Rhode Island Ranks No. 38 in State Finances, Receives D Grade

Rhode Island has a Taxpayer Burden™ of $8,500 per taxpayer, according to Truth in Accounting’s 2026 Financial State of the States report. The state ranks No. 38 out of 50 and earned a D grade in the nonpartisan nonprofit’s 17th annual report, which analyzes states’ financial condition using audited government financial statements and retirement system reports.

What the Numbers Mean for Rhode Island

A Taxpayer Burden™ measures the state’s shortfall divided by its estimated number of taxpayers. The $8,500 figure is not an actual tax bill, but illustrates the scale of the state’s financial obligations.

The report shows Rhode Island needed approximately $3.6 billion more to cover its bills.

How It Compares Nationally

Across the country, 24 states did not have enough money to pay all their bills, while 26 states had a Taxpayer Surplus™. Collectively, states reported $2.85 trillion in bills and $2.23 trillion in assets available to pay them, leaving a $624 billion shortfall. The bills included $775 billion in unfunded pension liabilities and $490 billion in unfunded retiree healthcare obligations.

Strong investment market returns improved many states’ pension positions in 2025. Truth in Accounting cautions states against using favorable investment years to increase promised benefits or reduce pension contributions, urging them instead to strengthen long-term funding.

Read the full 2026 Financial State of the States report.