Pension rights group: Overpayments to Pontiac retirees should be forgiven

Via The Oakland Press,

By Dustin Blitchok, The Oakland Press

April 6, 2015

Internal Revenue Service rules could allow the 150-percent-funded Pontiac General Employees Retirement System to forgive overpayments made for 16 months to 600 retirees.

The IRS issued a clarification in March that indicates pension funds aren’t required to recover overpayments from retirees, said Nancy Hwa, communications director for the Washington D.C.-based nonprofit Pension Rights Center.

“Most of these retirees are on a fixed income,” Hwa said. “Given how well-funded that plan is, they should just reduce the pension to the correct amount.”

Whether the overpayments could be forgiven would depend on whether any Pontiac pension rules or state laws forbid it, Hwa said.

Read the full article.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s