Illinois’ True Retirement Cost is 58% of the Budget

by Mike ‘Mish’ Shedlock
The Street

JPMorgan’s latest pension graphic captures so much of what’s wrong with Illinois’ collapsing finances.

Illinois was in an actuarial mess long ago. Covid-19 makes it harder to ignore says Wirepoints.

The chart by Michael Cembalest shows Illinois was paying about 25% of its budget for pension costs.

Before Covid-19, Illinois should have been paying over 50% to be sound on an actuarial basis. Now, the true costs are 58% of the budget.

Illinois has the worst funded pension plans in the nation. That was true before Covid-19 as well.

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