In 2022, Income Maintenance transfers in Litchfield County totaled $131.33 million, amounting to $706 per capita, or 6.2% of total government transfers, according to information from the Economic Innovation Group.
Among all government transfer programs, Income Maintenance was the smallest contributor in the county. Social Security was the largest contributor, totaling $949.59 million, equating to $5,102 per capita and making up 44.6% of total transfers.
Comparatively, Income Maintenance transfers across Connecticut amounted to $3.85 billion, ranking lowest among all transfer types within the state. This translates to an average of $1,062 per capita, or 9% of total government transfers. Including all transfer types, government transfer payments totaled $42.89 billion, accounting for 14.3% of residents’ total income, with an average of $11,828 per resident.
Medicare was the second largest contributor in Litchfield County in 2022, accounting for $667.85 million, averaging $3,588 per capita, representing 31.4% of transfers. Medicaid transfers provided another $215.81 million, averaging $1,160 per capita and comprising 10.1% of government support, making them the third largest contributors.
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 22.8% of the population aged 65 and older, Litchfield County has a significant demand for programs like Social Security and Medicare. Despite this aid, the total per capita income in Litchfield County, excluding government transfers was $68,506, which is below the county’s total income of $79,947, emphasizing the role of government transfers in overall income.
When comparing 2022 to the previous year, Litchfield County saw a decrease in its Income Maintenance transfer dependency by 0.1%.
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 Litchfield County, reliance on government transfers has similarly increased from 7.3% (or $2,085 per capita) in 1970 to 14.3% (or $11,441 per capita) in 2022.
According to the Economic Innovation Group’s analysis, these trends are not merely short-term responses to economic pressures but rather reflect a profound, long-term transformation in how government support is integrated into American life. The study illustrates that structural shifts—from rising healthcare expenses and demographic changes to stagnant wages—have significantly increased dependency on government transfers.
| County | Rank | Dependency on Transfers (%) | % Population 65+ | Social Security Transfers (%) | Medicare Transfers (%) | Medicaid Transfers (%) | Income Maintenance Transfers (%) | Per Capita Transfers ($) |
|---|---|---|---|---|---|---|---|---|
| Hartford County | 1 | 17.9% | 18.1% | 5.7% | 4.3% | 4.9% | 1.8% | $12,589 |
| New Haven County | 2 | 19.9% | 18.6% | 6.1% | 4.9% | 5.3% | 2% | $12,926 |
| Fairfield County | 3 | 8.4% | 17.4% | 2.8% | 2.1% | 2.2% | 0.7% | $10,469 |
| New London County | 4 | 19.3% | 19.6% | 7% | 5.2% | 3.8% | 1.6% | $12,498 |
| Litchfield County | 5 | 14.3% | 22.8% | 6.4% | 4.5% | 1.5% | 0.9% | $11,441 |
| Middlesex County | 6 | 14.9% | 22.2% | 6.6% | 4.6% | 1.7% | 0.8% | $11,121 |
| Tolland County | 7 | 15.2% | 18.1% | 6.4% | 4.4% | 1.8% | 0.8% | $9,371 |
| Windham County | 8 | 23.2% | 19.8% | 7.9% | 6% | 5.1% | 2.3% | $12,386 |
