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Friday, April 4, 2025

Washington County saw 33.1% increase in transfer dependency percentage since 1970 as of 2022

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John Lettieri, President and CEO of Economic Innovation Group | Official Website

John Lettieri, President and CEO of Economic Innovation Group | Official Website

In 2022, government transfers made up 41.9% of total income in Washington County, North Carolina—an alarming 33.1% surge from 8.8% in 1970 and a 5.9% increase from 2012’s 36%. This marks the fifth largest increase among all North Carolina counties over the past decade, according to information from the Economic Innovation Group.

On a per capita basis, this translates to $19,018 per resident in 2022, up from $14,433 in 2012 and $1,452 in 1970, ranking Washington County as the seventh fastest-growing in per capita government transfers among North Carolina counties over the past 10 years.

Meanwhile, Washington County had the second largest share of income derived from government transfers, making it one of the largest dependent counties in the state.

Among North Carolina's counties, Cherokee County saw the largest increase in transfer dependency over the past 10 years, surging 4.4% from 38.1% in 2012 to 42.5% in 2022, and up 28.2 percentage points from just 14.3% in 1970. In dollar terms, government transfers per capita in Cherokee County jumped from $13,202 in 2012 to $17,000 in 2022, contrasting to the $1,923 recorded in 1970.

For comparison, the statewide average was 19.8% in 2022, showing a higher dependency than the national average of 17.6%. On a per capita level, this translates to $11,491 per resident, 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 County, reliance on government transfers was just 8.8% (or $1,452 per capita in inflation-adjusted 2022 dollars) in 1970. This has since increased to a total of 33.1% since 1970. This shift is largely influenced by an aging population increased healthcare costs, and economic transformations that have reshaped income sources across the U.S.

In 2022, the primary government transfer programs in Washington County included:

  • Social Security: $6,050 per capita (31.8% of total transfers)
  • Medicare: $4,969 per capita (26.1% of total transfers)
  • Medicaid: $3,402 per capita (17.9% of total transfers)
  • Income Maintenance Programs: $2,535 per capita (13.3% of total transfers)

With 28% of the population aged 65 and older, Washington County has a significant demand for 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.

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.

Government Transfer Trends by County in North Carolina, 2022
CountyDependency on Transfers (%)Change Since 2012Change Since 1970Per Capita Amount (2022)Per Capita Since 2012Per Capita Since 1970
Cherokee County42.5%+4.4%+28.2%$17,000$3,798$15,077
Washington County41.9%+5.9%+33.1%$19,018$4,585$17,566
Martin County40.9%+6.7%+32%$17,387$4,389$15,901
Robeson County40.8%+4.5%+29.9%$16,746$4,975$15,194
Clay County39.3%+2.9%+24.1%$17,203$4,681$15,147
Halifax County39.3%+3.1%+26.8%$17,613$3,588$15,815
Northampton County38.9%+3%+25.3%$18,538$4,889$16,823
Scotland County38.6%+1.3%+29.1%$15,853$2,746$14,282
Vance County38.6%+5%+29.5%$16,730$4,219$15,092
Columbus County37.5%+1.5%+27.1%$16,523$3,656$14,974
Hertford County37.3%+4%+29.1%$15,494$4,105$14,296
Edgecombe County37.1%+3.2%+25.8%$16,139$3,501$14,266
Graham County36.8%+1.5%+23.5%$15,201$3,117$13,496
Bertie County36.2%-0.4%+21.4%$17,898$4,173$15,959
Warren County36.2%+1.4%+20.6%$13,624$2,488$11,505
Yancey County35.9%+2.9%+22.3%$15,092$2,884$13,474
Alleghany County35.6%+3%+23.3%$15,839$3,471$14,016
Swain County35.4%+4%+20.5%$18,236$6,213$16,374
Bladen County35.2%+2.2%+24.7%$17,034$4,571$15,497
Rutherford County34.6%+1.8%+25%$14,732$3,427$13,128
McDowell County34.3%+2%+24.7%$15,084$4,094$13,577
Mitchell County33.7%+1.2%+19.5%$14,804$2,604$12,760
Ashe County33%+3.2%+20.7%$14,667$3,072$13,060
Jones County32.8%+5.9%+21.8%$15,912$3,902$14,401
Tyrrell County32.7%+4%+16.9%$14,737$4,118$12,752
Caswell County32.3%+1.2%+24.7%$13,292$2,135$12,146
Rockingham County32%+3.1%+24.1%$14,506$3,205$12,899
Cleveland County31.9%+0.5%+23.8%$14,377$2,348$12,932
Macon County31.9%+1.5%+19.5%$15,420$3,309$13,643
Anson County31.8%-0.9%+20.4%$15,957$4,387$14,335
Caldwell County31.5%+2%+24.6%$14,076$3,622$12,790
Lenoir County31.5%+2.6%+23.1%$16,077$3,613$14,601
Madison County31.5%-1.6%+18%$14,018$2,714$12,249
Pamlico County31.5%+3.9%+23.2%$16,459$3,866$15,019
Beaufort County31.2%+3.2%+22.1%$17,004$4,236$15,494
Cumberland County31%+8.2%+26.9%$14,252$4,422$13,291
Wilkes County31%-0.8%+23.5%$14,698$2,883$13,446
Chowan County30.9%+1%+20.4%$15,782$3,239$14,118
Wilson County30.6%+4.4%+22.5%$14,934$3,572$13,494
Haywood County30.5%+0.6%+20.9%$15,500$3,057$13,805
Hoke County30.2%+7.5%+23.7%$12,453$4,337$11,507
Person County30%+3%+21.1%$13,601$2,839$12,106
Perquimans County29.9%+2.8%+18.1%$15,975$3,821$14,326
Sampson County29.8%+3%+20.7%$13,970$3,132$12,560
Burke County29.7%+0.6%+23.2%$13,244$2,933$12,001
Brunswick County29.3%+0.6%+20.3%$17,083$4,605$15,527
Stokes County29.3%+4%+22.6%$13,579$4,065$12,414
Pasquotank County28.3%+3.9%+19.7%$13,383$3,345$11,903
Avery County27.7%+0.4%+14.8%$12,622$2,717$10,966
Greene County27.7%+1.3%+21.7%$10,789$1,843$9,677
Wayne County27.7%+3.7%+20.4%$13,690$3,640$12,257
Yadkin County27.7%+1%+20.3%$13,141$2,787$11,796
Transylvania County27.6%-1.5%+19.9%$15,268$3,440$13,987
Gates County27.4%+3.8%+18.8%$13,643$4,261$12,291
Craven County27.2%+5.6%+21.6%$14,750$4,548$13,515
Duplin County27%+2.6%+19.3%$14,246$4,748$13,021
Montgomery County26.9%-1.5%+17.4%$12,574$2,391$10,943
Alexander County26.7%+0.5%+20.1%$12,846$3,366$11,667
Nash County26.7%+2.4%+19.5%$13,546$2,868$12,232
Hyde County26.6%+4.8%+15.9%$12,915$3,775$11,331
Polk County26.6%+0.4%+16.8%$16,335$4,435$14,322
Jackson County26.4%-0.3%+16.1%$11,841$2,879$10,354
Lee County26.3%+2.5%+17.4%$13,033$3,054$11,383
Randolph County26.3%+1.5%+20.6%$12,314$2,764$11,155
Rowan County26.2%-0.9%+18.7%$12,331$2,028$10,866
Stanly County26.1%-0.5%+18.8%$12,575$2,300$11,122
Henderson County25.8%+0.4%+16%$14,228$2,891$12,301
Harnett County25.2%+1.8%+16.7%$11,114$2,813$9,777
Pender County24.7%-0.1%+15.6%$12,319$2,368$10,972
Carteret County24.3%+3%+16%$15,421$4,408$13,899
Davidson County24.2%-0.2%+18.1%$11,732$2,009$10,533
Gaston County23.9%-0.8%+17.1%$11,893$1,522$10,593
Alamance County23%+0.7%+16.9%$11,282$1,966$9,984
Catawba County23%+0.9%+17.5%$12,724$2,778$11,504
Pitt County22.6%+2.4%+14.1%$12,108$3,246$10,639
Granville County22.3%+0.6%+14.4%$10,463$1,916$9,268
Moore County22.2%+1.4%+12.7%$13,932$2,460$12,184
Franklin County22.1%-1.1%+12.9%$10,218$1,511$8,769
Davie County21.4%+1.1%+13.5%$12,958$3,071$11,473
Onslow County21.2%+8%+19%$10,936$3,884$10,339
Forsyth County20.2%+2.3%+13.6%$11,653$2,760$10,019
Camden County20%+2.5%+10.8%$11,398$2,577$10,013
Guilford County20%+2%+14.5%$10,982$2,383$9,627
Buncombe County19.7%-1.4%+10.8%$12,130$2,329$10,412
Watauga County19.7%+0.8%+11.8%$9,556$2,480$8,348
New Hanover County19.6%-0.5%+11.7%$11,942$2,789$10,383
Lincoln County19.1%-1.1%+11.8%$11,090$2,341$9,748
Johnston County18.2%-1.7%+9.3%$9,060$875$7,526
Currituck County17.9%+1%+9.4%$10,619$2,475$8,881
Dare County16.6%+0.5%+6.4%$12,655$3,777$10,583
Cabarrus County16.5%-0.4%+9%$9,017$1,351$7,462
Iredell County16.2%-0.8%+8.9%$10,417$1,928$9,063
Durham County15.3%+0.7%+7.4%$9,022$1,439$7,220
Chatham County14.8%-1%+8.5%$11,821$2,308$10,643
Union County12.3%-0.3%+5.8%$8,303$1,916$7,125
Mecklenburg County10.9%+0.9%+6%$8,339$1,501$7,080
Orange County10.5%+0.7%+5.8%$8,141$1,858$7,117
Wake County10%+0.1%+4.9%$7,657$1,747$6,425

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