Department of Employee Trust Funds
July 6, 2009
Study Measures Economic Impact of WRS
The retirement benefits paid to Wisconsin’s public employee
retirees support a significant amount of economic activity in the
state, according to a national economic impact study by the National
Institute on Retirement Security (NIRS).
Payments to retirees are overwhelmingly spent right here at home
because more than 90% of Wisconsin Retirement System (WRS) retirees
live in Wisconsin. This spending reverberates throughout the local
and state economy, as one person’s spending becomes another
person’s income, creating a multiplier effect.
In its report, Pensionomics: Measuring the Economic Impact of State
and Local Pension Plans, the NIRS found that in Wisconsin, spending
coming from pension payments to WRS retirees supported
- 33,324 jobs that paid $1.7 billion in wages and salaries;
- $4.5 billion in total economic output; and
- $732.6 million in federal, state, and local tax revenues
The study analyzed the economic impact of public pensions in all
50 states, using 2006 data. View Wisconsin’s
Fact Sheet compiled by the NIRS.