John Lettieri, President and CEO of Economic Innovation Group | Official Website
John Lettieri, President and CEO of Economic Innovation Group | Official Website
Among New York’s counties, Jefferson County saw the largest increase in transfer dependency over the past 10 years, surging 5.9% from 16.5% in 2012 to 22.4% in 2022, and up 10.7% from just 11.7% in 1970. In dollar terms, government transfers per capita in Jefferson County jumped from $8,549 in 2012 to $11,568 in 2022, a stark contrast to the $2,437 recorded in 1970.
Orleans County followed with the second-largest increase in transfer dependency, increasing 4.5% from 24.8% in 2012 to 29.3% in 2022, and an overall increase of 19.7% from 1970’s 9.6% transfer dependency. This trend is reflected in per capita amounts, with residents of Orleans County receiving an average of $13,286 in transfer income in 2022, up from $9,803 in 2012 and more than double the $2,437 recorded in 1970.
Additionally, Bronx County had the highest percentage of income derived from government transfers, at 37.5% in 2022, making it the county with the highest overall transfer dependency. Montgomery County and Chautauqua County followed, with transfer dependency rates of 32% and 31% in 2022, respectively.
Compared to 1970, Bronx County increased by 22.7%, while Montgomery County and Chautauqua County have increased by 20.4% and 20.1%, respectively, showing sustained reliance on government transfers. Residents in Bronx County received an average of $15,252 in transfers per capita, with Montgomery County and Chautauqua County close behind at $15,025 and $14,352, respectively.
For comparison, the statewide average was 17.9% in 2022, showing a higher dependency than the national average of 17.6%. On a per capita level, this translates to $13,463 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 New York, reliance on government transfers was just 9.5% (or $2,731 per capita in inflation-adjusted 2022 dollars) in 1970. This has since increased to 17.9% (or $13,463 per capita) in 2022, reflecting a total increase of 8.4% 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 New York included:
- Social Security: $3,611 (26.8% of total transfers)
- Medicare: $2,993 (22.2% of total transfers)
- Medicaid: $4,319 (32.1% of total transfers)
- Income Maintenance Programs: $1,721 (12.8% of total transfers)
With 18% of the population aged 65 and older, New York 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 New York, reliance on government transfers has similarly increased from 9.5% (or $2,731 per capita) in 1970 to 17.9% (or $13,463 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 |
|---|---|---|---|---|---|---|
| Albany County | 16.6% | -1.1% | 8.4% | $12,164 | $1,500 | $9,856 |
| Allegany County | 30.2% | 2.5% | 19.9% | $12,485 | $2,390 | $10,551 |
| Bronx County | 37.5% | 2.6% | 22.7% | $15,252 | $2,859 | $11,908 |
| Broome County | 25.9% | 1.8% | 16.7% | $12,651 | $1,765 | $10,413 |
| Cattaraugus County | 30.1% | 3.3% | 17.9% | $13,733 | $2,567 | $11,366 |
| Cayuga County | 24.5% | 2.2% | 13.7% | $12,644 | $2,792 | $10,387 |
| Chautauqua County | 31% | 2.9% | 20.1% | $14,352 | $2,715 | $11,989 |
| Chemung County | 27.8% | 3.3% | 17.4% | $14,332 | $3,202 | $11,942 |
| Chenango County | 28.5% | 2.4% | 17.8% | $14,058 | $2,958 | $11,862 |
| Clinton County | 26.6% | 3.3% | 16.9% | $13,619 | $3,031 | $11,685 |
| Columbia County | 20.2% | 0% | 9.9% | $13,942 | $2,691 | $11,630 |
| Cortland County | 24.8% | 1.7% | 15.6% | $11,807 | $2,182 | $9,955 |
| Delaware County | 29.8% | 2.7% | 18.6% | $13,684 | $2,882 | $11,558 |
| Dutchess County | 17.7% | 0.7% | 11.2% | $12,107 | $2,532 | $10,426 |
| Erie County | 21.9% | 0.8% | 12.9% | $12,596 | $1,803 | $10,352 |
| Essex County | 26.2% | 1% | 13.1% | $14,014 | $2,350 | $11,440 |
| Franklin County | 28.1% | 2.8% | 13.1% | $13,814 | $3,528 | $11,280 |
| Fulton County | 29.6% | 0.5% | 17.8% | $14,858 | $2,462 | $12,333 |
| Genesee County | 24.8% | 2.8% | 15.3% | $12,207 | $2,354 | $9,957 |
| Greene County | 23.9% | 0.3% | 11% | $13,447 | $2,171 | $10,588 |
| Hamilton County | 25.3% | 1.8% | 11.5% | $13,701 | $1,633 | $11,064 |
| Herkimer County | 28.3% | 1.6% | 18.6% | $13,978 | $2,488 | $11,727 |
| Jefferson County | 22.4% | 5.9% | 10.7% | $11,568 | $3,019 | $9,131 |
| Kings County | 23.8% | -2.8% | 9.7% | $14,305 | $2,252 | $10,891 |
| Lewis County | 21.6% | 3.3% | 10.9% | $11,670 | $2,974 | $9,746 |
| Livingston County | 23.8% | 2.9% | 16.4% | $11,944 | $2,724 | $10,256 |
| Madison County | 21.9% | 2% | 13% | $12,262 | $3,285 | $10,412 |
| Monroe County | 22.1% | 2.8% | 14.8% | $13,098 | $2,434 | $10,991 |
| Montgomery County | 32% | 2.7% | 20.4% | $15,025 | $2,380 | $12,392 |
| Nassau County | 12% | 0.6% | 6.1% | $11,969 | $1,750 | $9,850 |
| New York County | 8.3% | 0.1% | 0.2% | $15,557 | $2,263 | $11,526 |
| Niagara County | 25.9% | 1.4% | 16.1% | $13,421 | $2,305 | $11,110 |
| Oneida County | 26.6% | 1.6% | 16.5% | $13,733 | $2,281 | $11,446 |
| Onondaga County | 20.6% | 1% | 11.3% | $12,460 | $2,143 | $10,161 |
| Ontario County | 20.1% | 1.3% | 10.9% | $12,420 | $2,563 | $10,196 |
| Orange County | 19% | 1.1% | 10.4% | $11,030 | $1,660 | $8,880 |
| Orleans County | 29.3% | 4.5% | 19.7% | $13,286 | $3,483 | $11,094 |
| Oswego County | 27.4% | 2.5% | 17.2% | $12,933 | $2,662 | $10,912 |
| Otsego County | 25.2% | 2.2% | 13.4% | $12,512 | $2,472 | $10,051 |
| Putnam County | 13.4% | 2.4% | 6.6% | $10,796 | $2,431 | $8,934 |
| Queens County | 27% | 1.1% | 16.4% | $14,646 | $2,560 | $11,223 |
| Rensselaer County | 21.3% | 1.2% | 11.3% | $11,945 | $2,013 | $9,660 |
| Richmond County | 24.9% | 0.9% | 14.3% | $15,541 | $2,155 | $12,690 |
| Rockland County | 17.6% | 1% | 11.8% | $11,940 | $1,414 | $10,281 |
| St. Lawrence County | 29.2% | 2.3% | 17.8% | $12,920 | $2,624 | $10,854 |
| Saratoga County | 13.9% | 1.1% | 6.9% | $10,389 | $2,046 | $8,791 |
| Schenectady County | 22.2% | 2% | 13.3% | $12,679 | $2,192 | $10,237 |
| Schoharie County | 25.1% | 2.3% | 15.2% | $12,403 | $3,134 | $10,374 |
| Schuyler County | 29.6% | 4.3% | 19.3% | $14,459 | $3,479 | $12,369 |
| Seneca County | 27.2% | 3.2% | 18.7% | $12,673 | $2,941 | $10,793 |
| Steuben County | 24.9% | 2.1% | 14.5% | $13,523 | $3,105 | $11,279 |
| Suffolk County | 14.8% | -0.1% | 7.6% | $12,478 | $2,372 | $10,617 |
| Sullivan County | 27.4% | -0.2% | 15.5% | $14,926 | $2,504 | $12,064 |
| Tioga County | 24.7% | 3.6% | 16.8% | $12,527 | $2,666 | $10,808 |
| Tompkins County | 17.3% | 2.3% | 9.7% | $8,839 | $1,949 | $7,275 |
| Ulster County | 21.8% | 0.3% | 12.7% | $13,560 | $2,779 | $11,410 |
| Warren County | 22.6% | 1.4% | 11.8% | $13,730 | $2,515 | $11,290 |
| Washington County | 26.5% | 2.6% | 16.5% | $12,641 | $2,811 | $10,651 |
| Wayne County | 24.4% | 1.7% | 16% | $13,134 | $2,717 | $11,226 |
| Westchester County | 9.5% | -0.2% | 3.5% | $11,751 | $1,531 | $9,412 |
| Wyoming County | 23.1% | 1.9% | 13.7% | $11,617 | $2,875 | $9,658 |
| Yates County | 25.2% | 0.9% | 14% | $12,422 | $2,441 | $10,127 |
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