South Carolina sees 15.1% increase in transfer reliance since 1970

South Carolina sees 15.1% increase in transfer reliance since 1970
John Lettieri, President and CEO of Economic Innovation Group — Official Website
0Comments

In 2022, government transfers accounted for 22.4% of total income in South Carolina, an alarming 15.1% surge from 7.3% in 1970, and a 1% increase over 2012’s 21.4%, according to information from the Economic Innovation Group. On a per capita basis, this equates to $12,028 per resident in 2022, up from $9,394 in 2012 and $1,382 in 1970.

Among South Carolina’s counties, Allendale County saw the largest increase in transfer dependency over the past 10 years, surging 9.1% from 33.2% in 2012 to 42.3% in 2022, and up 29.1% from just 13.2% in 1970. In dollar terms, government transfers per capita in Allendale County jumped from $11,051 in 2012 to $17,191 in 2022, a stark contrast to the $1,770 recorded in 1970.

Dorchester County followed with the second-largest increase in transfer dependency, increasing 5.7% from 19.1% in 2012 to 24.8% in 2022, and an overall increase of 16.8% from 1970’s 8% transfer dependency. This trend is reflected in per capita amounts, with residents of Dorchester County receiving an average of $11,830 in transfer income in 2022, up from $8,027 in 2012 and more than double the $1,770 recorded in 1970.

Additionally, Allendale County had the highest percentage of income derived from government transfers, at 42.3% in 2022, making it the county with the highest overall transfer dependency. McCormick County and Bamberg County followed closely behind, with transfer dependency rates of 41.9% and 39.8% in 2022, respectively.

Compared to 1970, Allendale County increased by 29.1%, while McCormick County and Bamberg County have increased by 28.8% and 28.3%, respectively, showing sustained reliance on government transfers. Residents in Allendale County received an average of $17,191 in transfers per capita, with McCormick County and Bamberg County close behind at $19,290 and $15,906, respectively.

For comparison, the statewide average was 22.4% in 2022, showing a higher dependency than the national average of 17.6%. On a per capita level, this translates to $12,028 per resident in 2022, compared to $11,542 nationwide.

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).

In South Carolina, reliance on government transfers was just 7.3% (or $1,382 per capita in inflation-adjusted 2022 dollars) in 1970. This has since increased to 22.4% (or $12,028 per capita) in 2022, reflecting a total increase of 15.1% since 1970. This shift is largely influenced by increased healthcare costs, and economic transformations that have reshaped income sources across the U.S.

In 2022, the primary government transfer programs in South Carolina included:

  • Social Security: $4,408 per capita (36.6% of total transfers)
  • Medicare: $3,103 per capita (25.8% of total transfers)
  • Medicaid: $1,479 per capita (12.3% of total transfers)
  • Income Maintenance Programs: $1,317 per capita (11% of total transfers)

With 18.9% of the population aged 65 and older, South Carolina has a significant demand for programs like Social Security and Medicare. However, counties with higher poverty rates also show elevated Medicaid and income maintenance participation.

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 South Carolina, reliance on government transfers has similarly increased from 7.3% (or $1,382 per capita) in 1970 to 22.4% (or $12,028 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.

Government Transfer Trends by County in South Carolina, 2022
County Dependency on Transfers (%) Change Since 2012 Change Since 1970 Per Capita Amount (2022) Per Capita Change Since 2012 Per Capita Change Since 1970
Abbeville County 34.1% 2% 24.8% $13,588 $2,793 $12,103
Aiken County 24.3% 1.9% 17.9% $12,534 $2,650 $11,165
Allendale County 42.3% 9.1% 29.1% $17,191 $6,140 $15,421
Anderson County 25.2% 0.2% 17.3% $12,034 $2,083 $10,563
Bamberg County 39.8% 3.5% 28.3% $15,906 $3,522 $14,295
Barnwell County 37.5% 5.3% 27% $14,685 $3,530 $12,971
Beaufort County 19% 1.2% 15.3% $13,685 $3,633 $12,676
Berkeley County 17.9% -0.2% 13.3% $9,080 $1,729 $8,257
Calhoun County 26.9% -0.1% 17.8% $13,341 $2,643 $11,902
Charleston County 13.3% -0.3% 8.7% $10,152 $1,789 $9,061
Cherokee County 32.1% 2.4% 24.4% $12,442 $2,236 $11,145
Chester County 33.8% 1.8% 24.2% $13,987 $3,059 $12,492
Chesterfield County 33.5% 1.3% 24% $13,083 $2,851 $11,567
Clarendon County 37.3% 3.1% 24.8% $16,889 $5,106 $15,403
Colleton County 37.3% 4.4% 25.7% $15,655 $4,238 $13,955
Darlington County 30.6% 1.9% 21.2% $14,583 $3,640 $13,057
Dillon County 39.7% 3.7% 27.5% $15,532 $4,821 $13,993
Dorchester County 24.8% 5.7% 16.8% $11,830 $3,803 $10,255
Edgefield County 27.5% 3.8% 19.2% $13,486 $4,874 $12,147
Fairfield County 32.4% 3% 20.4% $16,217 $5,036 $14,644
Florence County 26.5% 1% 17.2% $13,791 $3,059 $12,217
Georgetown County 28.5% 1.6% 17.5% $16,295 $3,845 $14,633
Greenville County 18.1% 0.8% 11.4% $10,268 $1,862 $8,897
Greenwood County 30.7% 2.3% 22.9% $13,421 $2,596 $11,848
Hampton County 36.5% 4.7% 24.8% $14,735 $4,583 $12,858
Horry County 31.2% 3.7% 22.7% $14,637 $4,095 $13,134
Jasper County 29.6% 0.6% 17.4% $12,162 $3,600 $10,436
Kershaw County 26.3% 3% 18.8% $13,853 $3,910 $12,412
Lancaster County 22.2% -2.1% 15.8% $12,236 $1,922 $11,078
Laurens County 35.6% 2.1% 27.3% $15,193 $3,192 $13,743
Lee County 38.1% 2.8% 26.2% $15,593 $4,221 $14,207
Lexington County 19.1% 2.2% 14.1% $10,916 $2,988 $9,805
McCormick County 41.9% 2.4% 28.8% $19,290 $5,348 $17,558
Marion County 39.5% 3.4% 26.8% $16,221 $4,796 $14,442
Marlboro County 38% 2.5% 26% $14,387 $3,825 $12,669
Newberry County 28.8% 2% 19.4% $13,661 $3,058 $11,991
Oconee County 25.6% 0% 17.2% $13,905 $2,745 $12,352
Orangeburg County 36.6% 4.5% 26.3% $15,043 $3,965 $13,499
Pickens County 24.4% 0.7% 18.2% $11,183 $2,083 $10,044
Richland County 20.4% 2.8% 14.6% $11,015 $2,859 $9,735
Saluda County 26% -0.7% 16.3% $11,397 $1,424 $9,853
Spartanburg County 20.5% -0.6% 12.7% $10,810 $1,512 $9,317
Sumter County 30% 4.9% 22.9% $13,982 $3,698 $12,742
Union County 39% 3.3% 28% $14,885 $2,912 $13,108
Williamsburg County 38.4% 2.1% 26.3% $14,765 $3,238 $13,316
York County 16% -0.6% 8.4% $9,432 $1,642 $8,067


Related

Alan Wilson, Attorney General of South Carolina - Attorney General Alan Wilson, SC

Court rules Florida can keep immigrant detention facility open after challenge

South Carolina Attorney General Alan Wilson responded to a recent decision by the U.S. Court of Appeals for the Eleventh Circuit, which granted Florida’s request to stay a lower court ruling that would have required the closure of its new…

Adair Ford Boroughs, U.S. Attorney - U.S. Attorney%27s Office for the District of South Carolina

Aiken County man receives over 17-year sentence for production of child sexual abuse material

Adam Sloan, a 40-year-old resident of Jackson in Aiken County, has been sentenced to over 17 years in federal prison after pleading guilty to producing child sexual abuse material.

Alan Wilson, Attorney General of South Carolina - Attorney General Alan Wilson, SC

Greenwood man arrested on multiple child sexual abuse material charges

South Carolina Attorney General Alan Wilson has announced the arrest of Daniel Scott Brothers, 44, of Greenwood, South Carolina.

Trending

The Weekly Newsletter

Sign-up for the Weekly Newsletter from Palmetto State News.