Pension Funding Gap Jumps To $10.2B
Associated Press - September 5, 2013 6:12 am
the Kansas public pension system says it had robust investment gains last year but still saw its long-term funding gap grow to $10.2 billion.
The gap widened because the Kansas Public Employees Retirement System was still booking deferred losses from the 2008 collapse of financial markets.
A Kansas House committee reviewed the figures Wednesday.
The gap represents the difference between anticipated revenues and promised benefits through 2033. The figure for the end of 2011 was about $9.2 billion.
KPERS reported earning 14.5 percent on its investments last year. Also, legislators enacted laws in 2011 and 2012 to overhaul the pension system to boost its long-term financial health.
But the system’s assets would cover only 56 percent of its long-term commitments.
Associated Press information from: The Topeka Capital-Journal