Alaska ranks second highest in U.S. for per capita government transfer income at $14,153 in 2022

John Lettieri, President and CEO of Economic Innovation Group - Official Website
John Lettieri, President and CEO of Economic Innovation Group - Official Website
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In 2022, Alaska ranked second highest per capita recipient of government transfers in the U.S., with residents receiving an average of $14,153 each from programs such as Social Security, Medicare, Medicaid, and income maintenance, according to information from the Economic Innovation Group.

In total, residents in Alaska received $10.38 billion in government transfers, which accounted for 20.6% of total state income.

Comparatively, across all U.S. states, government transfer payments totaled $3.85 trillion, making up 17.6% of residents’ total income nationwide, with an average of $11,542 per resident.

Government transfer payments are non-repayable funds provided by federal, state, or local governments to support individuals in need. These payments aim to stabilize economic conditions and provide financial support during hardships. Key programs include Social Security transfers (retirement benefits), Medicare transfers (healthcare for seniors), Medicaid transfers (healthcare for low-income individuals), and income maintenance transfers (financial assistance for basic needs).

Breaking down the contributions in Alaska at the time, Social Security transfers totaled $2.01 billion, amounting to $2,746 per capita, or 19.4% of total government transfers. Medicare transfers accounted for $1.4 billion ($1,903 per capita), representing 13.4% of the total. Medicaid contributed $2.49 billion ($3,397 per capita), making up 24% of total transfers. Income maintenance programs, including assistance such as SNAP or TANF, added another $1.15 billion ($1,572 per capita), or 11.1% of the total.

With 13.9% of the population aged 65 and older, Alaska has ademand for programs like Social Security and Medicare. Despite this aid, the total per capita income excluding government transfers in Alaska was $54,483, far below the state’s total income of $68,635, emphasizing the role of government transfers in overall income.

When comparing 2022 to the previous year, Alaska saw a decrease of 2.9% in per capita government transfers, from $14,579 to $14,153 per capita.

Government transfers have long been a modest financial safety net, historically comprising only a small fraction of Americans’ income. However, since the 1970s—sometimes dubbed the “Great Transfer-mation”—dependency has surged from 8.21% (or $2,022 per capita in inflation-adjusted 2022 dollars) in 1970 to 17.63% (or $11,542 per capita) in 2022. In Alaska, reliance on government transfers has similarly increased from 3.7% (or $1,267 per capita) in 1970 to 20.6% (or $14,153 per capita) in 2022, reflecting broader national trends.

According to the Economic Innovation Group’s analysis, these trends are not merely short-term responses to economic pressures but rather reflect a profound, long-term transformation in how government support is integrated into American life. The study illustrates that structural shifts—from rising healthcare expenses and demographic changes to stagnant wages—have significantly increased dependency on government transfers.

Breakdown of Government Transfers by Program in Alaska, 2022

2022 Alaska U.S. State Rankings by Per Capita Government Transfers

State Rank Per Capita Transfers ($) Dependency on Transfers (%) % Population 65+ Social Security Transfers ($) Medicare Transfers ($) Medicaid Transfers ($) Income Maintenance Transfers ($)
West Virginia 1 $14,450 28.9% 21.1% $8,634,326,000 $6,134,627,000 $5,086,574,000 $2,805,996,000
Alaska 2 $14,153 20.6% 13.9% $2,014,147,000 $1,396,005,000 $2,491,957,000 $1,153,396,000
Delaware 3 $13,866 21.9% 20.6% $4,774,071,000 $3,288,055,000 $3,284,202,000 $1,304,451,000
New Mexico 4 $13,842 26.5% 19.3% $8,093,527,000 $5,319,412,000 $8,473,388,000 $4,590,605,000
Maine 5 $13,779 22.7% 22.4% $6,418,745,000 $4,533,432,000 $3,907,324,000 $2,267,521,000
New York 6 $13,463 17.9% 18% $71,047,966,000 $58,896,229,000 $84,980,264,000 $33,854,167,000
District of Columbia 7 $13,278 13.8% 13% $1,522,786,000 $1,471,171,000 $3,924,966,000 $1,407,284,000
Louisiana 8 $13,019 23.9% 16.8% $16,236,426,000 $14,137,579,000 $15,954,237,000 $7,650,343,000
Pennsylvania 9 $12,986 20.1% 19.5% $56,248,121,000 $41,212,909,000 $42,807,144,000 $15,685,324,000
Kentucky 10 $12,890 24.8% 17.4% $17,945,225,000 $13,484,355,000 $15,272,174,000 $5,866,704,000
Massachusetts 11 $12,629 14.9% 18% $25,273,431,000 $21,137,589,000 $22,164,325,000 $13,586,988,000
Vermont 12 $12,623 20% 21.4% $3,006,621,000 $1,701,456,000 $1,967,322,000 $713,565,000
Oregon 13 $12,514 20.1% 19.1% $17,349,954,000 $11,349,632,000 $13,842,540,000 $5,209,946,000
Arkansas 14 $12,493 23.7% 17.7% $12,460,463,000 $8,939,327,000 $8,930,650,000 $3,651,372,000
Rhode Island 15 $12,447 19.6% 18.8% $4,445,529,000 $3,134,051,000 $3,325,004,000 $1,389,235,000
Florida 16 $12,269 18.9% 21.4% $92,952,163,000 $78,746,552,000 $33,907,328,000 $25,635,465,000
Arizona 17 $12,093 20.7% 18.9% $28,157,560,000 $19,639,650,000 $21,712,019,000 $7,919,770,000
South Carolina 18 $12,028 22.4% 18.9% $23,284,621,000 $16,391,561,000 $7,814,453,000 $6,957,725,000
Mississippi 19 $11,984 25.8% 17.2% $11,828,609,000 $9,190,720,000 $5,908,950,000 $4,268,817,000
California 20 $11,927 15.5% 15.7% $114,591,461,000 $104,798,134,000 $124,069,566,000 $67,953,536,000
Alabama 21 $11,924 23.4% 17.9% $21,188,387,000 $15,533,632,000 $7,590,405,000 $7,490,105,000
Michigan 22 $11,834 20.7% 18.6% $44,457,070,000 $30,487,745,000 $21,503,114,000 $12,683,364,000
Connecticut 23 $11,828 14.3% 18.6% $14,597,902,000 $10,908,366,000 $10,281,953,000 $3,849,674,000
Ohio 24 $11,680 20.2% 18.3% $44,591,207,000 $35,521,917,000 $30,737,491,000 $14,796,635,000
Oklahoma 25 $11,654 20.7% 16.3% $14,981,159,000 $11,381,629,000 $8,035,997,000 $5,793,329,000
Indiana 26 $11,545 19.8% 16.8% $27,040,950,000 $19,166,150,000 $17,462,327,000 $8,610,437,000
North Carolina 27 $11,491 19.8% 17.2% $41,674,984,000 $29,853,720,000 $19,348,343,000 $14,416,861,000
Missouri 28 $11,453 19.8% 17.9% $24,581,220,000 $18,376,598,000 $14,161,085,000 $6,098,791,000
Minnesota 29 $11,379 16.5% 17.3% $21,523,737,000 $14,263,168,000 $17,170,187,000 $6,304,840,000
Hawaii 30 $11,236 18.2% 18.1% $5,466,040,000 $3,477,824,000 $3,194,415,000 $2,200,904,000
Tennessee 31 $11,209 19.2% 17.1% $27,925,639,000 $20,344,966,000 $12,303,060,000 $9,062,647,000
Montana 32 $11,163 18.3% 20% $4,532,531,000 $2,836,712,000 $2,424,768,000 $872,051,000
Wisconsin 33 $11,137 18.1% 18.6% $25,079,785,000 $16,282,086,000 $11,801,286,000 $6,223,499,000
New Hampshire 34 $11,127 15.1% 20% $6,556,416,000 $3,922,307,000 $2,550,868,000 $868,433,000
New Jersey 35 $11,114 14.4% 17.3% $34,560,319,000 $25,829,313,000 $21,911,488,000 $10,616,482,000
Illinois 36 $10,848 16% 17% $43,784,193,000 $33,324,158,000 $27,428,176,000 $20,365,579,000
Wyoming 37 $10,831 14.8% 18.6% $2,370,626,000 $1,481,659,000 $725,670,000 $411,783,000
Virginia 38 $10,811 15.7% 17% $31,242,295,000 $20,276,257,000 $19,545,562,000 $9,353,569,000
Iowa 39 $10,773 17.9% 18.1% $12,769,785,000 $8,531,809,000 $6,992,398,000 $2,902,744,000
Maryland 40 $10,724 15.3% 16.7% $20,986,870,000 $16,196,059,000 $15,515,457,000 $7,087,223,000
South Dakota 41 $10,713 15.7% 18% $3,487,998,000 $2,392,138,000 $1,301,219,000 $1,207,719,000
Washington 42 $10,697 14.2% 16.7% $28,185,284,000 $17,333,051,000 $17,836,339,000 $8,158,342,000
Nevada 43 $10,264 16.5% 17% $10,683,627,000 $8,480,761,000 $5,047,768,000 $3,996,099,000
Nebraska 44 $10,262 16% 16.8% $6,879,197,000 $5,040,688,000 $3,562,113,000 $1,669,152,000
Idaho 45 $10,187 18% 16.9% $7,085,847,000 $4,475,404,000 $3,464,767,000 $2,272,775,000
Kansas 46 $10,119 16.7% 17% $11,203,065,000 $7,700,328,000 $4,711,113,000 $2,701,697,000
Colorado 47 $10,012 13.2% 15.6% $18,022,112,000 $12,497,691,000 $12,460,913,000 $7,754,896,000
Georgia 48 $9,964 17.6% 15% $35,477,812,000 $26,898,913,000 $14,408,450,000 $15,815,508,000
North Dakota 49 $9,913 14.1% 16.6% $2,615,337,000 $1,823,683,000 $1,586,443,000 $599,700,000
Texas 50 $9,720 15.5% 13.4% $83,072,964,000 $70,952,428,000 $57,982,451,000 $38,843,661,000
Utah 51 $7,551 12.7% 11.9% $8,597,890,000 $5,594,394,000 $4,452,987,000 $2,953,291,000


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