New Jersey Ranks Among States with the Nation’s Most Debt
New Jersey Among Nation’s Most Debt-Burdened States, Ranking Near Top in Per-Resident Liability
New Jersey ranks among the most debt-burdened states in the country on a per-resident basis, with roughly $224.6 billion in total liabilities and an estimated debt load of $24,176 per person, according to Reason Foundation data highlighted in a recent News 12 report.
That places New Jersey second nationwide in debt per resident, trailing only Connecticut, which carries about $27,031 in per-capita liabilities. News 12 reported New Jersey’s burden at about $23,000 per resident, citing the same overall trend: while some larger states carry more total debt, New Jersey’s smaller population leaves each resident with a heavier proportional share.
California, for example, leads the nation in overall liabilities at roughly $498.2 billion, but its per-capita burden is far lower, at $12,599. New York’s total liabilities stand at about $245.5 billion, yet its per-resident figure is $12,152 — also far below New Jersey’s.
The broader ranking underscores how population size can reshape the picture. States with massive total liabilities do not always top the list on a per-person basis. In Reason Foundation’s fiscal 2022 analysis, the five highest states for per-capita total liabilities were Connecticut, New Jersey, Hawaii, Illinois, and Wyoming.
The data also points to pension obligations as a major part of New Jersey’s long-term fiscal strain. The state carried about $75.1 billion in net pension liabilities at the end of fiscal 2022, or roughly $8,082 per resident, one of the highest pension burdens in the nation.
By contrast, some of the lowest debt loads per resident were found in Tennessee and Utah, according to the News 12 report. Reason Foundation’s figures place Tennessee at $1,708 per person and Utah at $1,972.
The numbers offer a stark measure of New Jersey’s fiscal position: not the largest debt pile in America, but one of the heaviest burdens when divided across the people who live there.
