Purpose

This assignment is intended to help you learn to do the following:

• Describe the features of defined-benefit pension plans, cash balance pension plans, target benefit pension plans, and money purchase pension plans.
• Compare Defined-Benefit Pension plans and Defined-Contribution Pension plans.
• Analyze the public pension plan crisis.
• Recommend solutions for the public pension plan crisis.

Action Items

1. Make sure that you have completed the Module 4 Preparation before you start working on this assignment.
2. Read the following articles regarding public pension plan crisis:
   1. How well-funded are pension plans in your state?
   2. How bad is the state and local pension crisis really?
   3. Public pension crisis: Why should todays workers and retirees pay the price?
   4. American pension crisis: How we got here
3. Write a 3-4 page paper, including the following:
   1. What is the current situation of the public pension plan systems in the U.S.?
   2. Why does the media claim that the public pension plan is in crisis? What is your opinion? Explain your position in detail.
   3. What are the possible solutions to keep public pension plans well-funded for current and future retirees with minimal disruption to participating members? Provide 3-4 recommendations and implementation plans.
   4. What are expected impacts and consequences for each of your recommendations?
   5. Use additional resources or articles to justify and support your recommendations.