Retiree’s Financial Reserves by State

Scholaroo examined the economic future for retirees based on savings across all 50 states in the US to rank them. Check it Out!

Having financial security in retirement is a crucial factor, and the distribution of public pension funds plays a key role in providing a stable income for retirees. From pension plans that include diverse investment portfolios to risk management strategies, the effective allocation of pension assets is the backbone of a secure retirement.

In today’s evolving financial landscape, where individuals are increasingly responsible for their retirement planning, it’s critical to understand how public pension funds are distributed. Scholaroo’s data team investigated the economic future for retirees based on savings in all 50 states, examining factors from employee contribution rates to earnings on investment, to identify areas where retirees can enjoy a financially sound post-career life.

This report sheds light on retirement savings, providing a valuable resource for individuals looking to make informed decisions about their retirement planning. To explore the details further, dive into the comprehensive analysis provided below!


The Retiree Financial Reserve Across the Nation

Annual Required Contribution by the Employer as a Percentage of Payroll

The employer's annual contribution is typically determined by the current year's benefits earned and an additional amount to pay off previously unfunded benefits. This calculation takes into account employee contributions. Various methods used by the plans to calculate current year benefits and amortize unfunded benefits are also considered by government agencies.

Overall Ranking

To see the ranking of states in various metrics, scroll to the right. To explore other states, scroll down. Or you can type the name of your state into the search box below.



To determine the rankings of the distribution of public pensions in the United States, Scholaroo compared the 50 states on three relevant metrics related to pension systems, which represent part of the revenues, expenses, and assets of the pension system and which are sponsored by a recognized unit of government, as defined by the Census Bureau, and are listed below with their corresponding weight. Each metric was rated on a 100-point scale, with a score of 100 being the maximum.

Finally, we determined each state’s weighted average across all metrics to calculate its overall score and used the resulting scores to rank-order our sample.

Employee contributions: Regular Weight (40 points)
The per capita employee contribution rates for retirement benefit costs, considering the population over 60.

Government contributions: Regular Weight (40 points)
The per capita subset rates for government finances covering revenues, expenditures, financial assets, and participation in state and local government retirement systems, considering the population aged over 60.

Earnings on investments: Half Weight (20 points)
The per capita rates of public pension fund assets that are invested in diversified portfolios that include public equities; bonds issued by U.S. and foreign governments and companies; real estate; alternatives, such as private equities, hedge funds, and infrastructure; and other asset classes, considering the population aged over 60.