Your pension fund is strong

How strong is the New York State Teachers’ Retirement System pension fund these days? Will it be there for me when I need it?

While life offers few guarantees, the strength of NYSTRS is one of the few things you don’t really need to worry about. NYSTRS’ 2023 Annual Comprehensive Financial Report reaffirms that it’s one of the largest and best-funded public pension funds in the country with net assets totaling $137.2 billion and a total portfolio return of 9 percent net of fees for the fiscal year ending June 30, 2023. The benefits paid to system retirees and beneficiaries totaled $8.2 billion for the fiscal year — up from $8 billion for the previous fiscal year.

That’s great news! Can you tell me other details about the pension fund?

Sure, here are some more interesting facts. The system serves nearly 449,000 people, 268,058 active members and 180,727 retirees and beneficiaries. The system is 99.3 percent funded based on the actuarial value of assets as of June 30, 2022, the most-recent calculation available.

Additionally, over the past 30 years, investment income has made up 85 percent of NYSTRS’ funding with employer and member contributions totaling 13 percent and 2 percent, respectively. And NYSTRS’ investments are broadly diversified among 11 primary asset classes to minimize investment risk and promote stability. Best of all, about 57 percent of NYSTRS assets are managed internally, which keeps administrative costs low.