But some states continue to fail, year after year. Illinois’s pension problem is so severe that pension payments will consume 20 percent of its general funds this fiscal year, yet it is still contributing $4.5 billion less than it should. Illinois has unfunded pension benefits totaling $146 billion. New Jersey’s public-pension system is several times more generous than a typical 401(k), and despite the state’s making its scheduled pension payments the last few years, it is still nowhere close to solvency.
ADDENDUM: Check out this state-by-state pension database from Truth in Accounting to see how your state is doing.
Read the full article on: National Review