CalPERS today released a new study, “The Economic Impacts of CalPERS Pension Payments in 2010,” that details the effect that CalPERS pension payments have on California and its 58 counties. Results of the study indicate that CalPERS paid nearly $12 billion in benefits to more than 500,000 retirees, beneficiaries, and survivors in 2010. The benefit payments rippled through the California economy last year, generating $26 billion in economic activity and supporting more than 93,600 jobs across the State. The number of state jobs supported by retirement payments is greater than the number of jobs supported by the air transportation, broadcasting and utilities industries. State retirees receiving CalPERS payments generated $1 billion in state and local taxes, including almost $620 million in property and sales taxes. Each dollar contributed by state and local governments to the CalPERS Fund is invested, grows over time and when paid to beneficiaries in 2010 generated $10.79 of activity in the California economy.
“The evidence from this study is clear: CalPERS retirement checks are a powerful engine helping to drive California’s economy,” said Anne Stausboll, CalPERS Chief Executive Officer. “The research shows that every dollar in retirement funds we send out sparks new business activity and generates jobs for our State’s workers and tax receipts for our State’s cities and counties. As we continue to discuss public pensions, let’s remember that Californians’ retirement checks are a financial necessity and a vital source of economic strength for many people and communities around the State."
View the full study and county-by-county breakdown.