Financial State of the States 2025

Our sixteenth annual Financial State of the States (FSOS) report provides a comprehensive analysis of the fiscal health of all 50 states. 

Financial Transparency Score Report

Our new report analyzes how transparent state governments are with their finances.

Petition: Ensure Comprehensive Financial Reporting of Federal Spending

Sign our petition to bring full transparency to federal financial management. Let’s make sure our government is accountable to the people it serves.

US Published National Debt

$

The Truth

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Each Taxpayer's Share: $920,000

Explore our database at https://www.data-z.org
 
  • Financial State of the States 2025

    Our sixteenth annual Financial State of the States (FSOS) report provides a comprehensive analysis of the fiscal health of all 50 states. 

     
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  • Financial State of the Union 2025

    According to the most recent audited Financial Report of the U.S. Government, our nation’s true debt has climbed to $158.6 trillion, burdening each federal taxpayer with $974,000.

     
  • Financial State of the Cities 2025

    The Financial State of the Cities report found that 54 cities did not have enough money to pay their bills. Each city has some form of a balanced budget requirement, but this new report shows that cities have not met the intent of their requirement and have pushed costs onto future taxpayers.

     
  • Data-Z (database for state and city data)

    Create your own chart with more than 700 data variables at the federal, state, and city levels.

     
more publications
  • Federal Oversight of State Pension Plans

    October 16, 2025

    State pension plans, particularly those for public employees like teachers, firefighters, and government workers, are subject to various federal regulations, including IRS rules and other federal laws, to ensure compliance with tax, nondiscrimination, and retirement benefit standards. These rules apply because state pensions often receive tax advantages (e.g., tax-deferred contributions) and may opt out of Social Security; therefore, they must align with federal standards to maintain their tax-qualified status or avoid penalties. Below are detailed examples of how state pensions fall under IRS rules and other federal regulations, with a focus on key provisions and their implications.

  • Each taxpayer’s share of the state debt: $4,100

    October 8, 2025
    Michigan Capitol Confidential

    Paying off the obligations the state of Michigan owes public retirees and others would require each taxpayer to surrender another $4,100 to the public treasury, according to a new report from a nonprofit that analyzes state budgets. The report also warns that Michigan’s budget could face an 8% shortfall if the federal government were to reduce its financial support of Michigan to its pre-pandemic level.

  • Illinois taxpayers each owe $38,800 for state’s unpaid bills

    October 3, 2025
    Illinois Policy Institute

    llinois taxpayers in 2024 owed an average of $38,800 each, ranking No. 3 in the U.S. Illinois earned an “F” for fiscal management.

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  • States’ Rights and ERISA: Selective Sovereignty Hurts Taxpayers

    October 17, 2025

    In August 2025, Illinois Governor JB Pritzker signed legislation boosting pensions for Chicago police and firefighters, a move projected to cost the city $11 billion over 30 years. Despite warnings from Chicago’s Chief Financial Officer about the “devastating” financial impact and a police pension fund that is currently funded below 20%, the state pressed forward. 

  • It's Time to Amend ERISA

    October 15, 2025

    The retirement benefits landscape is complex, but one federal law stands out for its role in regulating private-sector pensions: the Employee Retirement Income Security Act (ERISA). Enacted in 1974, ERISA introduced accountability, transparency, and worker protections. 
     

  • Pandemic Programs Expire, Leaving States with Major Funding Gaps

    October 14, 2025

    States face a significant loss of federal dollars as temporary pandemic-related programs that were initiated in 2020 come to an end and national fiscal pressures rise.

  • A Love Letter to Our Unsung Heroes

    October 2, 2025

    Dear teachers who light the spark of curiosity in young minds, firefighters who charge into the inferno to save strangers, police officers who stand as sentinels in the night, and all you public sector warriors who stitch the fabric of our communities together – this is for you.

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