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The 5 states in America most dependent on federal funding — and the 5 least dependent

The 5 states in America most dependent on federal funding — and the 5 least dependent

Some states are getting a lot more federal cash than others

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Image for article titled The 5 states in America most dependent on federal funding — and the 5 least dependent
Photo: Anna Rose Layden / Stringer (Getty Images)

President Donald Trump and DOGE boss Elon Musk are on a mission to significantly cut federal spending by $1 trillion this yearlaying off workers, canceling contracts, and slashing budgets across all departments.

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While it seems unlikely they’ll meet their goal, the impact of their cuts is already being noticed. And some states are feeling the cuts especially hard.

WalletHub compiled a list of the most and least federally dependent states. It analyzed data to find both the state government’s and the state residents’ federal dependency, looking at the return on taxes paid to the federal government, share of federal jobs, and federal funding as a share of state revenue.

“Regardless of whether the distribution of federal funds is fair or not, living in one of the most federally dependent states can be beneficial for residents,” WalletHub analyst Chip Lupo said. “For every dollar residents of the top states pay in taxes, they get several dollars back in federal funding, which often leads to higher-quality infrastructure, education, public health and more.”

Continue reading to see which states are the most — and least — dependent.

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5th most dependent: South Carolina

5th most dependent: South Carolina

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4th most dependent: Mississippi

4th most dependent: Mississippi

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Photo: Streeter Lecka / Staff (Getty Images)
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3rd most dependent: West Virginia

3rd most dependent: West Virginia

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Photo: Spencer Platt / Staff (Getty Images)
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2nd most dependent: Kentucky

2nd most dependent: Kentucky

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Photo: Mario Tama / Staff (Getty Images)
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Most dependent: Alaska

Most dependent: Alaska

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Photo: Mario Tama / Staff (Getty Images)
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5th least dependent: Utah

5th least dependent: Utah

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Photo: Christian Petersen / Staff (Getty Images)
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4th least dependent: Massachusetts

4th least dependent: Massachusetts

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Photo: Michael M. Santiago / Staff (Getty Images)
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3rd least dependent: Delaware

3rd least dependent: Delaware

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2nd least dependent: California

2nd least dependent: California

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Photo: Mario Tama / Staff (Getty Images)
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Least dependent: New Jersey

Least dependent: New Jersey

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Photo: Hannah Beier / Stringer (Getty Images)
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