Milliman’s latest public pension funding index (PPFI), released Thursday, saw its funded ratio at a stable 81.1%, unchanged from January.
The global consulting and actuarial firm, which analyzes data from the country’s 100 largest public defined benefit (DB) plans, finds that estimated aggregate market returns in February of 0.3% left the funded ratio unchanged compared to the month prior.
Previously, market volatility at the end of 2024 and start of 2025 caused the Milliman 100 PPFI funded ratio to dip from 81.7% as of November 30 to 80.0% as of December 31, before rising back up to 81.1% as of January 31.
According to today’s findings, individual plans’ estimated returns ranged from -0.3% to 2.1% during this time, as the value of plan assets grew from $5.281 trillion on January 31 to $5.290 trillion on February 28.
Plan liabilities also increased throughout the month, Milliman reports, from $6.508 trillion at the end of January to $6.523 trillion at February’s end. In turn, this gap slightly widened the deficit between assets and liabilities from $1.227 trillion on January 31 to $1.233 trillion as of February 28, Milliman adds.
“February’s subdued market gains caused one plan to slip below the 90% funded mark at the end of the month,” said Becky Sielman, co-author of Milliman’s PPFI. “Thirty plans now stand above this benchmark, while 11 remain less than 60% funded. Still, the plans’ continued funded ratio of 81.1% is just shy of the highest level seen in three years in a sign of stability for public pensions.”
Milliman’s monthly update on pension funded status monitors changes in pension liabilities and the market value of assets for multiemployer, corporate, and public DB pension plans. The global consulting and actuarial firm also regularly comments on 401(k) contribution limits from the Internal Revenue Service (IRS).
More information on Milliman’s 100 Public Pension Funding Index can be found here.
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Amanda Umpierrez is the Managing Editor of 401(k) Specialist magazine. She is a financial services reporter with over six years of experience and a passion for telling stories and reporting news. Amanda received her degree in journalism and government and politics at St. John’s University. She is originally from Queens, New York, but now resides in Denver, Colorado with her partner. In her free time, Amanda enjoys running, cooking, and watching the latest drama show.
