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Table 3.
Distribution of Enhancement-Driven Gains in Expected Pension Wealth Across the 2009 Teaching Workforce
Avg. Pension-WealthAvg. AgeAvg. Experience
Gains ($)(years)(years) Gains Decile (lowest to highest) One$3,746 39.0 5.8
Two 12,659 31.8 3.6
Three 16,010 31.5 4.3
Four 19,601 36.5 6.5
Five 24,942 40.4 8.8
Six 31,802 42.8 10.9
Seven 40,730 44.3 13.6
Eight 52,314 45.2 16.5
Nine 69,204 47.7 20.9
Ten 103,652 50.6 26.0
Avg. Pension-WealthAvg. AgeAvg. Experience
Gains ($)(years)(years) Gains Decile (lowest to highest) One$3,746 39.0 5.8
Two 12,659 31.8 3.6
Three 16,010 31.5 4.3
Four 19,601 36.5 6.5
Five 24,942 40.4 8.8
Six 31,802 42.8 10.9
Seven 40,730 44.3 13.6
Eight 52,314 45.2 16.5
Nine 69,204 47.7 20.9
Ten 103,652 50.6 26.0

Notes: Gains are relative to baseline expected pension wealth using the system parameters and exit rates from the pre-enhancement period. Data are presented in 2009 dollars. The average ages in the bottom deciles may initially seem too high. However, note that in addition to including young teachers, the bottom deciles also include late entrants into the profession. This can be seen by the low experience values in the last column. All future benefits are discounted using a real rate of 4 percent. See the appendix.

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