Americans value independence. We fought hard for it during the American Revolutionary War, and in the present day, we celebrate not only our freedom from the British crown but also our strong ability to rely upon ourselves as individuals. Now, with sky-high inflation affecting people across the country, many Americans are struggling to maintain financial independence. Some have become at least temporarily more dependent on support from the federal government. Other people have become more dependent on personal vices, such as drinking and drugs, due to stress and depression.
In order to find out where Americans are the most self-reliant, WalletHub compared the 50 states based on five sources of dependency: consumer finances, the government, the job market, international trade and personal vices. We broke down these categories into 39 key indicators of independence in order to determine which states are most self-sustaining.
Main Findings
Most Independent States
| Overall Rank | State | Total Score | Financial Dependency | Government Dependency | Job-Market Dependency | International-Trade Dependency | Vice Dependency |
|---|---|---|---|---|---|---|---|
| 1 | Utah | 67.82 | 7 | 1 | 1 | 13 | 5 |
| 2 | Colorado | 64.79 | 5 | 8 | 15 | 6 | 24 |
| 3 | Florida | 61.63 | 25 | 13 | 9 | 8 | 13 |
| 4 | Washington | 61.00 | 4 | 5 | 19 | 24 | 12 |
| 5 | Virginia | 60.47 | 6 | 20 | 13 | 12 | 15 |
| 6 | California | 59.51 | 13 | 9 | 30 | 21 | 8 |
| 7 | Idaho | 59.02 | 37 | 27 | 14 | 2 | 11 |
| 8 | Massachusetts | 58.95 | 2 | 15 | 34 | 32 | 4 |
| 9 | Wisconsin | 58.31 | 12 | 11 | 20 | 23 | 20 |
| 10 | Iowa | 57.88 | 28 | 3 | 4 | 38 | 22 |
| 11 | Montana | 57.79 | 26 | 38 | 16 | 1 | 33 |
| 12 | Minnesota | 57.70 | 1 | 21 | 7 | 33 | 29 |
| 13 | New Jersey | 56.93 | 22 | 4 | 49 | 36 | 1 |
| 14 | North Carolina | 56.79 | 35 | 10 | 8 | 28 | 18 |
| 15 | Maryland | 56.68 | 11 | 36 | 35 | 7 | 10 |
| 16 | Kansas | 56.47 | 15 | 2 | 22 | 31 | 47 |
| 17 | Nebraska | 56.10 | 32 | 12 | 6 | 29 | 36 |
| 18 | New Hampshire | 55.97 | 3 | 28 | 23 | 37 | 6 |
| 19 | South Dakota | 55.75 | 31 | 29 | 2 | 16 | 25 |
| 20 | Hawaii | 55.58 | 27 | 37 | 36 | 9 | 2 |
| 21 | Nevada | 55.03 | 41 | 16 | 33 | 11 | 38 |
| 22 | Connecticut | 54.87 | 9 | 23 | 39 | 27 | 7 |
| 23 | Delaware | 54.81 | 23 | 6 | 48 | 30 | 14 |
| 24 | Wyoming | 53.87 | 29 | 45 | 27 | 4 | 26 |
| 25 | Vermont | 53.75 | 8 | 40 | 26 | 18 | 21 |
| 26 | New York | 53.51 | 10 | 22 | 50 | 25 | 3 |
| 27 | Arizona | 53.39 | 33 | 41 | 5 | 14 | 28 |
| 28 | North Dakota | 53.26 | 14 | 32 | 3 | 41 | 23 |
| 29 | Georgia | 52.99 | 39 | 14 | 29 | 26 | 27 |
| 30 | Pennsylvania | 52.83 | 18 | 34 | 43 | 22 | 9 |
| 31 | Oklahoma | 52.57 | 43 | 31 | 28 | 5 | 41 |
| 32 | Missouri | 51.59 | 40 | 26 | 12 | 17 | 43 |
| 33 | Arkansas | 51.41 | 48 | 19 | 11 | 10 | 49 |
| 34 | Rhode Island | 51.22 | 17 | 42 | 46 | 15 | 16 |
| 35 | Oregon | 51.21 | 16 | 30 | 25 | 35 | 30 |
| 36 | Ohio | 50.51 | 30 | 17 | 32 | 34 | 44 |
| 37 | Illinois | 50.15 | 34 | 7 | 44 | 43 | 31 |
| 38 | Maine | 50.04 | 20 | 44 | 37 | 20 | 34 |
| 39 | Texas | 49.38 | 24 | 18 | 17 | 49 | 17 |
| 40 | Michigan | 48.25 | 19 | 24 | 24 | 46 | 32 |
| 41 | New Mexico | 47.29 | 47 | 48 | 47 | 3 | 19 |
| 42 | Tennessee | 46.71 | 38 | 25 | 21 | 42 | 46 |
| 43 | Indiana | 46.34 | 36 | 33 | 10 | 45 | 35 |
| 44 | Alabama | 42.80 | 45 | 35 | 42 | 40 | 45 |
| 45 | South Carolina | 41.71 | 42 | 43 | 18 | 47 | 39 |
| 46 | West Virginia | 40.59 | 46 | 49 | 45 | 19 | 40 |
| 47 | Alaska | 40.11 | 21 | 50 | 31 | 44 | 42 |
| 48 | Kentucky | 36.28 | 44 | 46 | 38 | 50 | 37 |
| 49 | Mississippi | 35.74 | 50 | 47 | 41 | 39 | 50 |
| 50 | Louisiana | 35.11 | 49 | 39 | 40 | 48 | 48 |
Note: With the exception of “Total Score,” all of the columns in the table above depict the relative rank of that state, where a rank of 1 represents the best conditions for that metric category.
- Highest
- 1. Minnesota
- 2. New Hampshire
- 3. Vermont
- T-4. Massachusetts
- T-4. Wisconsin
- Lowest
- T-46. Arkansas
- T-46. Oklahoma
- 48. Alabama
- 49. Louisiana
- 50. Mississippi
- Highest %
- 1. Minnesota
- 2. Utah
- 3. Oregon
- 4. New Hampshire
- 5. Delaware
- Lowest %
- T-46. South Dakota
- T-46. Texas
- 48. Alabama
- 49. Mississippi
- 50. West Virginia
- Highest
- 1. Wisconsin
- 2. Minnesota
- T-3. Iowa
- T-3. North Dakota
- T-5. Connecticut
- T-5. New Hampshire
- Lowest
- 46. Arizona
- 47. Texas
- 48. New Mexico
- 49. Nevada
- 50. Florida
- Highest
- 1. Virginia
- 2. Utah
- 3. Minnesota
- 4. New Jersey
- 5. Illinois
- Lowest
- 46. Mississippi
- 47. Louisiana
- 48. Maine
- 49. New Mexico
- 50. West Virginia
- Least
- 1. New Jersey
- 2. Washington
- 3. Utah
- 4. Kansas
- 5. Illinois
- Most
- 46. New Mexico
- 47. Kentucky
- 48. Mississippi
- 49. West Virginia
- 50. Alaska
- Lowest %
- 1. Wyoming
- 2. Utah
- 3. Kansas
- 4. North Dakota
- 5. Nebraska
- Highest %
- 46. West Virginia
- 47. New York
- 48. Oregon
- 49. Rhode Island
- 50. New Mexico
- Lowest
- T-1. South Dakota
- T-1. Alabama
- T-1. Nebraska
- T-1. New Hampshire
- T-1. Maryland
- Highest
- T-46. Connecticut
- T-46. Illinois
- T-46. Delaware
- 49. California
- 50. Nevada
- Lowest %
- 1. Hawaii
- 2. Colorado
- 3. Oklahoma
- 4. Idaho
- 5. Wyoming
- Highest %
- 46. Iowa
- 47. Texas
- 48. North Dakota
- 49. Louisiana
- 50. Alaska
- Lowest %
- 1. Hawaii
- 2. Colorado
- 3. Oklahoma
- 4. Montana
- 5. South Dakota
- Highest %
- 46. Oregon
- 47. Mississippi
- 48. Kentucky
- T-49. Texas
- T-49. Louisiana
- Lowest %
- 1. Texas
- 2. Alabama
- 3. South Dakota
- 4. Hawaii
- 5. North Dakota
- Highest %
- 46. New Mexico
- 47. Colorado
- 48. Oregon
- 49. Alaska
- 50. Vermont
- Lowest %
- 1. Michigan
- T-2. Connecticut
- T-2. Florida
- T-2. Kentucky
- T-5. Indiana
- T-5. Iowa
- Highest %
- 46. Nevada
- T-47. Kansas
- T-47. New Jersey
- 49. Minnesota
- 50. Mississippi
- Lowest %
- 1. Utah
- 2. Oklahoma
- 3. West Virginia
- 4. Mississippi
- T-5. Alabama
- T-5. Nevada
- Highest %
- 46. South Dakota
- T-47. Iowa
- T-47. North Dakota
- 49. Montana
- 50. Wisconsin
Ask the Experts
Reliance on others can be challenging to overcome. For the best ways to achieve greater independence in several of the dependency categories we examined in this report, we asked a panel of experts to share their thoughts on the following key questions:
- Is it fair that some states are more dependent on the Federal Government than others?
- What tips do you have for a person that wishes to increase his/her financial independence? What are some first steps?
- What tips do you have for a person that wishes to reduce his/her job dependency? Should they try to join the “gig” economy?
- Should presidential campaigns be publicly funded in order to help ensure the President is as independent as possible from special interests?
- Should states try to make their economies more or less dependent on international trade? How?
Ask the Experts
Ph.D. – Associate Professor and Chair, Department of Political Science; Co-Director, SCSU Survey Research Center – St. Cloud State University
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Ph.D. – Professor, Political Science, College of Arts and Sciences – Saint Louis University
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Dorothy H. and Edward C. Congdon Professor of Political Science – Carleton College
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JD, Ph.D. – Associate Professor and Pre-Law Adviser, Political Science & Sociology – Murray State University
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Professor Emerita, Department of Public Policy, Management, and Analytics, College of Urban Planning and Public Affairs – University of Illinois at Chicago
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Ph.D. – Teaching Professor – Pennsylvania State University-Harrisburg
Read More
Methodology
In order to determine the most independent states, WalletHub compared the 50 states across five key dimensions: 1) Financial Dependency, 2) Government Dependency, 3) Job-Market Dependency, 4) International-Trade Dependency and 5) Vice Dependency.
We evaluated those dimensions using 39 relevant metrics, which are listed below with their corresponding weights. Each metric was graded on a 100-point scale, with a score of 100 representing the highest level of independence.
We then determined each state’s weighted average across all metrics to calculate its overall score and used the resulting scores to rank-order the states.
Financial Dependency – Total Points: 20
- Median Credit Score: Full Weight (~1.18 Points)
- Share of Adults with Rainy-Day & Emergency Funds: Full Weight (~1.18 Points)
Note: This metric is based on the Federal Deposit Insurance Corporation’s economic inclusion survey and measures to the share of adults who have set aside emergency or rainy day funds that would cover expenses for 3 months, in case of sickness, job loss, economic downturn, or other emergencies. - Share of Adults Saving for Children’s College Education: Double Weight (~2.35 Points)
Note: “Adults” include individuals with financially dependent children. - Employer-Based Retirement Access & Participation: Full Weight (~1.18 Points)
- Median Debt per Income: Double Weight (~2.35 Points)
- Median Household Income (Adjusted by Cost of Living Index): Full Weight (~1.18 Points)
- Poverty Rate: Full Weight (~1.18 Points)
- Age Dependency Ratio: Full Weight (~1.18 Points)
Note: Age dependency ratio is the ratio of dependents--people younger than 15 or older than 64 – to the working-age population – those ages 15-64. - Share of Millennials Living with Their Parents: Full Weight (~1.18 Points)
- Share of Low-Income Households where No Adults Work: Full Weight (~1.18 Points)
- Share of Seriously Underwater Mortgages: Double Weight (~2.35 Points)
Note: This metric measures the share of homes with mortgages that have a combined estimated balance of loans secured by the property at least 25 percent more than the property's estimated market value. - Homeownership Rate: Full Weight (~1.18 Points)
- Foreclosure Rate: Full Weight (~1.18 Points)
- Bankruptcy Rate: Full Weight (~1.18 Points)
Government Dependency – Total Points: 20
- Federal Dependence: Quadruple Weight (~10.00 Points)
Note: This metric is based on WalletHub’s “Most & Least Federally Dependent States” ranking. - Share of Household Receiving Public Assistance & SNAP/Food Stamps: Full Weight (~2.50 Points)
Note: “SNAP” refers to the national Supplemental Nutrition Assistance Program. - Share of Occupied Subsidized Housing Units: Full Weight (~2.50 Points)
- Share of Federal-, State- & Local-Government Employees: Full Weight (~2.50 Points)
- Tax Freedom Day: Full Weight (~2.50 Points)
Note: “Tax Freedom Day” refers to the day when the state’s taxpayers have collectively earned enough money to pay their federal, state and local tax bills for the year. This metric measures the number of days since the beginning of the year that the event takes place (sooner indicates greater independence).
Job-Market Dependency – Total Points: 20
- Industry Variety: Full Weight (~3.33 Points)
- Job Growth Rate: Full Weight (~3.33 Points)
- Unemployment Rate: Full Weight (~3.33 Points)
- Long-Term Unemployment Rate: Full Weight (~3.33 Points)
Note: This metric measures the share of the unemployed who had been jobless for 27 weeks or longer. - Underemployment Rate: Full Weight (~3.33 Points)
- Job Creation Index: Full Weight (~3.33 Points)
Note: This metric is based on Gallup’s “Job Creation Index” and measures the share of workers who reported that their employer is increasing its workforce minus the percentage reporting the opposite.
International-Trade Dependency – Total Points: 20
- Share of Jobs Supported by Exported Goods: Full Weight (~6.67 Points)
- Share of Private-Industry Employment at Foreign-Owned Firms: Full Weight (~6.67 Points)
- Share of State GDP Generated by Exports to Other Countries: Full Weight (~6.67 Points)
Vice Dependency – Total Points: 20
- Share of Adult Drug Users: Full Weight (~1.67 Points)
Note: “Drug Users” refer to individuals who reported using illicit drugs in the past month. - Retail Opioid Prescriptions Dispensed per 100 Persons: Full Weight (~1.67 Points)
- Share of Adult Binge Drinkers: Full Weight (~1.67 Points)
- Share of Current Adult Smokers: Double Weight (~3.33 Points)
- Share of Adults with Gambling Disorders: Full Weight (~1.67 Points)
- Share of Population Spending More than They Earn: Full Weight (~1.67 Points)
- Share of Social-Network Users: Full Weight (~1.67 Points)
Note: “Users” refer to the population aged 15 and older. - Share of Online-Video Watchers: Full Weight (~1.67 Points)
Note: “Watchers” refer to the population aged 15 and older. - Share of Smart-Device Users: Full Weight (~1.67 Points)
Note: “Users” refer to the population aged 3 and older. - Median Daily Time Spent Watching TV: Full Weight (~1.67 Points)
- Average Time Spent on Adult Entertainment Sites: Full Weight (~1.67 Points)
Sources: Data used to create this ranking were collected from U.S. Census Bureau, Bureau of Labor Statistics, FINRA Investor Education Foundation, The Pew Charitable Trusts, Council for Community and Economic Research, Tax Foundation, Gallup, International Trade Administration, U.S. Bureau of Economic Analysis, Substance Abuse and Mental Health Services Administration, Centers for Disease Control and Prevention, National Council on Problem Gambling, National Telecommunications and Information Administration, Minnesota Population Center, University of Minnesota, TransUnion, Administrative Office of the U.S. Courts, U.S. Department of Housing and Urban Development, ATTOM, a property data provider - U.S. Home Equity & Underwater Report, ATTOM, a property data provider - U.S. Foreclosure Market Report, Federal Deposit Insurance Corporation, PornHub and WalletHub research.
