Plan

Sioux Falls ERS

State

South Dakota

Funded Ratio

68.8%

Assets

$583M

Members

1,296

Health Grade: C — Underfunded — significant gap between assets and liabilities

FY2023 data Grade C Public Plans Database

Sioux Falls ERS

Funded ratio, unfunded liability, member counts, ARC coverage, and 23-year financial history for Sioux Falls ERS — sourced from the Public Plans Database (Boston College CRR) and cross-checked against actuarial valuations.

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By Kiznis Studio Editorial · June 2026 · South Dakota · General State Plan · Data through FY2023

Financial Health Grade

Underfunded — significant gap between assets and liabilities

Funded Ratio

68.8%

actuarial assets / liabilities

Unfunded Liability

$264M

actuarial shortfall

Total Members

1,296

active + retired + vested

1-Year Return

9.7%

net investment return

4.9pp vs 5-yr avg

5-Year Avg Return

4.8%

annualized, net of fees

ARC Payment

45.3%

of actuarially required contribution

How Sioux Falls ERS Funded Ratio Compares

Plan Funded Ratio 68.8%

National avg

A ratio of 68.8% 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	N/A	N/A	N/A	N/A
2023	68.8%	$583M	$264M	1,296
2022	68.7%	$532M	$243M	1,313
2021	66.2%	$636M	$325M	1,328
2020	61.2%	$570M	$361M	1,344
2019	61.5%	$517M	$324M	1,365
2018	59.4%	$441M	$301M	1,382
2017	57.6%	$469M	$346M	1,399
2016	51.1%	$385M	$369M	1,416
2015	48.5%	$361M	$384M	1,442
2014	45.9%	$364M	$429M	1,478
2013	42.6%	$343M	$462M	1,501
2012	51.0%	$285M	$274M	1,493
2011	41.9%	$251M	$349M	1,465
2010	N/A	$249M	N/A	1,434
2009	N/A	$218M	N/A	1,413
2008	N/A	$187M	N/A	1,384
2007	N/A	$260M	N/A	1,368
2006	N/A	$241M	N/A	1,343
2005	N/A	$211M	N/A	1,327

What the Data Says About Sioux Falls ERS

Sioux Falls ERS reports a funded ratio of 68.8% as of fiscal year 2023, earning a financial health grade of C in the Public Plans Database. The plan holds $583M in market assets against an unfunded liability of $264M. As a General State plan operating under South Dakota sponsorship, it covers 1,296 members (423 active contributors, 783 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 in the 60–80% range indicates moderate underfunding that falls near the national average of 72–75% but leaves the plan exposed to market downturns and demographic shifts. Employer contributions covered 45.3% of the Annual Required Contribution in the most recent reporting cycle, while the plan posted a 5-year average investment return of 4.8%. The relationship between contribution adequacy and investment performance determines whether the unfunded liability narrows or expands year over year.

For South Dakota taxpayers and plan members, the $264M 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 Sioux Falls ERS rely on the full faith and credit of South Dakota — 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

423

Active Members

783

Retirees

1,296

Total Members

Plan Details

Plan Type: General State
State: South Dakota
Market Assets: $583M
ARC Payment: 45.3%

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

Other South Dakota Plans

South Dakota Retirement System 80.4%
Sioux Falls Fire 24.4%

All South Dakota plans →

Related Resources

Pension Guides

Frequently Asked Questions

Is Sioux Falls ERS fully funded?

Sioux Falls ERS has a funded ratio of 68.8% as of FY2023, earning a health grade of C. 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 Sioux Falls ERS runs out of money?

Public pension plans like Sioux Falls ERS are backed by the sponsoring government entity — in this case South Dakota. 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 68.8% mean?

A funded ratio of 68.8% means that Sioux Falls ERS currently has assets equal to 68.8% of its projected benefit obligations. The unfunded liability — the gap between assets and liabilities — stands at $264M. This represents a moderate funding gap that requires ongoing monitoring.

How does Sioux Falls ERS compare to other public pensions?

Sioux Falls ERS is a General State plan in South Dakota serving 1,296 members. Nationally, the average funded ratio for public pension plans tracked by the Public Plans Database is approximately 72–75%. Sioux Falls ERS's funded ratio of 68.8% places it near the national average.

How many members does Sioux Falls ERS have?

Sioux Falls ERS covers 1,296 total members, including 423 active employees and 783 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 Sioux Falls ERS?

Sioux Falls ERS pays 45.3% 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.

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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