News Link • Government Debt & Financing

Ten States Where Pensions Are Running Out Of Money

05-02-2011 • EconomicPolicyJournal.com

The Pew foundation recently released its “The Widening Gap: The Great Recession’s Impact on State Pension and Retiree Health Care Costs” document. It reportsd that states have a cumulative retiree and healthcare shortfall of $1.26 trillion. Many other states have not made ongoing contributions at the rate that experts suggests, to get their funds in line with the obligations of those funds, reports 24/7WallSt. Here, according to 24/7WallSt, are the 10 states with the most serious problems based on the data from the Pew study: 2. Illinois > Pension Liability: $126 billion > Percent of Pensions Funded: 51% (lowest) > 2009 Actuarially Recommended Contribution: $4 billion > 2009 Actual Contribution: 71% (8th lowest) 1. Kentucky > Pension Liability: $36 billion > Percent of Pensions Funded: 58% (4th lowest) > 2009 Actuarially Recommended Contribution: $965 million > 2009 Actual Contribution: 58% (3rd lowest)