State Pension Tracker: Illinois has second largest pension debt in nation

(The Center Square) – A non-partisan think tank reports Illinois’ public pension plans are second worst in the nation when it comes to unfunded liabilities.

The Reason Foundation released its State Pension Tracker, which forecasts state pension plans for fiscal year 2023.

“It’s basically a dashboard that gives the first peek into what unfunded liabilities for state-run pensions are going to look like for 2023,” Senior Policy Analyst Zachary Christenson said.

Based on an estimated annual investment return of 7% for public pension plans, Reason Foundation forecasts the 118 state pension systems analyzed nationwide have $1.3 trillion in total unfunded liabilities at the end of the 2023 fiscal year.

A large part of that enormous amount is from Illinois. Christenson said Illinois is one of the states with the most public pension debt, with a funded ratio of less than 53%.

- Advertisement -

“That’s a huge, huge problem and basically the taxpayers are going to have to come up with $144 billion sometime over the next 20 to 30 years,” Christenson said.

Only California has more unfunded public pension liabilities than Illinois. At the other end of the spectrum is Washington, where their pension plan sits at around 107% funded and has a surplus of $8 billion.

Christensen said the dire situation with Illinois’ public pension plan has been ongoing for years.

“Illinois’ pensions have been low 50s to sub-50 percent funded since the Great Recession, which means they only have half of what they need to fulfill the promises that they’ve already made to public workers,” Christensen said.

Illinois lawmakers plan to look at several pension proposals and could address the matter in future legislative sessions.

spot_img
spot_img

Hot this week

African and Caribbean Nations Call for Reparations for Slave Trade, Propose Global Fund

Nations across Africa and the Caribbean, deeply impacted by...

Sports betting expert offers advice on paying taxes for gambling winnings

(The Center Square) – Tax season is underway, and...

Health care company agrees to pay $22.5 million to settle claims of over billing

A health care company agreed to pay nearly $22.5...

Entertainment district benefits don’t outweigh the cost, economists say

(The Center Square) — Weeks later, after more details...

Business association ‘disappointed’ by WA L&I’s proposed workers comp rate hike

(The Center Square) – The Association of Washington Business...

Illinois bill helps homeowners fight back against squatters

(The Center Square) – With instances of squatting sharply...

Voters focused on prices, tariffs as Trump wraps up first 100 days

American voters are focused on prices, tariffs and illegal...

WATCH: Trump, Rubio say Russia-Ukraine war is ‘endable’

President Donald Trump and Secretary of State Marco Rubio...

Sound Transit taxes have generated more than $20 billion in almost 30 years

(The Center Square) – In 1996, voters within the...

Game maker challenges Trump’s tariffs as lawsuits pile up

A public-interest law firm filed a lawsuit challenging the...

Texas DPS continues to find missing children, arrest ‘most wanted’ criminals

(The Center Square) – Texas Department of Public Safety...

More like this
Related

Illinois bill helps homeowners fight back against squatters

(The Center Square) – With instances of squatting sharply...

Voters focused on prices, tariffs as Trump wraps up first 100 days

American voters are focused on prices, tariffs and illegal...

WATCH: Trump, Rubio say Russia-Ukraine war is ‘endable’

President Donald Trump and Secretary of State Marco Rubio...

Sound Transit taxes have generated more than $20 billion in almost 30 years

(The Center Square) – In 1996, voters within the...