Selma priorities seem to be in place

According to "The Selma News", the town budget will put back employee benefits. The benefits were slashed because of budget cuts during a shortfall. Employee benefits are the last place to cut, in my opinion, but it was deemed necessary by the town council last year. Now, it seems that the upcoming budget will restore some of the benefits.

It is a good practice to keep good employees rather than constantly having turn over and training new people. One way of attracting and keeping employees is keeping a decent benefits package. It is good to see that the council is restoring some benefits.

I know that the 2.5% 401(k) contribution seems small, but it was explained to me that the contributions on the part of the town are not like most corporate contributions. I can personally contribute up to 10% of my income into the fund. My employer will match up to 85% of my contribution (it used to be 100%, but 85 is still good). The town does 2.5% of the employee's salary, regardless of the match by the employee. If someone makes $40k a year with the town, even if they make no self contributions, the town will kick in an extra $1000 into the retirement fund.

Here is the story from The Selma News.

Selma budget give back employee benefits

The Selma Town Council moved a step closer to a final budget for the 2007-2008 fiscal year during a budget session Thursday at Town Hall.

The proposed budget will include no tax and utility rate increases and even gives back some benefits lost by employees last year.

Town employees gained back 2.5 percent 401K retirement funds to be paid by the town and were each given a 2.5 cost-of-living pay increase.