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Pension Problems Worsen in Most States

 As of 2016, the last year for which complete data is available, states had only 71.1 percent of the assets they needed to cover future pension payments to retirees, down from 74.5 percent in 2015. New Jersey was in the worst shape, with a pension funding ratio of 30.9 percent, down from 37.5 percent in 2015. Four other states had ratios under 50 percent. Just three states had pension systems in that condition in 2015.

 

Source: Bloomberg

 

 

States with lowest pension funding ratios: New Jersey, Kentucky, Illinois, Connecticut, Colorado

 

States with highest pension funding ratios: South Dakota, New York, Nebraska, Wisconsin*, Tennessee*

 

* Funding ratio based on old pension accounting and reporting standards (GASB Statement No. 25)