Pre-funding doesn&#x27;t make sense. If I&#x27;m a new hire, they are expected to set aside <i>today</i> the money I&#x27;ll receive in 30 years. There&#x27;s zero-guarantee that I&#x27;ll even be here in 30 years, let alone have retired from the USPS. What makes <i>more</i> sense is to set aside a portion per year during my career. If my salary is $60k, health and tax liabilities and other HR things may push my cost to the USPS to $100k, and add on this retirement liability I might cost $130k&#x2F;year. Instead, in my first year I end up costing them $100k (salary, tax, health) + several million (retirement benefits).