Bay State News

In 2022, Social Security transfers in Massachusetts totaled $25.27 billion, amounting to $3,620 per capita, or 28.7% of total government transfers in the state, according to information from the Economic Innovation Group.

Among all government transfer programs, Social Security was the largest contributor. Medicaid was the second largest, totaling $22.16 billion, equating to $3,175 per capita and making up 25.1% of total transfers.

Medicare was the third largest contributor in Massachusetts in 2022, accounting for $21.14 billion, averaging $3,028 per capita, and represented 24% of transfers in the state. Income Maintenance transfers provided another $13.59 billion, averaging $1,946 per capita and comprising 15.4% of government support, making them the smallest contributors.

Statewide, including all transfer types, government transfer payments totaled $88.17 billion, and accounted for 14.9% of residents’ total income, with an average of $12,629 per resident.

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).

With 18% of the population aged 65 and older, Massachusetts has a significant demand for programs like Social Security and Medicare. The total per capita income in Massachusetts, excluding government transfers was $71,932, which is below the county's total income of $84,561, emphasizing the role of government transfers in overall income.

When comparing 2022 to the previous year, Massachusetts saw an increase in its Social Security transfer dependency by 0.3%, reflecting both rising transfer amounts and stagnating or insufficient other sources of income.

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. In Massachusetts, reliance on government transfers has similarly increased from 9.3% (or $2,495 per capita) in 1970 to 14.9% (or $12,629 per capita) in 2022.

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.

County	Rank	Dependency on Transfers (%)	% Population 65+	Social Security Transfers (%)	Medicare Transfers (%)	Medicaid Transfers (%)	Income Maintenance Transfers (%)	Per Capita Transfers ($)
Middlesex County	1	9.6%	16.5%	3.3%	2.6%	1.7%	1.4%	$9,757
Suffolk County	2	15.6%	13.5%	2.2%	2.5%	7.1%	3%	$15,158
Worcester County	3	18.3%	17.1%	5.4%	4.5%	4.1%	3%	$11,881
Essex County	4	16.2%	18.5%	4.8%	3.9%	3.8%	2.7%	$12,701
Hampden County	5	31%	18.3%	6.3%	5.4%	11.6%	5.9%	$18,711
Bristol County	6	22.2%	17.8%	6%	5.2%	6.1%	3.5%	$14,216
Norfolk County	7	9.1%	17.8%	3.3%	2.7%	1.2%	1.1%	$9,915
Plymouth County	8	16.2%	19.8%	5.3%	4.3%	3.3%	2%	$12,962
Barnstable County	9	19.2%	33%	7.9%	6.3%	2%	1.7%	$16,390
Berkshire County	10	26.5%	25.4%	8%	6.6%	6.8%	3.5%	$17,171
Hampshire County	11	17.7%	19.3%	6.5%	4.8%	1.9%	2.5%	$10,563
Franklin County	12	27.4%	24.8%	7.4%	5.7%	8.8%	3.6%	$17,228
Dukes County	13	13.6%	27%	5.6%	4.7%	0.9%	1.3%	$11,939
Nantucket County	14	7.4%	16.6%	2.9%	2.2%	0.5%	1%	$7,625