Which states are largest net recipients of federal dollars per capita?
Executive summary
Available reporting identifies a small set of states that are the largest net recipients of federal dollars per capita; multiple data compilations and analyses point to Alaska, Virginia, New Mexico, Kentucky, and several rural or defense-heavy states among the top per-capita beneficiaries (examples: Virginia ~ $10,301 net per resident; Washington, D.C. is far above states at ~$89,680 per person in one dataset) [1][2]. Coverage varies by dataset and year, and different sources use different definitions (net receipts, federal obligations, receipts-to-taxes return), so rankings are sensitive to methodology and to whether COVID-era relief or one-time defense and grant flows are included [1][2][3].
1. How “largest net recipients per capita” is being measured — and why that matters
Different outlets and databases are measuring either (a) federal dollars received per resident, (b) net federal funding per resident (federal receipts minus attributable federal taxes paid), or (c) federal obligations/agency spending allocated to a state; each produces different winners and losers. WorldPopulationReview highlights “net federal funding per resident” and lists Virginia at about $10,301 per resident as the highest net recipient in its compilation [1]. USAFacts reports per-capita federal obligations and stresses that 19 states were net contributors in 2024, implying a distinct approach tied to obligations by federal agencies rather than a pure receipts-minus-taxes net balance [2]. The Tax Policy Center emphasizes that federal transfers to state and local governments averaged $3,374 per capita in 2021 but warns per-capita comparisons can be misleading because of matching formulas and program-specific drivers (Medicaid, defense, Indian Health Service, etc.) [3].
2. Recurrent top performers: Alaska, Virginia, New Mexico and company
Several pieces of analysis converge that Alaska ranks among the top per-capita recipients because of large federal program spending, infrastructure costs and small population — WalletHub and specialized write-ups single out Alaska’s high return on taxes and dependence on federal dollars [4][5]. WorldPopulationReview and other lists call out Virginia as a very large net recipient on a per-resident basis, largely driven by proximity to federal agencies and defense/military-related spending (Virginia ~ $10,301 net per resident in that dataset) [1]. USAFacts shows very high per-capita federal obligations for places like Alaska, Virginia and New Mexico in some years, with Washington, D.C. far exceeding states in per-capita figures [2].
3. Why defense, federal workforce and geography skew per-capita totals
High per-capita federal receipts are often explained by concentrated federal activity — federal agencies, defense contracts, bases, and large numbers of federally employed workers raise obligations in small-population states or in jurisdictions adjacent to Washington, D.C. WorldPopulationReview explicitly notes Virginia’s high net funding is tied to proximity to the federal government and military work [1][6]. Scioto Analysis and WalletHub emphasize Alaska’s infrastructure costs, scattered airports and federally supported programs that raise per-person spending [5][4].
4. The donor states and the flip side: big states that “pay more than they get”
By contrast, high-income, high-tax-yield states often appear as net donors on per-capita net balance measures. WorldPopulationReview and Axios note New Jersey, Massachusetts and Washington state among the states that send more federal tax revenue than they receive — e.g., New Jersey and Massachusetts registering large negative net funding per resident in some reports [1][7]. Axios summarizes Rockefeller Institute findings that only a small number of states are net payers depending on the timeframe and whether COVID relief is excluded [7].
5. Methodological caveats you must keep in mind
The Tax Policy Center warns that federal receipts per capita don’t tell the whole story because many federal programs use matching formulas, and higher federal spending can reflect higher need, cost structures, or state choices to draw matching federal dollars (Medicaid is a major example) [3]. WorldPopulationReview notes COVID-era relief materially changed ratios for large-population centers, and different years or inclusion/exclusion of one-time relief will change rankings [1]. USAspending.gov and raw federal obligations databases exist for deeper dives, but interpretation requires care about what is being counted — grants, obligations, tax credits, or direct payments [8][2].
6. Where to look next if you want the precise current ranking
If you want a state-by-state, year-specified ranking: consult primary federal datasets like USAspending.gov for obligations [8], state-level summaries from USAFacts for per-capita obligations [2], and independent compendia that compute net balances such as WorldPopulationReview, WalletHub or Rockefeller Institute summaries referenced by Axios for net per-capita funding [1][4][7]. Be explicit about whether you want “net per-capita” (receipts minus attributable taxes), “per-capita federal obligations,” or “federal funding as share of state revenue” before comparing states [3].
Limitations: the sources provided use different definitions, years and inclusions (COVID relief, defense obligations, IHS/tribal funding) so there is no single authoritative list in the cited materials — rankings depend entirely on the chosen metric [1][2][3].