New survey shows Kentucky pension system is worst funded
LOUISVILLE, Ky. (AP) – A new survey shows Kentucky’s pension system has the lowest ratio of all states of money needed to make payouts to current and future retirees.
WFPL-FM (http://bit.ly/2cIKJCd) reports the survey by S&P Global Ratings shows Kentucky has $31.2 billion in unfunded pension liabilities, and the state’s various pension funds have 37.4 percent of the money needed for current and future retiree payouts.
State pension officials reported last month that the main pension fund for state workers is only 17 percent funded.
Officials blame $326 million of the $347 million loss over the last fiscal year on “negative cash flows associated with employer contributions.” That includes funds from local governments, the state and other agencies that participate in the Kentucky Employees Retirement Systems. Officials also cited a 4 percent increase in the number of retirees to whom the system had to pay benefits.
Information from: WFPL-FM, http://wfpl.org
Copyright 2016 The Associated Press.