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New Jersey has been identified as the least federally dependent state in the United States, according to a study by financial website WalletHub. The study assessed all 50 states based on their reliance on federal funding for areas such as education, transportation, and healthcare. New Jersey emerged as the state least reliant on federal dollars, with California and Delaware following closely behind.
WalletHub's analysis considered three key metrics: the return on taxes paid to the federal government, the share of federal jobs, and the proportion of state funding derived from federal sources. According to Patch, New Jersey's government ranked 44th in dependency, while its residents ranked 49th.
In contrast, the states most dependent on federal aid are Alaska, Kentucky, and West Virginia. WalletHub analyst Chip Lupo noted that living in a more federally dependent state can be advantageous for residents, as they often receive more in federal funding than they pay in taxes, resulting in better infrastructure, education, and public health services.
The study highlights the varying degrees of federal dependency across the nation and underscores the financial independence of New Jersey compared to other states.