Public pension systems in the U.S. have seen a significant increase in unfunded liabilities, particularly during the Great Recession. Between 2007 and 2010, unfunded liabilities grew by over $1.11 trillion\u2014a 632% increase\u2014reflecting the financial challenges faced during that period. Despite some improvements in funding ratios over the last decade, these liabilities have continued to rise, underscoring ongoing financial pressures.<\/p>\n\n\n\n
As of the end of the 2023 fiscal year for each public pension system, total unfunded public pension liabilities (UAL) reached $1.59 trillion, with state pension plans carrying the majority of the debt.<\/p>\n\n\n\n
The median funded ratio of public pension plans stood at 76% at the end of 2023, but stress tests suggest that another economic downturn could significantly increase unfunded liabilities, potentially raising the total to $2.71 trillion by 2025.<\/p>\n\n\n\n
Read it all<\/a>.<\/p><\/p> At the end of the 2023 fiscal year, the nation's public pension systems had $1.59 trillion in total unfunded liabilities.https:\/\/t.co\/msg89p70Mr<\/a><\/p>— Pension Integrity Project (@ReasonPensions) October 3, 2024<\/a><\/blockquote>