We examine spending on retiree health care as a percentage of revenues for a sample of New York State school districts. The fiscal burden of these benefits grew from 2010 to 2021, and big city school districts have faced the largest burdens. Assuming CBO forecasts regarding growth in health care costs and continuation of recent trends in revenue growth, we project that the burden of retiree health care benefits will exceed 10 percent of revenue by 2050. Projected burdens are greatest big city and high need rural districts. We discuss cutting benefits and pre-funding as possible policy responses.

Document Type

Working Paper


Fall 12-22-2022


Retiree benefits, health care benefits, school district finance, public budgeting, fiscal sustainability




Working Papers Series


Economic Policy | Economics | Public Affairs, Public Policy and Public Administration | Public Policy



Additional Information

Working paper no. 252

Creative Commons License

Creative Commons Attribution 4.0 International License
This work is licensed under a Creative Commons Attribution 4.0 International License.



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