat_e?
Tota............... l I 98,963,8P_11 $15,%{.2Z: 16,7121837116.89_152J,346.05 I 2,?]3,44018.73_:$t_5,036.%
sur significantly full-time vi Exclusion vors. : full-year ofMost : interest improved Americ : onworkers a life n the _workers insurance : were incomehcovered ave ', security :PRIVY comebyE&TH to Ianof IlgO_ take PLSM employer current :the _',WITH presence Hpension Eworkers I&TH PLS_ : _of plan, 8UERRG and soci :aand INCO future lEINCONE and I90_E
I Retirement Benefits Paid: 1982 ......... 5
I I Retirement I Programs, I Employer I _UBtB(IE) I
I. • Estimates Introductionassume................... Covered no other by changes an Employer in the Group tax Health laws. I
tax-favored established toHealth defined benefits Low, Insurance Average contribution to totaled avoid andPlan High 9.0 this by Bnployer plans percent Level problem Contributions which of of Workforce while wages require to and seeking Discretionar payment Activity, salaries. y to meet in1982 thethe aform / national of an
SI)JI' group !)lik H ........ OThe Balth ) insurance _G,b-' Distribution /71 benefits. $13,324.417. by)The Earnings recent 148, forslower 7881 45growth .901_ Iof$16_ employer 091.66
To hiring Rising Cafeteria ta............... l• Recent employer or ', I plans Benkeeping ', eficontributions t pension Gro have ', up_7 I %on3,_II emerged costs older _ to1F1 Ihave and the 5workers. ,%{literature matured I. prompted _ I WI ages These adespite nd Iseveral 5 debate SIPICO#I_ a!laries ,530,1 ', recent the COU methodology. innovations ', 971 ERB(; All fact 5P..l_ studies Benefits EI that I inINew regulations show the $1I9 methods :,design 499 vIMCOI_Z ery .17
_ a ............. pension ........... earn $25,000 11,917,_I ,41_881 a: year : 116, 4604 0or _.G4 .3?less. :', Similarly, 1,_1,478 774,513: :70 percent 5GP_.G7 4.82 :of ', all 1178,4_.87 ,364 vested .0#
S_ I: I ', : ', I I ', : I_ I I) I: I II II1{:OI1_
savings $4,335 $4,720 $5,180
percent were covered by an employer health plan. Taxes
', ', ', ', : : ', ',
employer retirees: provided this development employeehas been benefits possibleforduegrto anted, tax incentives. viewing them Employee as
Employee Benefits as a Percent of Total Compensation, 1982
• Tax) laws favoring I specific ) employer ) retirement I and',health insurance I
The Savings growth in the Insurance or Covered early Self-Provided 1970s b/Plan reflects b_.y_Personal ERISANot several Workforce, CoEarnings, veredfactors: May1982 1983Average the a_ slow Annual growth of
AND BENEFIT This testimony annuity); defined. RECEIPT reviews This some suggests FOR of the65-69 fubasic nding questions requirements, YEAR of OLDS, concern nondiscrimination to1950-2 Congress 0and 07
l_llfI pension significant T........... _SSfYgoal _contributions . cost of v1,91 allowing ariation 77_11 appears by 16, retirees age 0_to .64(Table beItolikely maintain Ii).I,I0 to,I,16 continue, pre-retirement ,11b-?.according 59 _ life 19,to 93styles. 3.the 13
benefits of retirement which belong NonaKricultural use income to nonagricultural a plans. lifetime Wa_Section and estimation employees Salary 401(k) Worke___rs, earning approach plans, $25,000 Ma_ authorized are 1983 or better less. by thethat Revenue the
llZXSS were ................ .............. • only These recently benefits6,7_,184 169promulgated. ,352: have : carried ;_ 17868.26 ,068.P5 with Alleged '', , them 3abuses ,°_ 9 a3 5,,20 161 level '3 ', , in of _. 5the 7 01.51 "taxdesign subsidy," ', ', 27 _,I ,349. of?]61 ._ some but
SInE country; regressive t I taxation ',I would I result ) ', from the _ I taxation ', of
SOUTH Method CP_9OL...... I_ Used_ 1,350,III', $1P_,OG3', .77 71,7° Taxes A_ 5.3_ Lost ',$19,113. Deferred 0', 4 20,4541 I.SL_',$1778_.18
) benefit .............. Summary programs 1,41_8 of Cost are 8aI14,604 making Factors .37 Ia by significant I07,_1 Age for 7Use .61 dollar in I _Costing -I?-?contribution 9.26IBenefit 8,_71 Plans to the ._ economic I 11,713.00
representative of a social contract:Tableincluding 2 the current tax treatment of
Status 2 aEstimated /) Percentages (in I millions) of ) Families (in )Receiving millions) I I Income )
wages The II. •Size both Estimates Whatbefore ofAre Tax-Favored Employee and assume during Benefits? no Benefits--Employer economic change............ recession; in taxpayer contributions employer behavior efforts 2 iftotothe tax-f improve law avoredis
to Eduthose cation, Experience interested TralninK, in Employment, this in the country andEmplp_er futureandCo ofver inaemployee geother nations benefitshas and shown No thethat economic this
1T__S ................ most ............. recent Iemployer 6,?°_ 1_ ,1841 4surveys. 18,8) 817, _{ 0!4,6_4 6,9.1_i The .37',slower I 3 growth ,138,6 35 74 91 ,between 9321 46.81! 47.7 1980 7 I and ) 20,_ 1982 1 9.91 7,9_4of ._
Total cafeteria Act ............... of traditional 1978, ', plans have :98,963,8 have become cross-section recently 2 an11 I$1 increasingly 5,%&.P_7 approach. been ', : dramatized. popular _ But fi8,87 totool 0be ,473: ', Cafeteria for comparable 83.controlling 1_ ',:to or_1,754.8 other flexible employer ', tax 8
_IZl]I_I UTS................. fl.............. 1,228_314: 6_15,4Q3:16 14,8 141.70 3&._ ', ', 684,885: 33_,463: 56 53. .12 64 ':, _, 194,14Z.81 35.16
SIITIE Total Benefit Payments : : 32.5 : I00.0 :
SIIIIE To[al ............... I 98,963,821: I $15,960.2 I :7 54,36_ I 744: $19,3 I 78.8:0 I38,057,537: I 70.01]::I$P_I,16&48
SOUTH PEI'b_SYI_U(INIA Appendix I]_OTA ........ ......... I: to 30G, this 577: 4,867, testimony 13,5417.1 3_4.4_$15,178.87 ', presents 43,53_tI tables 14._ ',!,549,4661 that 17,118.4 show 9] _.68_ the5,number 7"_:I $ 1.19,6c'!__. of 8_ workers :_ 23.285.P.I
security .............. of , workers 169,3_i_1 83,86_)._ and retirees: ) 26,8741 at 15.87 leastIpartially _5.15 I due5,8_ to90tax3.44 treatment. I 31,849.83
primary Socialemplo Services: yer provided benefits.
Total T............... otal ............... : 98,.°_1,8P_I I 98, $15,_.27 . Total %3:8__I , Worker I : $159,589,8_81 % , &.P.7 Total IWorker R.Get', 45,168,8°14 k- Total '_J,2G&43 Retiree ',I I,?'3G,91G', 83.@_ ',5._L_8,7 00_',_6,_7.48 _34.
Tota............... l plans I _,%3,8211 and other Employer _15,%1 Workers statutory .27I Employer with 34,7_,_8 employee :$t_,871 Own benefits .4 IRA: :5 24,_I, were Own033IRA: enacted 1 7Percent 1._ )under $_2 of ,176.8_ the
STBII_ Workfor benefits--those ce Pension I Benefits thatI are atnotAgetaxed I Sixty-Five, Dire asctcurrent I and income Indirect ) to theI employee--can Employer I be
STATE employer security 8. changed--even discretionary "organized" health they insurance provide savings ifbenefits this Itocontributions Number over is effort that the A 150 APPENDIX of Statement onl_ provide Workers is Imillion as provision essential, aI for On share (O00's)* Americans: the changed. of ',particularly deferral total compensation whaof t Isalary are at low employee until mayand
UTP_ ................. Does compensation thisprovisions, costplans variation 6_,4131 and planspercentage matter 1may 4,i331.include Tas _ or Ia matter dollaar reimbursement 3limits of 07,m)6_1 tax on policy? 4employee 9.1account 0 I: benefits would or 19,84flexible 1suggest .73to
STAT UERMO_ PH_FH_({I EMay.............. .............. f[1983 expenditure tha't,EBRI cost ',/HHS hasI categories, _,9% produced survey 169,3 : 5P.', data I_,8(_1 ? vIer _,8J7 these y also large .0 ._8:lifetime Ishow Ibenefitth s.1a3estimates t81 2,438 I,women 745:) 56 are 48m27 cannot .8_ I gaining :count I 15 269_._ I,pension 662. future 3g
pension ............. costs. benefitsEmployees 8where 92,638: benefit are II562 able .23 cost toI supplement is the 431, same43 employer 7', across48.3 contributions the 3 ' income , 13,86&56 stre toam a
Total ............... L 99,%3,8P.I $1:5,961P_7 : II,899,903:21.89_:_4,730._I 2,418,23114.45_',_5,b-711._
STATE .......... _ 1,917,_,, 91:16,09':J.,, __ 240,i_', : 1P_.5_ 3: 2_,954.,% _: 3_,094: _ 1.99I: _4545.47
0Ei_ P RST } E_V )............... H)I)(Z ItITE lI_ P_IA......... ........ The :I,th?., United 473 $15,787. ,857 411,0741 81St ,5a 42: tes : 53 I$15 13,213.8 has ,1_8.8 133 alw ,/00 a3ys91 I :t31.5_ had aI2I_4 ,105,41 c 494 ommitment ,,79 8;76: 3.69 :8)I 83.47 86.3_ t_ o,Oec I71 ono:) mic : 6.1_ $19,794._ 19security ,161.81 I_,r_I.49
SI'ITE The in each Socialof : Security the fifty : retirement Retirement States: and 2_/ program Insurance the: District Benefits_-3 paid ', /over Dis.of Columbia _$138 Health : billion 4_/ covered Grand : inTotal benefits by employer : to
Le_ally Required Estimated Employer Payments: Percentages of9.5Families 29.2
middle income Deferred levels. Provided Employer Employer
divided III. benefits;Why Average intoDo whytwo WeRe doaHave groups: l weBenefits, Employee haveEmployer benefits employee by Benefits? Current onbenefits; which Age ......... and Percent taxes how are mof uch deferred do 3 they Alland cost?; Workers benefits what
OI(E6XU_ .............. reflect Activity termination the I maturation 1,21t,7_1 of$15,787 Tota employment, of l group .5l3 Coverage health 656 generally ,610coverage $19,1_._ 1b/ payCoverage benefits )and benefits, 474 b/,as 7811 aCover I' lump as?a_. gewell 391 sum, I $L_ _ asand 0,878.66
UEI_fI_I _I) that Earnings .............. .............. ............. TFthe interest answer I on would Employment 23 1,41_881: 1 what ?,1_i_8 .c)% _, be1some , 1_8(7. yes 3141 14)6 16,141.3 Coverage have 08 if 04.employee 3classified 7 ', ',)Totalbenefits 118 Vested %1,015: as,594,_21 869 the ',Benefits were tax _I.03 7148 . to free 8.7_be I loan 'subjected ,I151,9,L_86 19,7 8 from '(_0.6.17 II the .to _
SIBIE UIRGIHI8 Section ............. 401(k) ', plan ',P-,GI with074_ tax-deferred ',:16,_4.PI ', ',contributi : 1 ons ,598,847 of I : their 61.25 own. ', : _,417. ', 0g
OREGOM CPd_IFO_I .............. entitlement spending ........... A _account; in l,Pgreater _IP 1but 0___,£8 ,,$1 73broad 58_ numbers ,67:87.18168 based 5_3 than .2plans 4_I, 3 ever :043are $1 1before. 9,1 not 6,39 75.997 synonymous ', ,55Among 8:3060.65 6,8 those with, 911 7:women 7.. or21,7G 99 dependent _', meeting _,39._ 41.41
............. Employer : educationa 1:41P_8_] l assistan 14, ce(_4.3]7 _4,33940 ]16,$68.20 7I4 484,5 -- 39] 62.57 ] 19,016.61
_UH# _ 1 Industrial 1A ISI]_ ........ ........ Classifications_ I Soc 4,8b'- ial /Low Se/ curity ,5_I 15,17 411,(FICA) 07 Avg. 8 4:.87 ', High 13,21 531,4 3.Low 83 3Avg. 71 [ _.High 71)I 5.2_-i78:L24 tZI Low ,5tl Avg. : I High83_,I_ .4 16 Low 9 .0 ', Avg. : 3.18 03 High ,S_6 ',__,116.21i .04
01__r_ SOUTH .............. XSS ............... CSROLIM ...... A',,I,P 6,7 1?;9 738 _,1 $15 1,3 ',8417, ,7 :58,1111 8068.P5 7.53',:I_0I,I_,_ 6 173Z' g.,6/7'39: =I 25IG .9. 9SG ; I ', _4_4,1671 2G, ,466.57 9_4.0 I I9 85.81 3231,13 4,08_', 2)_t 5.3. 1_ 14,91_ 41',', _7,7_. 29.GP .54_1.73
llJtpension Treasury l( ............. ,_ and Method he8a9lth __,63programs, I_I I,56P_.)23IRAs, 98,5171 and 83% 10 401(k) .14: 18 plans. ?83.76) The 0% 11,4 tables 901 also 1.29 present I R,083.24
8[ over ............. ]_J_i_fH_ ............. • 36 Plymouth million : I 1,4_88411 beneficiaries Colony 1,412,&SJJ 14,604.37 settlers : 14,in 47,.%_13 6_4.1982, 37decreed :I 9.4G over : _, the _9 825,000 g4;,7.9# 747_ first _ employer 73. 4,3II recorded 58: based I .8618,510.9 military :pension I3,005 8.01
Receiving Pension Benefits at Age Sixty-Five, and
Pd_lIIiApl_ ............. Marital : 1,41P_ Status ,Compensa- 8_1_ 14,:................. 684.3I7 IRA 5+_+J15:17,_7.0P_ Has 401(k) ', 324Does ,531', 6 Not64.61 ',19,430.12.
No Economists social savings premise and control crefer /economic that "tax to26.8 this extensive objectives subsidies as 29.0% "partial coverage do or tax theyequilibrium" expendit 25.4 serve; of workers ures". how 21.4% have analysis. andItthey $their must 7,672 evolved, This dependents be stressed, means 56.4% whereunder that are
PEI!IISYtU_Ifl thatExcl ........ are usionfor tax l ofwhich exempt. employer 4,857,54taxes 2.pro 1EMPLOYEE v15 ide ,178. dare Co8v7erdeferred aBENEFITS lge _89_,3_1 b/ AND until 1ECONOMIC 8W,o (99.61 rkers benefits l within SECURITY _16 are4,0received 651 with 74.87Employer (including ) 19,454.68
UI_IMIR 81_8SI(I] P, RKS employer .............................. ............ ............... IiSSS ............ efforts , I 2_61 to 1contain 6089,93_7J ,4841 "_,638_ 1G, the 23,8 I9I, 24 56x cost (._8._ 81 L:' 7_:.of 3IIprivate I,_3health 41,645: ,33_, %91'i,?_l I insurance 598__._ .9317.02:plans. ',l283,1 01:I07.R 4,3_6.5 43.66 9
RRSHI_TON income ERISA........... standards Treasury. tax or FICAfor 1,6 tax. %plan ,3__9 Yet, :participation, 16,3it 19._ is :an issue coverage 8%that ,364:expanded has _!.84 been by ignored ',2.220,8 million in7_.24 all
PEI_b"YLI _ ............. on,............. ........ flexible k_1418 II 1,41P_ Unemploy 4spending ,8b m8 ent -7, _', I,_I,7 14,604.3 54_.', Compens 15,1 03accounts. : ation 77',8.8 t?7_ :O6P 61._ _1,8_1, Where ,_39_ ', 69 8.04 the _18, ; ',government I.I 35 £7 4, 8. _, 503 5t 5', 7 _: .17':1,3 believes ,_9?.. 7 44 4,3Ili ,116[ 3.4 ?5 ',abuses .45 ._PI,;5 _',1.1£ exist, i 1g 3, ,00 ZI 0Z .0._4 1
ALASKA ...............169,35_:23,8_._ ', 81,30|:P_7,STI.:54 57,594: _.84 ',P9,_9.8_
PEIIiISYI_U R_E SOUT ISU_tl _H........ ......... l8 ...... {II{{ (health, 4,85 411,0741 7,5421 115,178.8 ,35 13,213. etc.); 0,1111 8{I73coverage [P_, 0668,39 6_, 3.T9/8 "518gaps 1 ', 231._ 3.1would 3', I?? tt 607, ,,_ 711.14 be 98 1.4Q 9:cre II ated _.° 13G,248 A8,58 if51 :'the ,4.71 6._ 15employer ,09 ', ', 1.23,3 _,0 02?3aG._ .41
UTSH SOU ................ the TIkSkOm H average ......... ', for incomes 6workers r?5,4Qof 386 14, 31b'77_ ,those and 83i.retirees. 7:13 Zco,v3E ered. 7_4._ 9,7_:', Social Three ILTJ t populations Security b-8, ?_1, Oh-Z1 314.9 with _ 77"3._ are _, its7analyzed 54income, _', 4_,149. ._8inhealth : 2 these 036181.79
CIIIprograms _IFO ........... It_IR retirement provided I0,5_.Itprogram coverage 861 18,168.83 in ',to 1636. 1,786,_ over .781 5016. million 93',t'JS( workers, 4.46 ', 331,7301 and paid3.14 over I 27,1P _769._
FH_P_KA ............... Petroleum .............. _ RefiningI 169,35_.I 2'J,1_38.26 8.6 169, 11.2 3.5PJ ', 13.9 23,86_ 14,.°4051 6.9]._ 9.0ID.81 11.2 ', _,775.49 .766,5491 .9 I 1.1 813,211 ._ 16.2 : 21.I t G.39 _,8 26.2 :14._ 34,480.06
child care Table 209 40 70
.............. I Average 169,35tion 21 Real _,8(_B._ Plan BenefitsL_by ', 5+,_I Current _,6_._ Plan Age ', and Marital 37,6 Have %1Status 401(k) 74.98 ',_,8_.0{
Some IV. they savings going, Do Tax Workers' and Incentives EMPLOYEE what Compensation 25.9isPENSION Encourage the 28.0role AND Employee HEALTH of the 14.4PLAN taBenefit x0.9code; 15.6 COVERAGEwhatBY13,914 is STATE 2.8the experience 43.6 of
RHOIPersonal most IShgl) E ........ • of contributions Social the Earnings I real 41 Security 1,97 world 41 13, to(in disability, tis 13some .8assumed millions) 3 I profit 20 away Medicare, 5,439 sharing so 1 17 Ethat a ,35 rnings Medicaid, 8. plans, _rough I Group toestimates 146,3561 employer money purchase 71.2 based Care overage 4possible. [health, plans 18,997.6{
_IISHi_TO CSLIFORNIE' Total workers ........... I.......... I since ) 1917,980 610,55_ %,and 289 32_}I 286 ?_., nearly 16,31 18,16 47 %99]..3 8 372 .P I'million -I I 819,3 27,603 5,408,7_ more901women 48.351 became 1._ I _entitled 28,21, 89?%_._ 5.81 to
8RIZO_J] ESanalysis TThis UIRGIHIA .............. allows ........ undertaken employers 1,2_: _9to ,20to 3,13 date. ]', 14: co16,141.71 1 ntain 3,918. For0 their 9', example, ', retirement 344, 40 during 7,_I 345: :plantestimony ?9 _.costs. .4 939 :',before InPP,615._ 17,0_ general, .this 45
8LBSKB RHO_ CO ............... IM limits SL i_I _........ _ CTIOJq I] .......... orl"guidelines 16411, 9,_I07 1, _3,_8. 41 514_7 for 13,_?93the _6 '1: .8 ,138_use 8_19,5161 9.3of 7It6,_ benefits : 24]._l01 18,74 ',_,gg7.PP within 955,_ 7.|', 93:cafeteria ', 963 P_.4,3 ,4 117%7[ 1plans :?333 5._L_.6_ 41 have ', ',P_,0_. 33,1_. been 99 ?_I
_IZOI_ ..............1,2L_,314: 16,141.7', 1 Defined _7,093:19,_ Benefit A.34', Life 459,219: Insurance 68.84 : _I,I_LS!
_HOE -_]_J SOU I Lifetime S{_ TH TH l_C O........ 8/ll_.{ _....... ]t ........ l]L Method: I_1,411,874', 3._IIII I, 112, 3{6,5771 3,213. 0_3.T 8II3/13,3257,51 34. .5,_41 _ 81 ', 28._ 8.0l', I 21 17,3_ lot, ,602: 385.65 ._.18 II ?_11,1741 .33 9,5451 ', 5.44 t.!3 81 ,678. II 2G,I_99.41 2 ti6,778.09
L__SSEF_. IOfl tables: ............. T ........... first, : 23_, the 91,917,_II 5G' 12, total , 8_7.civilian 08 ', 16,0_._ 31,79workforce; 1] ',13.G5',51-G3,_I second, 8,481.94 ',the _.085, "ERISA 9931 ', _Workforce," 2.057 ,991._ 114 179.93
Cb')LORil billion ............ Exclusion ])(] in ofbenefits Other 1,461,_31 employLee eEallyme 17,861.65 to aRequired ls over and ', Paym 15ents Pmillion _.a76,1871 l 18.8 beneficiaries 9', 2.383465.61',in that 44 7.14,4year 7013.04 (Table ',23,I). 99{.26
8RIZI]I_I 8_IZOi_ ............. ............. m :L,PPl,3141 I,_,314_ 16,141.71 ',!6,141.70 91,31R_I:21.10I P_7,12P_.8 531,4%1: 479.67 24,}"_II I 5.71 11,4_ L 331,978. ._ 84
Tot 3al • Percent Tax-deferred of Workers 52.7benefits Covered 57.0 include by an 39.8 Employer primarily 43.0employer 11,193 contributions i00.0 to
Full-time other nations; these Availability? andworkers ESOPs); plans how and much is ................... 84.1desirable do they costsocial 25.4 employers policy. and 8.8 employees; These programs 5 how15.9 muchcomplement do they
SOUTH (_ $1 As pension OL -4,999 a I,_...... result, life, benefits however, I these 1,and 35at 0that ,111', I0 estimates disability retirement. 014 12,863 the present ._suffer I insurance 2 433 _I, system asO_guides ',programs 1of4,_I._ benefit to 35 policy. I8have deli 43vbeen :ery Therefore, 8,611established would 158.4{they change I 16, must 09' to ¢.06
J_TSF COLO_ UI_I Employer Numerous Electronics ............. li[ll ............ ........ {A other contributions ppliances) : shortcomings 66897_,638: 1,461, 9 6.0L_' , 3to 7.6 817103 group 311,56 of ,1 9.19 2718.09 using ,061.6. 2health 7.2 ._I tax : 9.0 5) insurance 10 expenditures .9 378,_I 184,84 7 .514,54 .6are 9:01 as 56.59 .7the 8_. a480 b 13.8 .fastest a888 sisI ', 17.2 lfor 17, 15, Igrowing 20.8 21, 7decision 57.7_.15 .05.48 I,I
RISCO Committee set Section I'ISIN ........... on 401(k) at on June least plans 22, P,£_, a 1983, probably proposed 370: the 14,4_64 represent Administration's basis. ', Examples a net 1,38_ reduction witness ,of 5_',possible analyzed 60in .76employer abuses ',the18,6 proposed pension within 5_.03
8RI SOUT _:__i'}_"_ 'ZCSRO .............. HOH8............. L•I_ ...... This ', l,PP{, government 1,35{,1111 314: 16,141.75 _?7,P_6_: It,06 policy :3.16 7I" 7/ success 18 98,831 .aI41P_, ,:'should 1Z4'.Jl 82 14, '',3,?9 be 183, _.78 _7,5 a', (9}34: ma 6.1 ', tter 5_4,914_ GG.@_ 38,_ of 'national , ',61.7_ 5.78 28_15 I', pride. .1?58_6,,'_J ,72 4 5.459._
F_Y,P_ ............. lodging (other chose8t2 ha¢,63 nto midrop l8it:11,562 ary) programs ._: when 3M,465: taxed 680 15,_ orL5also 4 725: if i_3, employees 795 798: 61.chose 57 ', to15, not 739.11
SOUTH S_lll)£_(O UIR_I I-_SS CSRO{_I fl ............ (LIA ......... .......... ...... lIt ll_:and 1,351,1111 2,GI 396,57 disability 0Medical ,4 1,712,063 £13 91_4 16, 1, 7:_4._ ,2992 1.4Cost 1.21 77 components I', :16,095 5852,4751 1, 7 .6"4 Cost 534,1 9', combines 43 : 2Factor 1G. 21. 7.44 9_%I'', ,18,112. 1 _6 as with 25, 7, ,510 991L G3 :0 workers .71I', 12 2',Cost 84.43 17,4561 4,1061 _,12 compensation as 9', % : of2.32 5._ 22e .11 ,2I' T', , 320,%P_.53 _ ._laws 24412 ,I_._.44
............... Nominal dollars a6,7_,I_) / 17',868.25I 14 I,_6,7_I 8681.85 I 83,1_.31
COI_Medicare which r_TiC......... _ represents and 1,514,7 Medicthose aid9111 8,858. provided over3)7age $83.3 _95,3_41 25, with billion 19. one 49Iyear in_613__.83 heaof lthservice, ', protection 46,41_8 and',working 3and .06 ' private ,_,661.?] over
............. •............ Gallatin [ 89P_,GaS Glassworks II,5 8: