In 2022, Pennsylvania ranked ninth highest per capita recipient of government transfers in the U.S., with residents receiving an average of $12,986 each from programs such as Social Security, Medicare, Medicaid, and income maintenance, according to information from the Economic Innovation Group.
In total, residents in Pennsylvania received $168.46 billion in government transfers, which accounted for 20.1% 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 Pennsylvania at the time, Social Security transfers totaled $56.25 billion, amounting to $4,336 per capita, or 33.4% of total government transfers. Medicare transfers accounted for $41.21 billion ($3,177 per capita), representing 24.5% of the total. Medicaid contributed $42.81 billion ($3,300 per capita), making up 25.4% of total transfers. Income maintenance programs, including assistance such as SNAP or TANF, added another $15.69 billion ($1,209 per capita), or 9.3% of the total.
With 19.5% of the population aged 65 and older, Pennsylvania has a significant demand for programs like Social Security and Medicare. Despite this aid, the total per capita income excluding government transfers in Pennsylvania was $51,520, far below the state’s total income of $64,506, emphasizing the role of government transfers in overall income.
When comparing 2022 to the previous year, Pennsylvania saw a decrease of 20.1% in per capita government transfers, from $16,258 to $12,986 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 Pennsylvania, reliance on government transfers has similarly increased from 9.5% (or $2,309 per capita) in 1970 to 20.1% (or $12,986 per capita) in 2022, reflecting broader national trends.
According to the Economic Innovation Group’s analysis, these trends are not merely short-term responses to economic pressures but rather reflect a profound, long-term transformation in how government support is integrated into American life. The study illustrates that structural shifts—from rising healthcare expenses and demographic changes to stagnant wages—have significantly increased dependency on government transfers.
| State | Rank | Per Capita Transfers ($) | 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 |
