Tennessee Consolidated Retirement System (TCRS)
public plan · State of Tennessee · Nashville, TN
Tennessee Consolidated Retirement System (TCRS) is essentially fully funded: 92% funding ratio — assets of $57.0B against actuarial liabilities of $61.9B. Fully funded status is the regulatory target most plans aim for; getting there usually requires sustained investment returns plus disciplined sponsor contributions.
Tennessee Consolidated Retirement System (TCRS) is a government pension plan administered by State of Tennessee. Unlike private corporate plans, the benefit guarantee flows from the sponsoring government's ongoing tax authority and contribution obligations rather than from federal insurance. The plan remains active — accruing new benefits for current employees and accepting new participants. Among private-sector single-employer plans, the active status is increasingly rare as employers freeze accruals while continuing to fund existing obligations; public-sector plans are more often still actively accruing.
On scale, Tennessee Consolidated Retirement System (TCRS) is a mega-plan: $57.0B in assets serving 378,000 participants (190,000 active, 188,000 retired). Plans this large dominate the U.S. pension landscape and carry concentrated solvency risk. Active and retired participants are roughly balanced (190,000 active, 188,000 retired). The plan is in a steady-state cash-flow phase where new accruals offset benefit payments. Annual cash flows: $2.2B in sponsor contributions versus $3.5B in benefit payments. Investment performance over the most recent year ran 6.8%, against the plan's assumed long-term return of 7.1%.
On PBGC risk classification: low — the plan's funded status and solvency trajectory are favorable enough that PBGC intervention is not on the near-term horizon. Public plans like Tennessee Consolidated Retirement System (TCRS) are not PBGC-insured. The benefit guarantee rests on the sponsoring government's ability and willingness to make required contributions, which interacts with state and local tax-base dynamics.
Source: DOL EFAST2 Form 5500 filings and Boston College CRR Public Plans Database.
Funding History
What This Means for You
Tennessee Consolidated Retirement System (TCRS) is in excellent financial health at 92% funded. This means for every dollar the plan owes in future benefits, it has 92 cents in assets to cover it. As a public pension, benefits are typically backed by the taxing authority of the sponsoring government. Participants in this plan have relatively low risk of benefit reductions.
Year-by-Year Funding
| Year | Assets | Liabilities | Funding Ratio | Contributions |
|---|---|---|---|---|
| 2023 | $57.0B | $61.9B | 92.1% | $2.2B |
| 2022 | $55.3B | $61.4B | 90.0% | $2.1B |
| 2021 | $53.6B | $56.4B | 95.0% | $2.1B |
| 2020 | $51.9B | $58.9B | 88.0% | $2.0B |
| 2019 | $50.2B | $55.1B | 91.0% | $1.9B |
Frequently Asked Questions
Tennessee Consolidated Retirement System (TCRS) is 92% funded, meaning it has 92 cents in assets for every dollar in future benefit obligations. This is considered healthy by actuarial standards.
Tennessee Consolidated Retirement System (TCRS) has 378,000 total participants, including 190,000 active employees and 188,000 retirees currently receiving benefits.
Tennessee Consolidated Retirement System (TCRS) is not covered by the PBGC. Benefits depend entirely on the plan's assets and the sponsor's ability to fund it.
The Pension Health Score (0-100, A-F) measures a pension plan's financial strength based on funding ratio (50%), funding trend over 3 years (30%), and PBGC risk level (20%). Higher scores indicate more secure retirement benefits.
Pension Health Score is calculated from funding ratio, 3-year funding trend, and PBGC risk classification.