State and local government pension systems held $6.49 trillion in short- and long-term assets in 2025, an 8.46% increase from $5.98 trillion a year earlier, the U.S. Census Bureau reported.
The Annual Survey of Public Pensions covers state and locally administered defined-benefit systems. Those plans promise a specified retirement benefit rather than an account balance determined only by individual contributions and investment returns.
More than 37 million people participated in the systems, including inactive employees who were no longer contributing but remained eligible for future benefits.
Total employee and government contributions reached $315.02 billion. Employees supplied 24.83% of that amount, while governments contributed 75.17% on behalf of workers.
Benefit payments totaled $418.25 billion in 2025, up 3.40% from $404.46 billion in 2024. Beneficiaries include retirees as well as eligible spouses and dependent children.
The fact that benefit payments exceeded contributions during the year does not by itself show whether systems are adequately funded. Pension plans also receive investment income and pay benefits from accumulated assets.
Likewise, the increase in assets is not the same as an improvement in funded status. Funded ratios depend on actuarial liabilities, discount-rate assumptions, benefit promises and other system-specific factors.
The Census Bureau publishes national and state statistics as well as a separate unit file with actuarial information for state and local systems, allowing comparisons beyond the headline totals.
The 2025 survey is a broad balance-sheet and cash-flow snapshot. Evaluating any individual pension system requires its own actuarial valuation, governance record and investment-risk profile.