Plan

Municipal Employees' Retirement System of Michigan

State

Michigan

Funded Ratio

100.8%

Assets

$12.38B

Members

86,029

Health Grade: B — Adequately funded — meeting most funding benchmarks

FY2023 data Grade B Public Plans Database

Municipal Employees' Retirement System of Michigan

Funded ratio, unfunded liability, member counts, ARC coverage, and 23-year financial history for Municipal Employees' Retirement System of Michigan — sourced from the Public Plans Database (Boston College CRR) and cross-checked against actuarial valuations.

Browse all states → How we grade plans

By Kiznis Studio Editorial · June 2026 · Michigan · Municipal Plan · Data through FY2023

Financial Health Grade

Adequately funded — meeting most funding benchmarks

Funded Ratio

100.8%

actuarial assets / liabilities

Unfunded Liability

$-94M

actuarial shortfall

Total Members

86,029

active + retired + vested

1-Year Return

8.0%

net investment return

-0.9pp vs 5-yr avg

5-Year Avg Return

8.9%

annualized, net of fees

ARC Payment

10.8%

of actuarially required contribution

How Municipal Employees' Retirement System of Michigan Funded Ratio Compares

Plan Funded Ratio 100.0%

National avg

A ratio of 100.8% compared against the national public-pension average of 73.5%.

Healthy Threshold

Plans above 80% are generally considered adequately funded by NASRA standards.

Participant Composition

The active-to-retiree ratio is a leading indicator of long-term plan sustainability — plans with more retirees than active contributors face mounting cash-flow pressure as benefit payments outpace incoming contributions.

Investment Policy Mix

Public pension plans report their asset allocation in Form 5500 Schedule H Part I disclosures. Equity-heavy mixes capture market upside but introduce volatility; fixed-income tilts protect funded status during downturns at the cost of long-run return.

Historical Funded Ratio

Year	Funded Ratio	Assets	Unfunded	Members
2024	100.8%	N/A	N/A	N/A
2023	103.4%	$12.38B	$-408M	86,029
2022	91.2%	$10.98B	$1.06B	85,405
2021	101.2%	$12.58B	$-153M	84,658
2020	98.3%	$11.14B	$198M	84,574
2019	98.7%	$9.92B	$128M	84,834
2018	89.5%	$8.97B	$1.05B	83,936
2017	86.5%	$9.48B	$1.48B	83,296
2016	86.1%	$8.47B	$1.36B	81,869
2015	89.4%	$7.89B	$933M	81,081
2014	91.2%	$8.08B	$783M	79,016
2013	88.4%	$7.68B	$1.01B	74,889
2012	88.8%	$6.87B	$867M	71,188
2011	93.5%	$5.94B	$413M	70,473
2010	96.3%	$5.97B	$229M	69,707
2009	102.5%	$5.28B	$-129M	67,254
2008	112.7%	$4.51B	$-508M	66,586
2007	113.6%	$6.07B	$-726M	65,556
2006	112.2%	$5.59B	$-608M	64,545
2005	114.2%	$4.91B	$-610M	62,748

What the Data Says About Municipal Employees' Retirement System of Michigan

Municipal Employees' Retirement System of Michigan reports a funded ratio of 100.8% as of fiscal year 2023, earning a financial health grade of B in the Public Plans Database. The plan holds $12.38B in market assets against an unfunded liability of $-94M. As a Municipal plan operating under Michigan sponsorship, it covers 86,029 members (30,153 active contributors, 46,637 retirees drawing benefits). These figures aggregate from Form 5500 filings submitted to the Department of Labor and actuarial valuations reported through NASRA.

A funded ratio above 80% signals that Municipal Employees' Retirement System of Michigan has substantial assets to meet projected obligations, placing it above the national public-pension average of roughly 72–75%. Employer contributions covered 10.8% of the Annual Required Contribution in the most recent reporting cycle, while the plan posted a 5-year average investment return of 8.9%. The relationship between contribution adequacy and investment performance determines whether the unfunded liability narrows or expands year over year.

For Michigan taxpayers and plan members, the $-94M unfunded gap represents the actuarial shortfall that must eventually be closed through a combination of contributions, investment returns, or benefit modifications. Unlike private-sector pensions governed by ERISA and backstopped by the PBGC, public plans like Municipal Employees' Retirement System of Michigan rely on the full faith and credit of Michigan — meaning funding shortfalls flow through to state and local budgets rather than a federal insurance program. This information summarizes official Public Plans Database disclosures and is provided for research and educational purposes only. It is not financial, legal, or retirement-planning advice; active and retired members with specific benefit questions should consult their plan administrator directly.

Membership

30,153

Active Members

46,637

Retirees

86,029

Total Members

Plan Details

Plan Type: Municipal
State: Michigan
Market Assets: $12.38B
ARC Payment: 10.8%

Source: Public Plans Database (PPD)
Boston College CRR / NASRA

Other Michigan Plans

All Michigan plans →

Related Resources

Pension Guides

Frequently Asked Questions

Is Municipal Employees' Retirement System of Michigan fully funded?

Municipal Employees' Retirement System of Michigan has a funded ratio of 100.8% as of FY2023, earning a health grade of B. A funded ratio of 100% means the plan has enough assets to cover all projected liabilities. Ratios above 80% are generally considered adequately funded; ratios below 60% indicate significant underfunding and risk to future benefits.

What happens if Municipal Employees' Retirement System of Michigan runs out of money?

Public pension plans like Municipal Employees' Retirement System of Michigan are backed by the sponsoring government entity — in this case Michigan. If a plan's assets are insufficient, the state or local government is typically required to make up the difference through increased contributions, benefit adjustments, or tax measures. Unlike private pensions, public pensions are not insured by the PBGC, but they do carry the full faith and credit of the sponsoring government.

What does a funded ratio of 100.8% mean?

A funded ratio of 100.8% means that Municipal Employees' Retirement System of Michigan currently has assets equal to 100.8% of its projected benefit obligations. The unfunded liability — the gap between assets and liabilities — stands at $-94M. This is considered adequately funded.

How does Municipal Employees' Retirement System of Michigan compare to other public pensions?

Municipal Employees' Retirement System of Michigan is a Municipal plan in Michigan serving 86,029 members. Nationally, the average funded ratio for public pension plans tracked by the Public Plans Database is approximately 72–75%. Municipal Employees' Retirement System of Michigan's funded ratio of 100.8% places it above the national average, reflecting strong fiscal management.

How many members does Municipal Employees' Retirement System of Michigan have?

Municipal Employees' Retirement System of Michigan covers 86,029 total members, including 30,153 active employees and 46,637 retirees currently receiving benefits. The ratio of active members to retirees is a key indicator of plan sustainability — when the number of retirees grows relative to active contributors, funding pressure increases.

What is the ARC payment percentage for Municipal Employees' Retirement System of Michigan?

Municipal Employees' Retirement System of Michigan pays 10.8% of its Annual Required Contribution (ARC). Consistently underpaying the ARC accelerates the growth of unfunded liabilities and places future benefits at greater risk. Employer contribution patterns are tracked annually in the Public Plans Database.

Browse all → | Rankings →

Data sourced from official Public Plans Database and actuarial valuations from federal and state pension systems. See our methodology for details. Retrieved and formatted by Kiznis Studio Editorial

Disclaimer: This information is provided for informational purposes only and does not constitute professional advice. Data is sourced from the Public Plans Database (PPD). Consult a qualified professional before making decisions based on this data.

Read our methodology — how this data is sourced, computed, and verified.

All federal data sources used on this page

U.S. Census Bureau ACS — demographic + housing + income data. census.gov/programs-surveys/acs
BLS Occupational Employment and Wage Statistics (OEWS) — wage + employment by occupation. bls.gov/oes
BEA Regional Economic Accounts — GDP + personal income by state/metro. bea.gov/data/regional
U.S. Census Bureau County Business Patterns — establishment + employment by industry. census.gov/cbp
IRS Statistics of Income (SOI) — tax-return aggregate data. irs.gov/statistics
data.gov — U.S. federal open-data portal — discovery layer for additional federal sources. data.gov