John Lettieri, President and CEO of Economic Innovation Group | Official Website
John Lettieri, President and CEO of Economic Innovation Group | Official Website
Among Iowa’s counties, Union County saw the largest increase in transfer dependency over the past 10 years, surging 6.4% from 22.4% in 2012 to 28.8% in 2022, and up 15.3% from just 13.5% in 1970. In dollar terms, government transfers per capita in Union County jumped from $9,749 in 2012 to $14,422 in 2022, a stark contrast to the $2,690 recorded in 1970.
Jefferson County followed with the second-largest increase in transfer dependency, increasing 5.4% from 18.9% in 2012 to 24.3% in 2022, and an overall increase of 14.8% from 1970’s 9.5% transfer dependency. This trend is reflected in per capita amounts, with residents of Jefferson County receiving an average of $13,339 in transfer income in 2022, up from $8,517 in 2012 and more than double the $2,690 recorded in 1970.
Additionally, Appanoose County had the highest percentage of income derived from government transfers, at 30.3% in 2022, making it the county with the highest overall transfer dependency. Decatur County and Montgomery County followed closely behind, with transfer dependency rates of 30% and 29.4% in 2022, respectively.
Compared to 1970, Appanoose County increased by 14.4%, while Decatur County and Montgomery County have increased by 16.5% and 19.3%, respectively, showing sustained reliance on government transfers. Residents in Appanoose County received an average of $14,476 in transfers per capita, with Decatur County and Montgomery County close behind at $13,362 and $14,815, 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 $10,773 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 Iowa, reliance on government transfers was just 8.4% (or $1,923 per capita in inflation-adjusted 2022 dollars) in 1970. This has since increased to 17.9% (or $10,773 per capita) in 2022, reflecting a total increase of 9.5% 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 Iowa included:
- Social Security: $3,990 (37% of total transfers)
- Medicare: $2,666 (24.7% of total transfers)
- Medicaid: $2,185 (20.3% of total transfers)
- Income Maintenance Programs: $907 (8.4% of total transfers)
With 18.1% of the population aged 65 and older, Iowa 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 Iowa, reliance on government transfers has similarly increased from 8.4% (or $1,923 per capita) in 1970 to 17.9% (or $10,773 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.
| County | Dependency on Transfers (%) | Change Since 2012 | Change Since 1970 | Per Capita Amount (2022) | Per Capita Change Since 2012 | Per Capita Change Since 1970 |
|---|---|---|---|---|---|---|
| Adair County | 18.3% | 0.4% | 9.4% | $12,370 | $3,390 | $10,530 |
| Adams County | 22.3% | 2% | 12% | $15,106 | $3,293 | $13,057 |
| Allamakee County | 21.7% | 1.8% | 10.9% | $11,955 | $2,615 | $9,888 |
| Appanoose County | 30.3% | 2% | 14.4% | $14,476 | $3,298 | $11,626 |
| Audubon County | 19.8% | 0.7% | 10.9% | $13,703 | $3,292 | $11,798 |
| Benton County | 15% | 0.2% | 7.1% | $10,395 | $2,349 | $8,585 |
| Black Hawk County | 21.2% | 2.4% | 12.4% | $11,318 | $2,401 | $9,399 |
| Boone County | 20.8% | -0.3% | 10.8% | $11,247 | $63 | $8,980 |
| Bremer County | 17.4% | 1.8% | 9.9% | $10,380 | $2,098 | $8,744 |
| Buchanan County | 18.1% | 1.6% | 8.7% | $10,847 | $2,400 | $9,033 |
| Buena Vista County | 18.5% | 3.6% | 10.8% | $10,025 | $2,127 | $8,104 |
| Butler County | 20.7% | 2.2% | 11% | $12,423 | $2,821 | $10,456 |
| Calhoun County | 20.5% | 1.9% | 10.5% | $13,175 | $2,854 | $10,913 |
| Carroll County | 18.3% | 1.8% | 9.9% | $11,862 | $2,663 | $10,065 |
| Cass County | 25% | 2% | 14.8% | $14,767 | $3,685 | $12,419 |
| Cedar County | 15.1% | 1.8% | 8.2% | $9,879 | $2,260 | $8,253 |
| Cerro Gordo County | 20.2% | 1.1% | 11.3% | $13,655 | $3,345 | $11,544 |
| Cherokee County | 15% | -1.2% | 6.4% | $12,473 | $3,095 | $10,600 |
| Chickasaw County | 13.8% | -3% | 4.1% | $12,294 | $3,065 | $10,362 |
| Clarke County | 24.5% | 0.6% | 12.5% | $11,832 | $2,132 | $9,319 |
| Clay County | 19.5% | 3.5% | 11.5% | $12,073 | $3,146 | $10,237 |
| Clayton County | 21.2% | 2.5% | 11.2% | $13,690 | $4,056 | $11,708 |
| Clinton County | 24.8% | 2.8% | 16.9% | $13,023 | $2,635 | $11,173 |
| Crawford County | 20.3% | 3.7% | 12% | $11,087 | $2,825 | $9,344 |
| Dallas County | 7.8% | -0.1% | -0.5% | $6,201 | $1,032 | $4,123 |
| Davis County | 18.7% | -1.2% | 7.9% | $9,666 | $1,473 | $7,436 |
| Decatur County | 30% | 2.6% | 16.5% | $13,362 | $3,870 | $10,963 |
| Delaware County | 16.6% | 0.9% | 8.3% | $10,098 | $2,402 | $8,539 |
| Des Moines County | 23.1% | 1% | 14.8% | $13,973 | $3,201 | $11,864 |
| Dickinson County | 17.6% | 1.2% | 8.3% | $13,066 | $3,250 | $10,882 |
| Dubuque County | 18.1% | 1.6% | 10.7% | $10,866 | $2,598 | $9,253 |
| Emmet County | 24.9% | 3.7% | 16% | $13,469 | $3,050 | $11,378 |
| Fayette County | 26% | 2.3% | 15.3% | $13,683 | $2,576 | $11,614 |
| Floyd County | 22.4% | -0.4% | 12.3% | $13,242 | $2,585 | $11,067 |
| Franklin County | 18.7% | 2.9% | 10.8% | $12,147 | $2,844 | $10,258 |
| Fremont County | 23.3% | 2.5% | 13.7% | $14,565 | $3,326 | $12,105 |
| Greene County | 22.4% | 4.2% | 13.9% | $13,863 | $3,492 | $11,667 |
| Grundy County | 16.2% | 1.9% | 8.8% | $10,590 | $1,905 | $8,878 |
| Guthrie County | 20% | 0.7% | 8.4% | $13,600 | $3,276 | $11,275 |
| Hamilton County | 18.3% | 0% | 10.4% | $11,633 | $1,726 | $9,657 |
| Hancock County | 18% | 2.5% | 10.8% | $12,013 | $3,069 | $10,156 |
| Hardin County | 19% | 1.6% | 10.2% | $13,078 | $2,801 | $10,923 |
| Harrison County | 21.3% | 0.7% | 9.3% | $12,406 | $2,236 | $9,950 |
| Henry County | 23.2% | 3.5% | 13.8% | $11,630 | $2,655 | $9,561 |
| Howard County | 19% | 2.6% | 7.3% | $11,986 | $3,164 | $9,917 |
| Humboldt County | 20.3% | 2.7% | 11.6% | $12,297 | $2,834 | $10,376 |
| Ida County | 16% | -1.4% | 7.2% | $12,303 | $2,575 | $10,200 |
| Iowa County | 17.6% | 3.6% | 10.4% | $10,671 | $2,644 | $8,860 |
| Jackson County | 22.8% | 2.6% | 13.5% | $12,656 | $3,238 | $10,738 |
| Jasper County | 21.8% | 2.8% | 14.3% | $11,022 | $2,272 | $9,223 |
| Jefferson County | 24.3% | 5.4% | 14.8% | $13,339 | $4,822 | $11,299 |
| Johnson County | 12.2% | 2.3% | 7.3% | $7,627 | $2,239 | $6,556 |
| Jones County | 20.4% | 1.7% | 12.3% | $10,902 | $2,298 | $9,171 |
| Keokuk County | 23.3% | 4.2% | 12% | $12,889 | $3,286 | $10,442 |
| Kossuth County | 20% | 3.7% | 12.1% | $13,300 | $3,404 | $11,614 |
| Lee County | 27.3% | 3.1% | 17.3% | $13,652 | $3,371 | $11,481 |
| Linn County | 16.9% | 2.8% | 10.5% | $10,324 | $2,465 | $8,714 |
| Louisa County | 21.2% | 3.2% | 12.3% | $11,229 | $3,028 | $9,252 |
| Lucas County | 26% | 2.4% | 14% | $12,808 | $2,747 | $10,018 |
| Lyon County | 12.9% | 2% | 5.1% | $9,240 | $2,382 | $7,586 |
| Madison County | 16.9% | 1.4% | 7.8% | $9,830 | $2,119 | $7,730 |
| Mahaska County | 21.5% | 2% | 10.9% | $11,039 | $2,280 | $8,812 |
| Marion County | 17.9% | 0.8% | 8.9% | $10,706 | $2,394 | $8,584 |
| Marshall County | 24.8% | 2.6% | 17.5% | $12,085 | $2,014 | $10,159 |
| Mills County | 18.3% | -7% | 10.4% | $12,959 | -$2,585 | $10,937 |
| Mitchell County | 12.1% | -3.1% | 1.6% | $11,594 | $2,672 | $9,426 |
| Monona County | 23.3% | 0.6% | 12.7% | $14,095 | $3,165 | $11,683 |
| Monroe County | 22.9% | 1.3% | 9.4% | $12,571 | $3,372 | $9,966 |
| Montgomery County | 29.4% | 4.6% | 19.3% | $14,815 | $3,466 | $12,422 |
| Muscatine County | 20.8% | 3.7% | 13% | $11,296 | $2,904 | $9,404 |
| O'Brien County | 18.4% | 1.7% | 8.6% | $11,958 | $1,929 | $9,917 |
| Osceola County | 17.2% | 3.8% | 8.8% | $11,259 | $2,924 | $9,377 |
| Page County | 26.9% | 3.4% | 16.6% | $14,318 | $3,693 | $12,027 |
| Palo Alto County | 19.6% | 3.8% | 9.9% | $12,755 | $3,078 | $10,597 |
| Plymouth County | 15.1% | 1.5% | 7.1% | $10,186 | $2,433 | $8,560 |
| Pocahontas County | 19.6% | 3.1% | 10.1% | $12,435 | $2,330 | $10,298 |
| Polk County | 15% | 2% | 7.8% | $9,413 | $2,092 | $7,513 |
| Pottawattamie County | 23.9% | 3.7% | 15% | $12,497 | $2,971 | $10,468 |
| Poweshiek County | 19.2% | 2.6% | 11.3% | $10,792 | $2,547 | $9,016 |
| Ringgold County | 26.6% | 1.9% | 15% | $15,253 | $3,967 | $12,820 |
| Sac County | 16.2% | -0.4% | 7.1% | $12,638 | $2,711 | $10,553 |
| Scott County | 17.7% | 1.2% | 11.4% | $11,177 | $1,603 | $9,561 |
| Shelby County | 20.1% | 1.6% | 12.3% | $13,397 | $2,908 | $11,718 |
| Sioux County | 12.7% | 0.4% | 5.6% | $8,560 | $1,992 | $7,059 |
| Story County | 15% | 3.1% | 8.8% | $7,479 | $1,844 | $6,196 |
| Tama County | 20.4% | 2.7% | 11.2% | $11,840 | $2,802 | $9,778 |
| Taylor County | 24.1% | 1.2% | 11.6% | $13,862 | $3,392 | $11,402 |
| Union County | 28.8% | 6.4% | 15.3% | $14,422 | $4,673 | $11,732 |
| Van Buren County | 27.7% | 5% | 13.7% | $13,284 | $3,838 | $10,681 |
| Wapello County | 28.4% | 1.8% | 15.8% | $12,990 | $2,244 | $10,268 |
| Warren County | 15.1% | 1% | 8% | $9,127 | $1,935 | $7,527 |
| Washington County | 14.6% | -1.2% | 5.8% | $11,508 | $2,688 | $9,432 |
| Wayne County | 22.7% | -2% | 8.2% | $12,089 | $1,466 | $9,305 |
| Webster County | 22.9% | 2% | 13.6% | $12,228 | $2,232 | $10,150 |
| Winnebago County | 22.9% | 3.4% | 13.4% | $12,584 | $2,782 | $10,572 |
| Winneshiek County | 18.2% | 2.6% | 9.1% | $11,134 | $3,367 | $9,501 |
| Woodbury County | 21.1% | 2.5% | 11.4% | $10,754 | $2,364 | $8,506 |
| Worth County | 20.1% | 3% | 9.4% | $11,130 | $2,454 | $8,962 |
| Wright County | 19.3% | 0.8% | 10% | $13,586 | $2,786 | $11,381 |
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