Calculating the unsustainable:
By assuming these 19 million public sector retirees, on average, received a retirement pension equal to 66% of their average base pay of $68,000 per year, you may estimate the total public employee pension bill per year at $862 billion. Similarly, by assuming these 67 million private sector retirees, on average, received a retirement pension equal to 33% of their average base pay of $41,500 per year, you may estimate the total private employee social security bill per year at $920 billion.
The implications of these calculations are difficult to overstate. Using assumptions which are well documented and representative of the actual wage and benefit realities in California, extrapolated to the United States as a whole, it is clear that the California model would mean that public sector retirees would cost taxpayers $862 billion per year, which is only 6% less than the entire bill for social security for more than six times as many people.