Chicago Pledges Final $130 Million Pension Payment as Pritzker Law Adds $11.1 Billion by 2055
Updated
Updated · Illinois Policy · Aug 14
Chicago Pledges Final $130 Million Pension Payment as Pritzker Law Adds $11.1 Billion by 2055
1 articles · Updated · Illinois Policy · Aug 14
Summary
$130 million more will be paid into Chicago’s pension systems this year, Mayor Brandon Johnson told investors, completing the second half of a City Council-mandated $260 million supplemental contribution.
That payment comes as the city’s 2025 financial report shows Gov. J.B. Pritzker’s pension sweetener for police and firefighters added $300 million to liabilities last year and is projected to add $11.1 billion in accrued debt by 2055.
Chicago’s pension debt fell only $106 million in 2025 despite $337 million in better-than-expected investment returns and $272 million in supplemental contributions, leaving more than $50 billion in liabilities backed by just $14 billion in assets.
The city still contributed 14.8% less than the actuarially recommended amount—nearly $500 million short—raising the risk of higher future payments to meet Illinois’ 90% funding target by 2058.
Chicago’s four pension systems are only 28.1% funded combined; experts view ratios below 60% as unhealthy, and three of the four systems are below 30%.