State Retiree Benefits Fact Sheet – New Mexico

Fact Sheet Read time:
State Retiree Benefits Fact Sheet – New Mexico

New Mexico has generally done a very good job of managing its long-term pension obligations. Its public employee pension, which is 92% funded, started to show an upturn in 2006 (similar to many state plans that use a fouryear smoothing period to calculate the actuarial value of assets and therefore no longer reflect poor investment returns earlier in the decade). However, the aggregate figures for the state's pension system don't reflect that increase because of the larger education fund, which was only about 70% funded at the end of 2005, the most recent state information available. On the non-pensions side, New Mexico's actuaries have calculated the liability for retiree health care and other benefits at $5 billion. New Mexico may be in better shape than many states on this issue because its state retiree health care authority board maintains a fund equal to seven to nine years of premium payments. This money is not in an irrevocable trust, however—so based on standards set by the Governmental Accounting Standards Board, it may not be considered when calculating the state's unfunded liability for non-pension benefits.

Spotlight on Mental Health

MORE FROM PEW

A flock of black-winged birds with their wings fully stretched flies low over a tan marsh interspersed with still blue water. Why Coastal Wetlands Are Crucial for Migratory Birds
Four flowers with yellow petals on a single stem are surrounded by tall dry grasses and blown by a gentle breeze. A brown sign in the background reads “Big Stone National Wildlife Refuge.” Indigenous-Led Conservation Wins Key Protections Nationwide
A transmission tower with power lines extending from it rises above a field of yellow and red flowers, with cloudy skies overhead. Advanced Tech Can Help Ease Energy Transmission Gridlock
A large cypress tree, surrounded by several smaller trees, grows in the murky water of a wetland. Wetland Protection Shift Poses Challenge for States
Composite image of modern city network communication concept

Learn the Basics of Broadband from Our Limited Series

Sign up for our four-week email course on Broadband Basics
Quick View

How does broadband internet reach our homes, phones, and tablets? What kind of infrastructure connects us all together? What are the major barriers to broadband access for American communities?

Pills illustration
Pills illustration

What Is Antibiotic Resistance—and How Can We Fight It?

Sign up for our four-week email series The Race Against Resistance.
Quick View
Pills illustration

Antibiotic-resistant bacteria, also known as “superbugs,” are a major threat to modern medicine. But how does resistance work, and what can we do to slow the spread? Read personal stories, expert accounts, and more for the answers to those questions in our four-week email series: Slowing Superbugs.

Explore Pew’s new and improved
Fiscal 50 interactive

Your state's stats are more accessible than ever with our new and improved Fiscal 50 interactive:

  • Maps, trends, and customizable charts
  • 50-state rankings
  • Analysis of what it all means
  • Shareable graphics and downloadable data
  • Proven fiscal policy strategies

Explore

Welcome to the new Fiscal 50

Key changes include:

  • State pages that help you keep track of trends in your home state and provide national and regional context.
  • Interactive indicator pages with highly customizable and shareable data visualizations.
  • A Budget Threads feature that offers Pew’s read on the latest state fiscal news.

Learn more about the new and improved Fiscal 50.