Statement of LaJuana Alexander, Director of Counseling and Assessment, Northwestern Technical College, Rock Spring, Georgia
To the Subcommittee on Social Security:
It is my understanding that this is the committee to whom I should address my concerns.
Teachers and educational employees in 14 states who are covered by alternative state retirement plans (no SS withheld) are currently being adversely affected by a Social Security regulation which will penalize up to 60% of our SS benefits that were earned in other states or in other professions outside these education employee benefit plans. Organizations such as our Department of Technical and Adult Education actively recruit outstanding professionals in business and industry to teach in their areas of expertise. I doubt there are any who understand that they are going to pay a financial price for their cooperation. If they were, they would not be anxious to enter these educational fields.
I personally worked in various educational and non-profit foundation organizations for most of my adult life which had supposedly earned for me a small SS pension. After my husband left me, I realized I had to get busy and secure my old age benefits, so I went back to school for my master’s and eventually entered the career counseling field at a technical college. I will be 10 year-vested next year which will also coincide with my 65th birthday. When I attended a retirement seminar, I was shocked to discover that I would not draw my full SS benefits (on which I was depending) because of my small 10 year pension at DTAE. It sounded as though my penalty would be about the same as those who had worked longer and had larger pensions. NO ONE TOLD US when we took these positions that this was going to happen.
It makes no sense to allow those 65 and older to draw their SS benefits and continue to work without penalty, while those of us who legitimately earned social security benefits in other professions are going to be penalized.
A recent article in the newspaper mentioned two bills—HR2638 and the Senate version SB1523—as fixes for this inequity. I would appreciate anything this committee can do to get those bills passed without delay. We may not be a great number of people, but this policy is hurting us just the same and many are going to suffer unnecessarily unless it is changed.
Thank you.