How Dependent Is Illinois on the Federal Government?

Some states are givers and others are takers, at least when it comes to federal taxes. And though Illinoisans pay morein taxes overall, our state is not a big taker — and that might not be fair to us.

While Americans from all across the country pay federal taxes, some get more return on their investment.WalletHub decided to look into the issue, studying which state — and its government and residents — are most “federally dependent.” The study researched each state’s return on federal taxes, how many federal jobs are located in each state and what percentage of the state’s revenue is federal funding.

WalletHub posits one reason some states aren’t getting a larger share of federal money could be because other states don’t pay higher local and state taxes:

What if, for example, a particular state can afford not to tax its residents at high rates because it receives disproportionately more funding from the federal government than states with apparently oppressive tax codes? That would change the narrative significantly, revealing federal dependence where bold, efficient stewardship was once thought to preside.

You can read more about this study and see the Top 10 states WalletHub ranked as the most and least federally dependent here.

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