John Lettieri, President and CEO of Economic Innovation Group | Official Website
John Lettieri, President and CEO of Economic Innovation Group | Official Website
Among Washington’s counties, Ferry County saw the largest increase in transfer dependency over the past 10 years, surging 6.5% from 33.9% in 2012 to 40.4% in 2022, and up 29.4% from just 11% in 1970. In dollar terms, government transfers per capita in Ferry County jumped from $12,712 in 2012 to $17,849 in 2022, a stark contrast to the $2,124 recorded in 1970.
Garfield County followed with the second-largest increase in transfer dependency, increasing 4.9% from 23.8% in 2012 to 28.7% in 2022, and an overall increase of 22.1% from 1970’s 6.6% transfer dependency. This trend is reflected in per capita amounts, with residents of Garfield County receiving an average of $16,683 in transfer income in 2022, up from $11,705 in 2012 and more than double the $2,124 recorded in 1970.
Additionally, Ferry County had the highest percentage of income derived from government transfers, at 40.4% in 2022, making it the county with the highest overall transfer dependency. Pacific County and Pend Oreille County followed closely behind, with transfer dependency rates of 39.6% and 34.8% in 2022, respectively.
Compared to 1970, Ferry County increased by 29.4%, while Pacific County and Pend Oreille County have increased by 26.7% and 16.7%, respectively, showing sustained reliance on government transfers. Residents in Ferry County received an average of $17,849 in transfers per capita, with Pacific County and Pend Oreille County close behind at $18,397 and $17,006, respectively.
For comparison, the statewide average was 14.2% in 2022, showing a lower dependency than the national average of 17.6%. On a per capita level, this translates to $10,697 per resident in 2022, compared to $11,542 nationwide.
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).
In Washington, reliance on government transfers was just 9.1% (or $2,340 per capita in inflation-adjusted 2022 dollars) in 1970. This has since increased to 14.2% (or $10,697 per capita) in 2022, reflecting a total increase of 5.1% since 1970. This shift is largely influenced by increased healthcare costs, and economic transformations that have reshaped income sources across the U.S.
In 2022, the primary government transfer programs in Washington included:
- Social Security: $3,620 (33.8% of total transfers)
- Medicare: $2,226 (20.8% of total transfers)
- Medicaid: $2,291 (21.4% of total transfers)
- Income Maintenance Programs: $1,048 (9.8% of total transfers)
With 16.7% of the population aged 65 and older, Washington has a significant demand for programs like Social Security and Medicare. However, counties with higher poverty rates also show elevated Medicaid and income maintenance participation.
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 8.2% (or $2,022 per capita in inflation-adjusted 2022 dollars) in 1970 to 17.6% (or $11,542 per capita) in 2022 nationwide. In Washington, reliance on government transfers has similarly increased from 9.1% (or $2,340 per capita) in 1970 to 14.2% (or $10,697 per capita) in 2022.
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.
| County | Dependency on Transfers (%) | Change Since 2012 | Change Since 1970 | Per Capita Amount (2022) | Per Capita Change Since 2012 | Per Capita Change Since 1970 |
|---|---|---|---|---|---|---|
| Adams County | 24.9% | 4.7% | 19.4% | $11,943 | $3,043 | $10,381 |
| Asotin County | 30.4% | 4% | 17% | $16,535 | $4,410 | $13,739 |
| Benton County | 19.4% | 2.6% | 11.3% | $10,584 | $2,136 | $8,625 |
| Chelan County | 21.6% | 1% | 9.7% | $13,545 | $3,269 | $10,688 |
| Clallam County | 30.9% | 3.5% | 19.1% | $17,193 | $4,351 | $14,539 |
| Clark County | 15.8% | -0.7% | 6.9% | $10,329 | $2,001 | $8,225 |
| Columbia County | 30% | 3.7% | 21% | $18,753 | $5,403 | $15,968 |
| Cowlitz County | 26.6% | 0.5% | 17.2% | $14,522 | $2,739 | $12,316 |
| Douglas County | 22.9% | 1.5% | 15.3% | $11,260 | $2,550 | $9,525 |
| Ferry County | 40.4% | 6.5% | 29.4% | $17,849 | $5,137 | $15,725 |
| Franklin County | 20.6% | 1.5% | 11.6% | $9,497 | $2,140 | $7,382 |
| Garfield County | 28.7% | 4.9% | 22.1% | $16,683 | $4,978 | $14,488 |
| Grant County | 24.2% | 1.5% | 15.4% | $11,841 | $2,743 | $9,914 |
| Grays Harbor County | 34.3% | 2.7% | 21.7% | $16,056 | $3,701 | $13,279 |
| Island County | 21.2% | 1.9% | 15.7% | $13,904 | $3,550 | $12,381 |
| Jefferson County | 28.3% | 2% | 16.9% | $17,788 | $4,438 | $15,203 |
| King County | 7.5% | -1.7% | -0.6% | $8,503 | $1,205 | $6,104 |
| Kitsap County | 17% | 0.9% | 10.3% | $11,578 | $2,806 | $9,690 |
| Kittitas County | 20.4% | 0.1% | 10.2% | $11,250 | $2,407 | $9,300 |
| Klickitat County | 29.2% | 4.4% | 17% | $15,553 | $3,415 | $12,938 |
| Lewis County | 27.9% | -0.9% | 16.2% | $14,726 | $2,679 | $12,057 |
| Lincoln County | 28.7% | 4.6% | 21.5% | $14,921 | $3,284 | $12,536 |
| Mason County | 28.1% | 1.1% | 17.1% | $14,410 | $2,917 | $11,940 |
| Okanogan County | 32.5% | 3.8% | 20.9% | $16,121 | $4,478 | $13,526 |
| Pacific County | 39.6% | 4.1% | 26.7% | $18,397 | $3,474 | $15,611 |
| Pend Oreille County | 34.8% | 2.2% | 16.7% | $17,006 | $3,902 | $13,645 |
| Pierce County | 18.2% | 0.2% | 9.9% | $10,933 | $1,995 | $8,754 |
| San Juan County | 15.4% | 1.2% | 5.4% | $13,778 | $3,379 | $10,773 |
| Skagit County | 21.4% | 0.9% | 10.1% | $13,483 | $2,974 | $10,820 |
| Skamania County | 18.1% | -1.5% | 8.2% | $11,300 | $2,287 | $9,361 |
| Snohomish County | 12.7% | -0.9% | 3.8% | $8,774 | $1,478 | $6,633 |
| Spokane County | 22.4% | 0.8% | 11.2% | $12,148 | $2,363 | $9,586 |
| Stevens County | 32.6% | 2.5% | 19% | $15,222 | $3,680 | $12,634 |
| Thurston County | 19.7% | 2.2% | 11.6% | $11,743 | $2,652 | $9,559 |
| Wahkiakum County | 30% | -0.7% | 20.5% | $15,089 | $2,234 | $13,141 |
| Walla Walla County | 23.4% | 2.3% | 12.5% | $12,947 | $3,432 | $10,403 |
| Whatcom County | 19.1% | 1.5% | 9.1% | $11,269 | $2,547 | $8,998 |
| Whitman County | 18.2% | 2.3% | 11.4% | $8,499 | $1,914 | $7,017 |
| Yakima County | 27.5% | 3.4% | 13.4% | $13,527 | $3,179 | $10,609 |
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