If you live in Illinois now (or plan to live in Illinois in retirement), it's vital to know the facts.
Trust me I don't relish being the bearer of this awesome news, but with the pension mess and no budget and lots of other issues, retirement in Illinois may be effected. What this means to me is that someone retiring in Illinois, (certainly as compared to well-run states like North Dakota and Minnesota) needs to save more, not less.
Here are the gory details according to a recent article in USA Today. (Where does your state rank? The best- and worst-run states).
> Debt per capita: $5,119 (11th highest) > 2015 Unemployment rate: 5.9% (tied-12th highest) > Credit rating: Baa2/BBB > Poverty: 13.6% (23rd lowest)
Due to ongoing political gridlock, Illinois lawmakers have not agreed on annual budget for its next fiscal year. With a growing tab of unpaid bills and debt, Illinois has the worst credit rating of all states. The state’s outstanding bills totaled nearly $9 billion in October, up from less than $6 billion in October of last year and the highest since February 2013.
In addition to fiscal management problems, the state’s housing market and economy are struggling. Approximately 1 in every 80 housing units are in some stage of foreclosure in Illinois, nearly the worst foreclosure rate of all states. The state’s labor force has also declined over the past five years, and the unemployment rate of 5.5% as of October was among the highest in the nation.