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AthrillatheHunt yet NY still pays much more into federal funding than it recieves. While in red states the direct opposite is most often true.
States receiving the most federal aid relative to their taxes paid include Alaska, New Mexico, and West Virginia, which often have a large positive per-person balance of payments, meaning they receive more than they contribute. In terms of overall federal funding as a percentage of state budgets, states like Louisiana and Kentucky have the highest dependency, while states like California and Massachusetts tend to be "donor states," paying more to the federal government than they receive back.
States That Receive More Than They Pay These states often have large positive per-person balances, indicating a greater net inflow of federal money:
Alaska
consistently ranks high in per-person federal spending, often receiving more than it pays in taxes.
New Mexico
also shows a significant positive balance, with residents paying less in federal contributions than they receive back.
West Virginia
has one of the largest per-person gaps, meaning it receives a disproportionately large share of federal funds compared to its tax contributions.
Virginia, Alabama, and Arizona
have large dollar-amount gaps, receiving significant amounts of federal money compared to their tax contributions.
States That Pay More Than They Receive ("Donor States")
These states tend to have negative balances, contributing more to the federal government than they get back in federal spending:
California
is the largest donor state, contributing significantly more in federal taxes than it receives in federal spending.
Massachusetts
also has a high per-capita negative balance, contributing significantly more to the federal government than it receives.
Factors Influencing Federal Aid Distribution
Poverty and Demographics:
States with higher poverty rates and larger populations of older adults tend to receive more federal aid.
