The Widening Gap
The Great Recession's Impact on State Pension and Retiree Health Care Costs
- States' Fiscal Health
- Contact Brian Keegan 202.540.6677
- April 25, 2011
Estimating the States' Pension Gap: Current Rates of Return
States make assumptions about investment rates of return when they calculate how much money to set aside to pay for their employees’ pension benefits. The table below illustrates the impact of using each state's own rate of return assumptions.
| Latest Assets | Latest Liability | Funding Gap | Pct. Funded | |
|---|---|---|---|---|
| Alabama | $30,763,098 | $41,634,554 | $10,871,456 | 74% |
| Alaska | $9,375,500 | $15,347,768 | $5,972,268 | 61% |
| Arizona | $34,209,571 | $44,078,394 | $9,868,823 | 78% |
| Arkansas | $17,597,153 | $22,698,906 | $5,101,753 | 78% |
| California | $395,898,000 | $490,585,000 | $94,687,000 | 81% |
| Colorado | $37,598,988 | $54,536,549 | $16,937,561 | 69% |
| Connecticut | $25,452,900 | $41,311,400 | $15,858,500 | 62% |
| Delaware | $7,185,650 | $7,615,166 | $429,516 | 94% |
| Florida | $119,039,831 | $141,485,280 | $22,445,449 | 84% |
| Georgia | $69,555,937 | $79,898,410 | $10,342,473 | 87% |
| Hawaii | $11,380,961 | $16,549,069 | $5,168,108 | 69% |
| Idaho | $8,930,900 | $12,057,500 | $3,126,600 | 74% |
| Illinois | $63,996,419 | $126,435,510 | $62,439,091 | 51% |
| Indiana | $24,561,131 | $36,924,845 | $12,363,714 | 67% |
| Iowa | $21,517,286 | $26,602,516 | $5,085,230 | 81% |
| Kansas | $13,461,221 | $21,138,206 | $7,676,985 | 64% |
| Kentucky | $20,767,783 | $35,686,737 | $14,918,954 | 58% |
| Louisiana | $23,806,648 | $39,657,924 | $15,851,276 | 60% |
| Maine | $10,466,900 | $14,410,000 | $3,943,100 | 73% |
| Maryland | $34,420,515 | $53,054,565 | $18,634,050 | 65% |
| Massachusetts | $41,370,451 | $61,140,335 | $19,769,884 | 68% |
| Michigan | $57,509,500 | $72,911,900 | $15,402,400 | 79% |
| Minnesota | $46,879,567 | $60,835,351 | $13,955,784 | 77% |
| Mississippi | $21,094,468 | $31,386,747 | $10,292,279 | 67% |
| Missouri | $43,890,593 | $55,314,996 | $11,424,403 | 79% |
| Montana | $7,631,980 | $10,271,027 | $2,639,047 | 74% |
| Nebraska | $8,260,397 | $9,427,370 | $1,166,973 | 88% |
| Nevada | $24,015,893 | $33,148,347 | $9,132,454 | 72% |
| New Hampshire | $4,937,319 | $8,475,062 | $3,537,743 | 58% |
| New Jersey | $89,119,531 | $134,928,225 | $45,808,694 | 66% |
| New Mexico | $22,086,971 | $29,003,362 | $6,916,391 | 76% |
| New York | $148,861,000 | $146,733,000 | -$2,128,000 | 101% |
| North Carolina | $74,447,112 | $76,976,542 | $2,529,430 | 97% |
| North Dakota | $3,642,100 | $4,475,800 | $833,700 | 81% |
| Ohio | $113,056,948 | $171,194,371 | $58,137,423 | 66% |
| Oklahoma | $19,982,363 | $34,815,244 | $14,832,881 | 57% |
| Oregon | $48,729,200 | $56,810,600 | $8,081,400 | 86% |
| Pennsylvania | $89,986,600 | $111,317,700 | $21,331,100 | 81% |
| Rhode Island | $6,752,084 | $11,500,425 | $4,748,342 | 59% |
| South Carolina | $28,871,570 | $42,050,701 | $13,179,131 | 69% |
| South Dakota | $6,874,347 | $7,494,895 | $620,547 | 92% |
| Tennessee | $31,639,654 | $35,198,741 | $3,559,087 | 90% |
| Texas | $130,983,262 | $155,679,204 | $24,695,942 | 84% |
| Utah | $20,818,430 | $24,299,183 | $3,480,753 | 86% |
| Vermont | $2,923,124 | $4,012,955 | $1,089,831 | 73% |
| Virginia | $55,123,000 | $69,135,000 | $14,012,000 | 80% |
| Washington | $57,162,100 | $57,754,700 | $592,600 | 99% |
| West Virginia | $7,977,030 | $14,266,419 | $6,289,389 | 56% |
| Wisconsin | $78,911,300 | $79,104,600 | $193,300 | 100% |
| Wyoming | $6,571,160 | $7,401,614 | $830,454 | 89% |
| Source: Pew Center on the States, 2011 | ||||
Report Assets
Expert
Kil Huh is director of the States’ Fiscal Health Project.
Video
Watch Sue Urahn, managing director for the Pew Center on the States, discuss the scope of the pension and retiree health benefit problem.
- Date:
- April 25, 2011
- Contacts:
- Brian Keegan | 202.540.6677
- Project:
- States' Fiscal Health
- Issues:
- Pensions, Retiree Health Care, Retiree Health Care Costs
- State:
- National
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