Sussex Review

In 2022, Sussex County stood out as the highest per capita recipient of government transfers in Delaware, with residents receiving $17,120 per capita from programs such as Social Security, Medicare, Medicaid, and income maintenance, according to information from the Economic Innovation Group.

In total, residents in Sussex County received $4.4 billion in government transfers, which accounted for 26.4% of total county income.

Comparatively, across all counties in Delaware, government transfer payments totaled $14.1 billion, making up 21.9% of the state residents’ total income, with an average of $13,866 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).

Breaking down the contributions in Sussex County at the time, Social Security transfers totaled $1.7 billion, amounting to $6,775 per capita, or 39.6% of total government transfers. Medicare transfers accounted for $1.1 billion ($4,436 per capita), representing 25.9% of the total. Medicaid contributed $845 million ($3,301 per capita), making up 19.3% of total transfers. Income maintenance programs, including assistance such as SNAP or TANF, added another $297.5 million ($1,162 per capita), or 6.8% of the total.

With 30.2% of the population aged 65 and older, Sussex County has a significant demand for programs like Social Security and Medicare. Total per capita income excluding government transfers in Sussex County was $47,837, far below the county’s total income of $64,957, emphasizing the role of government transfers in overall income.

When comparing 2022 to the previous year, Sussex County saw a decrease of 6.2% in per capita government transfers, from $18,864 to $17,120 per capita.

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 8.21% (or $2,022 per capita in inflation-adjusted 2022 dollars) in 1970 to 17.63% (or $11,542 per capita) in 2022. In Sussex County, reliance on government transfers has similarly increased from 8.83% (or $1,924 per capita) in 1970 to 26.4% (or $17,120 per capita) in 2022, reflecting broader national trends.

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	State Rank (Per Capita Transfers)	Per Capita Transfers ($)	Dependency on Transfers (%)	% Population 65+	Social Security Transfers ($)	Medicare Transfers ($)	Medicaid Transfers ($)	Income Maintenance Transfers ($)
Sussex County	1	$17,120	26.36%	30.16%	$1,734,052,000	$1,135,427,000	$845,004,000	$297,548,000
Kent County	2	$13,543	26.46%	18.19%	$784,763,000	$577,422,000	$503,857,000	$281,632,000
New Castle County	3	$12,524	18.86%	17%	$2,255,256,000	$1,575,206,000	$1,935,341,000	$725,271,000