The Bond Buyer newspaper had an interesting story this week about a Standard & Poor’s report on the condition of public pension plans. The overall gist of the report, not great. This was the title of the S&P report: “A Bumpy Road Lies Ahead for U.S. Public Pension Funded Levels.”
Overly generous pension benefits combined with politicians who failed to adequately fund pensions mean that many public plans are in bad shape.
According to report, South Dakota’s plan had the second-best funded ratio in the country. From The Bond Buyer:
The top five states with the highest pension funded levels were Wisconsin with 99.9%, South Dakota with 96.3%, North Carolina with 95.3%, Washington at 93.7% and New York at 92.7%. The five states with the lowest funded pension levels are Illinois with 43.4%, Kentucky with 53.4%, Connecticut with 55%, Louisiana at 56.2% and New Hampshire at 57.4%.