Posted on Jul 7, 2015
CAPT Kevin B.
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There's an interesting article in USA Today with one take on the long term financial health of states, in particular their pensions. They created an interesting map. I decided to grab a map of what parties control the legislatures in 2014 as it was handy. It's interesting to see that some of the long term Democratic controlled states have the worst problems, while a number of long term Republican controlled states tend to stay away from the bottom third more. Some likely exceptions exist for which party has less to do with it like Alaska with all the oil money and Nevada with gambling revenues. So without detailed analysis that I'm not going to do because I'm retired, there is a general trend that would say Republican controlled states tend to be more fiscally sound.

These are just two snapshots and there are others out there which would perhaps tell a different story. It is interesting though.

Check it out: http://www.usatoday.com/story/money/business/2015/07/06/state-fiscal-health-pension-funds-report/29763379/
Posted in these groups: Retirement logo RetirementFinance Finance
Edited >1 y ago
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PO1 John Miller
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CAPT Kevin B., I guess the numbers don't lie!
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SPC Jan Allbright, M.Sc., R.S.
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"Based on 2013 data"
California now has a budget surplus.
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CAPT Kevin B.
CAPT Kevin B.
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I believe it's Fiscal Year which California starts July 1. I wasn't looking at individual years but was cuing into longer trends. Thanks for the info.
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LTC John Shaw
LTC John Shaw
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SPC Jan Allbright, M.Sc., R.S. Current budget surplus is a one year event. The USA Today article is factoring in long-term obligations that are significant underfunded in most states. Retiree pensions and health care seem to be the biggest issues for the blue states of CA, IL, NY. Maybe CA will get smart use the $7-8 Billion 'surplus' to start to cover the $313B underfunded in pensions; somehow, I doubt they will.
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