New York ranked no. 39 for fiscal health

A new report on the financial condition of the 50 states ranked New York no. 39 for its fiscal health in fiscal year 2023. The report found that 27 states did not have enough money to pay their bills at the end of fiscal year 2023. New York’s finances improved overall, but the state still did not have enough money to cover its bills.

The analysis by Truth in Accounting, a nonprofit government finance watchdog group, found New York needed $74.7 billion to pay its bills. This means that each New York taxpayer would have to pay $9700 to get the state out of debt, which is why it received a “D” grade for its fiscal health.

The information uncovered in this report, which is based on the states’ latest audited financial report, not only affects the general taxpayer, but also teachers, firefighters, police officers, and any state employee planning to collect retirement funds from the state. Unfunded pensions and other post-retirement benefits continued to impair the state’s ability to pay its bills. The stock market significantly influences government debt reporting; during strong market performance, the value of pension systems’ investments can make state debt seem lower.