NJ Watchdog: State debt hits $52,300 per taxpayer

Dead last: NJ debt hits $52,300 per taxpayer, study shows

New Jersey ranks worst in the country for state debt, according to a new nationwide study.

Each state taxpayer would need to pay $52,300 to erase New Jersey’s existing bills – including public pensions and retiree health benefits – reports Truth in Accounting, a think tank in Chicago.

Among “sinkhole states,” New Jersey was followed by Connecticut, $48,600 debt burden per taxpayer; Illinois, $45,000; Kentucky, $32,600; and Massachusetts, $27,400.

In the past year, the debt per taxpayer in New Jersey increased by $16,300, or 45 percent, according to the non-profit group.

The findings are consistent with a New Jersey Watchdog analysis of State Treasury records that found the Garden State’s pension and health benefit deficit for public workers is nearing $200 billion.

Earlier this week, New Jersey Watchdog reported:

• New Jersey’s public pensions are underfunded by $113.1 billion. The state bears $80.5 billion of that burden. Local governments are responsible for the remaining $32.6 billion.
• State and local governments are also on the hook for $81.4 billion in unfunded health benefits for retired and active workers. The state owes $65 billion; the local share is $16.4 billion.
• The total shortfall is $194.5 billion – more than $60,000 per household. The figure is nearly six times higher than New Jersey’s total annual budget, currently $33.8 billion.

At the present pace, those unfunded liabilities will exceed $210 billion next year.

The full story is online at http://watchdog.org/238675/nj-debt-taxpayer/.