SAFEGUARD NEW JERSEY'S FUTURE
WHY PENSION REFORM?
New Jersey’s pension crisis has been decades in the making. Our state has been driven into debt by years of irresponsible and wasteful spending. In 2016, New Jersey’s annual required contributions increased to $8.05 billion. Our debt will only continue to grow as these obligations continue unfunded.
But just because this problem grew worse over several years doesn’t mean we must wait decades to solve it. Reasonable solutions exist right now that would allow us to honor our commitments while restructuring the system to best work for New Jersey moving forward. We can give workers what they were promised while still protecting taxpayers and retirees. A sustainable pension system for retirees is important!
- Our state has roughly $170 billion in unfunded obligations, increasing our debt and putting hardworking New Jersey taxpayers on the hook.
- New taxes shouldn’t be the answer – cash-strapped New Jerseyans are already taxed enough!
- Instead, we could cut wasteful spending, eliminate unnecessary programs, and align real pension reform with the private sector using defined contribution or hybrid pension plans like 401(k)s.
It’s time to get New Jersey’s financial house in order – for the taxpayers of tomorrow as well as today.