Which US states are not in debt?
Asked by: Dr. Eulalia Moore | Last update: February 14, 2026Score: 4.3/5 (33 votes)
No U.S. state is completely debt-free, but some states manage their finances better with lower per capita debt or stronger fiscal stability, with Tennessee, Utah, Nebraska, Idaho, South Dakota, Oklahoma, Indiana, Wyoming, and Alaska often appearing on lists for low debt or high fiscal health, though rankings can vary by report and year. States like Utah, Tennessee, and Nebraska are consistently recognized for strong budgeting and fiscal management, while Wyoming and Alaska are noted for low dependency or strong balances.
What state has the least debt?
The state governments with the lowest per capita debt at the end of 2023 were Tennessee, Utah, Nebraska, Idaho, South Dakota, Oklahoma, and Indiana, each with less than $3,000 in debt per resident.
Which U.S. state is the most financially stable?
While rankings vary by source, Utah consistently appears as a top state for fiscal stability due to strong budget surpluses and low debt, with other strong contenders including Delaware, Massachusetts, North Dakota, and Alaska, often cited for robust economies, sound budgets, or high resident financial well-being. However, states like Vermont and South Dakota are noted for financially smart residents, showing strong personal money management.
Which U.S. states are most in debt?
In states such as New York, New Jersey, Connecticut, Illinois, and Hawaii, total state and local government debt exceeds $26,000 per capita, making them the most indebted states in the country. These differences result from many deliberate choices.
Which states are struggling financially?
Based on recent 2025 analyses (like WalletHub https://finance.yahoo.com/news/florida-now-2nd-most-financially-190300951.html,), the most financially distressed U.S. states consistently include Texas, Florida, Louisiana, Nevada, and South Carolina, often ranking high for accounts in distress, bankruptcy filings, and high debt-related Google searches, while Hawaii, Vermont, Alaska, and Oregon tend to be the least distressed. These rankings use metrics like credit scores, debt searches, and bankruptcy rates, showing a pattern of southern states facing greater financial challenges.
Why The U.S. Won’t Pay Down Its Debt
What state is #1 in poverty?
Mississippi consistently ranks as the state with the highest poverty rate in the U.S., often followed by states like Louisiana, New Mexico, and West Virginia, according to World Population Review data from late 2024/early 2025 and U.S. Census data cited by FCNL and Visual Capitalist. Factors contributing to Mississippi's high poverty include low median household income, lower educational attainment, and higher rates of child poverty, though rates have seen some improvement over the years.
What percentage of Americans are 100% debt free?
About 23% of Americans are 100% debt-free, according to recent Federal Reserve data, a figure that includes all forms of debt like credit cards, student loans, and mortgages. However, this percentage varies significantly by age, with younger adults (18-22) having much higher debt-free rates (around 54.5%) compared to older groups, and fewer than 1 in 10 people feel they've achieved true financial freedom.
What is the best state to live in financially?
The best states for finances often combine low cost of living with strong incomes and low taxes, with North Dakota, Wyoming, Iowa, South Dakota, and Nebraska frequently topping lists for saving money due to lower expenses and decent wages. States like Tennessee, Florida, Texas, and Wyoming are popular for retirees and others avoiding state income tax, while Utah, Indiana, and North Carolina rank high for overall economic outlook. The ideal choice depends on whether you prioritize low taxes, affordability, or high wages, with some states offering great tax breaks but higher living costs, and vice versa.
Which states do not have a balanced budget?
The top “sinkhole states” — states lacking the funds to cover their costs — were New Jersey, Connecticut, Illinois, Massachusetts, and California. Conversely, 25 states touted a surplus of funds relative to their total costs and debts. The top surplus states were North Dakota, Alaska, Wyoming, Utah and Tennessee.
What state has the worst debt to income ratio?
BOISE, Idaho (CBS2) — Idaho residents have the highest debt-to-income ratio of any state in the country. Data collected by the Federal Reserve shows that Idaho residents have the highest debt-to-income (DTI) ratio in the country at 2.06 per household.
What state is #1 in quality of life?
There isn't one single answer, as different studies use different metrics, but Vermont often ranks first for quality of life due to factors like air quality, healthcare access, and low crime, while Massachusetts leads in overall "Best States to Live" lists by WalletHub, excelling in education, health, and safety, and Hawaii is noted for natural environment quality. Other top contenders include Idaho, New Jersey, Wisconsin, and Minnesota, depending on the specific ranking.
What state is #1 retirement?
While different studies rank states differently, Florida often appears as the #1 retirement state due to its tax-friendliness (no income tax) and warm climate, but New Hampshire also ranks high for safety and healthcare, and Wyoming is noted for its tax approach and average savings, showing that the best state depends on priorities like taxes, lifestyle, and healthcare quality. Other top contenders in various rankings include Minnesota (healthcare), Colorado, and South Dakota.
Which state is no. 1 in economy?
California is #1 in the U.S. economy by Gross Domestic Product (GDP), with its economy exceeding $4 trillion in 2024, making it the largest state economy and even ranking as the world's fourth-largest economy if it were a country. Texas and New York follow as the next largest state economies, with Florida also a major contributor.
How many Americans have $20,000 in credit card debt?
While exact real-time figures vary by survey, recent data from early 2025 and 2026 suggests a significant portion of Americans carry substantial credit card debt, with estimates ranging from around 20% of all Americans owing over $20,000 (a 2021 survey) to specific surveys finding that over 23% of those with maxed-out cards and a notable percentage of middle-income earners fall into this category, with trends showing increasing balances due to inflation.
What county has no debt?
As the world's biggest gambling hub, Macao SAR has zero debt, bolstered by billions in gaming revenue and healthy financial reserves. Liechtenstein ranks in second, with virtually no debt and the only country in Europe ranking in the top 10.
What states are struggling financially?
Based on recent 2025 analyses (like WalletHub https://finance.yahoo.com/news/florida-now-2nd-most-financially-190300951.html,), the most financially distressed U.S. states consistently include Texas, Florida, Louisiana, Nevada, and South Carolina, often ranking high for accounts in distress, bankruptcy filings, and high debt-related Google searches, while Hawaii, Vermont, Alaska, and Oregon tend to be the least distressed. These rankings use metrics like credit scores, debt searches, and bankruptcy rates, showing a pattern of southern states facing greater financial challenges.
Which states give more than they take?
Several states consistently pay more in federal taxes than they receive in federal funding, acting as "donor states," with recent data highlighting California, New York, Texas, New Jersey, Massachusetts, Connecticut, and Washington among the top contributors on a total and per capita basis, subsidizing other states through the federal budget. These states often have high incomes and large economies, generating significant federal revenue, while receiving comparatively less back in federal programs and spending.
Can the US ever pay off its debt?
The U.S. can theoretically manage or reduce its massive national debt but completely paying it off is practically impossible and unnecessary; the focus is on sustainability through fiscal discipline, which involves controlling spending, increasing revenue (taxes), fostering economic growth, and managing interest payments, with potential long-term risks if debt grows unsustainably. Governments typically service debt rather than eliminate it, but continuous growth without fiscal adjustments risks financial instability, as suggested by models showing a limited window (around 20 years) for corrective action before potential default, according to Penn Wharton Budget Model.
What is the #1 cheapest state to live in?
Mississippi is consistently ranked as the #1 cheapest state to live in the U.S., primarily due to the lowest housing costs in the nation, along with low transportation expenses, making overall living costs significantly below the national average. Other states frequently cited as highly affordable include West Virginia, Arkansas, Oklahoma, Kansas, and Alabama, all offering very low housing prices and budget-friendly living.
Which US states are financially stable?
- Utah. #1 in Fiscal Stability. #1 in Best States Overall. ...
- Delaware. #2 in Fiscal Stability. #18 in Best States Overall. ...
- New York. #3 in Fiscal Stability. ...
- Iowa. #4 in Fiscal Stability. ...
- Georgia. #5 in Fiscal Stability. ...
- Nebraska. #6 in Fiscal Stability. ...
- Tennessee. #7 in Fiscal Stability. ...
- Idaho. #8 in Fiscal Stability.
What is the happiest state to live in?
Hawaii is the happiest state in America for the second year in a row. Hawaii landed the top spot on WalletHub's list with an overall score of 65.50. It ranked third for emotional and physical well-being, 16th for work environment and 13th for community and environment.
How many Americans have $1000 in savings?
While exact numbers vary by survey, recent data (2024-2025) suggests roughly one-quarter to one-third of Americans have less than $1,000 in savings, meaning a majority do have $1,000 or more, though many struggle with unexpected expenses, with surveys showing 40-50% unable to cover a $1,000 emergency from savings alone, highlighting a significant gap in accessible funds despite some having higher balances.
Which gender has more debt?
Men have 2 percent more credit card debt than women. Men have 9.7 percent more mortgage debt than women. Men have 20 percent more personal loan debt than women. Women have 2.7 percent more student loan debt than men.
How rare is an 800 credit score?
An 800 credit score isn't extremely rare, with about 22-24% of Americans having scores in the exceptional 800-850 range, meaning nearly one in four consumers achieves this level, although reaching a perfect 850 is much rarer. While impressive, an 800+ score signifies you're a highly reliable borrower, granting access to the best interest rates, but it takes consistent good habits like on-time payments and low credit utilization over time.