Arguing that members of Congress shouldn’t live off taxpayers in retirement, one of the few fiscal conservatives in Washington is leading by example by introducing legislation to eliminate taxpayer-funded congressional pensions
U.S. Rep. Thomas Massie (R-KY) introduced H.R. 4925, the End Pensions in Congress Act (EPIC Act) and H.R. 4926, the Members of Congress Opt Out Clarification Act.
“If congressmen want to save for retirement, they should do so with 401(k)-type plans, rather than rely on taxpayers to take care of them even after leaving Congress,” said Rep. Massie. “To tackle out-of-control federal spending, Congress must lead by example by ending defined-benefit pensions for Members of Congress.”
“Congressman Massie’s End Pensions in Congress Act (EPIC Act) excludes future Members of Congress from participation in the Federal Employees Retirement System (FERS). In addition, the EPIC Act requires those Members currently enrolled in FERS or the Civil Service Retirement System to opt in to continue their enrollment,” a statement from Massie’s office explains.
“This legislation would eventually end taxpayer-funded congressional pensions, helping to drain the swamp in Washington by removing a perk that provides a financial incentive for re-election to Congress,” the statement adds.
“My second bill addresses a bizarre quirk in the congressional pension rules that allows Senators, but not Representatives elected after 2003, to opt out of enrollment in the congressional pension program,” Massie continued.
“Although not as sweeping as the EPIC Act, this bill would be an important step in the right direction, because even Representatives who do not wish to participate in the pension program are currently forced to contribute to the program,” said Massie.
“The Members of Congress Opt Out Clarification Act would allow Members of the House of Representatives to opt out of FERS. The ability to opt-out is currently only available to United States Senators and to Members of the House who began serving before September 30, 2003. Massie’s legislation would still permit Members of Congress who opt out of FERS to continue to participate in the Thrift Savings Plan, which is the Congressional equivalent of a 401(k),” the statement notes.
“Under current law, Members of Congress are eligible for a federal pension after just five years of service. The amount of the pension depends on variables including the number of years in federal service and the average of the highest three years of salary earned. For example, a member with ten years of service is eligible for a $29,580 per year pension upon reaching 62 years of age,” Massie’s office explains.
Companion legislation for both of these bills has been introduced in the United States Senate by Senator Mike Braun (R-IN).
