Which US States Get More Than They Give (2024)

FAQs

Which US States Get More Than They Give? ›

Virginia, Kentucky, New Mexico and West Virginia get the most back from the federal government, raking in far more than they contribute. Virginia almost doubles its money, paying about $10,000 in tax revenues per resident, while receiving more than $20,000 in federal money per person.

California received the most from the federal government, $162.9 billion, followed by New York ($110.2 billion), Texas ($105.8 billion), Florida ($58.8 billion), and Pennsylvania ($57.1 billion).

Based on SNAP data, California leads the pack with a staggering 1,911,000 SNAP households, followed closely by Florida (1,632,000) and Texas (1,595,000). New York and Pennsylvania complete the top five, emphasizing the correlation between high population states and the prevalence of welfare recipients.

Alaska. Alaska is the most federally dependent state, as over 57% of the state's revenue comes from federal funding.

Texans sent the federal government $261 billion in taxes in 2016, and the state government received $39.5 billion in grants in return, or about 15 percent of our total federal tax tab. Those grants were the state's second-largest revenue source, providing more than a third of its net revenue in that year.

Florida received the least federal funding per person, $2,693. At the lower end of the spectrum were Kansas ($2,750), Nevada ($2,792), Wisconsin ($2,889), and South Dakota ($2,919).

State With Most Welfare Recipients

California stands out as the state with the highest number of welfare recipients, with 1,911,000 households benefiting from SNAP.

In fact, a substantial share of total net federal tax revenues comes from California — more than $378 billion in federal fiscal year 2016, according to analysis by the California Budget & Policy Center. Collectively, California taxpayers contribute $1 in every $8 in total net federal tax revenues (see chart below).

What state has the best government assistance? ›

Vermont ranks as the most generous state with the average low-income person receiving about $26,000 in benefits.

In fiscal year 2022, California had the largest number of SNAP participants of all states and the District of Columbia, with 4,627,700 people in total. New Mexico's 518,800 participants in 2022 represented 25% of the state's total population, the highest percentage of all 50 states and the District of Columbia.

SNAP recipients represent different races and/or ethnicities. White: about 37 percent; African American: 26 percent; Hispanic: 16 percent; Asian: 3 percent; and Native American: about 2 percent. (About 16 percent of participants are categorized as “race unknown.”) Many SNAP households have earned income.

In total, 10 states are so-called donor states, meaning they pay more in taxes to the federal government than they receive back in funding for, say, Medicaid or public education. North Dakota, Illinois, New Hampshire, Washington state, Nebraska and Colorado round out the list.

U.S. state and local government outstanding debt 2021, by state. In 2021, the federal state of California had about 541.24 billion U.S. dollars of debt outstanding, the most out of any state. New York, Texas, Illinois, and Florida rounded out the top five states with the most debt outstanding in 2021.

Yet, California is way ahead of the competition as far as per-capita contribution goes. While 11.7 percent of Americans live in California, the state contributed 14.2 percent to GDP in Q1 of 2023.

U.S. state and local government outstanding debt 2021, by state. In 2021, the federal state of California had about 541.24 billion U.S. dollars of debt outstanding, the most out of any state. New York, Texas, Illinois, and Florida rounded out the top five states with the most debt outstanding in 2021.

Giver and taker states are defined by the amount of money they receive from the federal government relative to the amount they contribute in federal taxes. The ratio of outlays to taxes in giver states is less than 1, while the ratio in taker states is greater than 1.

California, Texas, New York, Florida, and Illinois had the nation's highest GDPs in both 2022 and 2021. Each recorded a state GDP of over $1 trillion, the only states in the country to reach that mark. Combined, these five states contributed approximately 41% of the national GDP.