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- People and businesses in every state pay taxes to the federal government to help fund vital services.
- Not every state contributes equally, however. Some pay more than they get back while many states receive more than they put in.
- In 2017, New Jersey paid $ 24.75 billion more to the federal government than it got back compared to New Mexico, which received $ 20.096 billion more than its citizens paid.
Citizens and companies in every US state pay taxes to the government, but the resources and services that come from this collective funding aren’t distributed equally. Depending on a state’s level of need, population, and other factors, some states receive far more federal funding than others.
The New York State Comptroller conducted a study on exactly this for fiscal year 2017. It found that New Jersey sees more of its taxes leave the state than any other, $ 24.75 billion that year, and on the flip side, New Mexico received $ 20.096 billion more from the federal government than its citizens and corporations paid. Based on the state’s population, that amounts to a net gain of nearly $ 10,000 per person.
See how much your state gains or loses in taxes. A positive number indicates more money going back to the state than is paid out, while a negative number means the state is contributing more than it gets back.
No. 51: Washington, DC
AP Photo/Pablo Martinez Monsivais
(This one’s a bit of an outlier since it’s not a state.)
Balance of payments total: $ 39.866 billion
Per capita: $ 57,447
No. 50: New Jersey
Walter Hickey / BI
Balance of payments total: -$ 24.75 billion
Per capita: -$ 2,748
No. 49: Massachusetts
Scott Eisen/Getty Images
Balance of payments total: -$ 10.511 billion
Per capita: -$ 1,532
See the rest of the story at Business Insider
See Also:
- The 25 most charitable counties in the US
- What people at every income level from $ 21,000 to $ 266,000 will have to pay in taxes this year
- 11 new books to help you build wealth and get more done in 2019
SEE ALSO: What Americans pay in state income taxes, ranked from highest to lowest
