New calculations troubling for New Jersey pension system

North Jersey reports:

New calculations show that the pension fund covering retirement benefits for most of New Jersey’s public employees is projected to go broke in a decade, not the 30 years officials had estimated just months ago.

The fund that covers retirements for judges has less than 10 years.

And the largest of New Jersey’s pension funds, the one for teachers, will run out of money in 13 years.

The actual values of the pension funds have not changed, and the investments are still growing at rates much better than managers had predicted. What did change was the formula used to account for how much money will be needed to cover benefits for future retirees. When the impact of that change was made public in a Wall Street analysis last month, the differences were stark.

What if the stock market is lower 6 years from now?