The U.S. healthcare system operates differently from many others in the world, characterized by high costs for the individual. In fact, it is because of the higher prices of medications, treatments, and hospital procedures that the U.S. spends more on health care per capita than any other developed country in the world, a 2019 Johns Hopkins report found.

Though expensive, the health care cost is to a large extent covered by the government. In 2019, 29.0% of all health-related spending in the U.S. was paid for by the federal government. A slightly lower share, 28.4%, was paid for by households. State and local governments covered 16.1% of the total cost.

State governments spent $885 billion on health care, or $2,696 per person, in 2018, the latest year for which state and local data is available. Due to different budget priorities and needs, local government health care spending varies considerably by state. Per-capita health care spending ranges from less than $1,100 to more than $3,600.

California spent $3,109 per capita on its residents’ health in 2018, the fourth highest amount of money of all states.

California’s health expenditure budget in 2018 totaled $122.4 billion. The state’s health budget covers partial Medicaid coverage, state-run hospitals and university medical schools, and other health expenses and programs addressing needs such as community wellness, substance abuse, health inspection, and pollution control.

In 2018, states allocated between 17% and 39% of their total budgets to health care costs. California spent 32.7%, the 11th highest health spending as a share of all state spending.

In every state, the largest portion of overall health care spending is allocated to public welfare programs. Such programs include Medicare and Medicaid, two government-funded health insurance programs that offer coverage to the elderly, the disabled, and people with low incomes.

California allocated in 2018 87.2% of its health budget to public welfare, the fourth highest share, or $2,713 per capita. States across the country allocate an average of 66.0% of their total health spending, or $1,778 per person, to public welfare programs.

People living with disabilities and those 65 and older are the ones who most commonly need health care and receive state Medicaid spending. California’s 65 and over adults comprise 14.8% of the state’s population, the sixth lowest share and compared to 16.5% across the U.S. as a whole. About 10.6% of California’s population have a disability, the fourth lowest share in the country and compared to 12.7% nationwide.

To identify how much each state spends on your health, 24/7 Wall St. reviewed the detailed health care expenditures by state governments provided by the U.S. Census Bureau’s 2018 Annual Survey of State and Local Finances. This is how much the government of every state spends per resident. This is how much the government of every state spends per resident.

 

State	State spending on health per capita	Health spending as % of total spending	Population 65 and older	Population with a disability
South Dakota	$1,046	17.7%	17.4%	12.6%
Nebraska	$1,203	20.9%	16.1%	12.0%
Georgia	$1,262	26.0%	14.3%	12.6%
Nevada	$1,272	22.5%	16.2%	12.3%
Connecticut	$1,371	17.4%	17.6%	11.9%
Idaho	$1,380	23.6%	16.2%	13.7%
New Hampshire	$1,450	22.1%	18.6%	13.1%
Florida	$1,451	32.0%	20.9%	13.7%
Illinois	$1,504	20.6%	16.1%	11.5%
Texas	$1,509	29.0%	12.9%	11.5%
North Carolina	$1,588	27.3%	16.7%	13.2%
Tennessee	$1,623	33.0%	16.7%	15.5%
Oklahoma	$1,676	26.2%	16.1%	16.1%
Arizona	$1,676	29.7%	18.0%	13.2%
Colorado	$1,680	25.8%	14.7%	10.6%
Utah	$1,712	25.1%	11.4%	9.3%
Wyoming	$1,817	16.9%	17.1%	13.4%
North Dakota	$1,849	19.5%	15.8%	11.4%
Alabama	$1,859	26.9%	17.4%	15.9%
Indiana	$1,894	30.6%	16.1%	13.5%
Michigan	$1,900	24.9%	17.7%	14.3%
Virginia	$1,944	29.4%	15.9%	12.2%
South Carolina	$1,966	28.9%	18.2%	14.2%
Maine	$1,986	28.9%	21.3%	16.2%
Maryland	$2,028	26.5%	15.9%	11.2%
Wisconsin	$2,098	29.0%	17.5%	11.8%
Washington	$2,110	27.7%	15.9%	12.7%
New Jersey	$2,142	24.1%	16.6%	10.3%
Montana	$2,192	30.0%	19.5%	13.5%
Missouri	$2,217	38.9%	17.2%	14.7%
Kansas	$2,257	33.6%	16.4%	13.5%
West Virginia	$2,345	27.4%	20.5%	19.8%
Pennsylvania	$2,370	29.6%	18.7%	14.0%
Oregon	$2,375	25.4%	18.2%	14.7%
Hawaii	$2,401	24.9%	19.0%	11.9%
Vermont	$2,430	21.3%	20.1%	15.1%
Iowa	$2,434	32.2%	17.5%	11.8%
Minnesota	$2,436	27.7%	16.3%	10.8%
Arkansas	$2,522	33.8%	17.4%	17.5%
Ohio	$2,527	33.2%	17.5%	14.0%
Mississippi	$2,561	34.9%	16.4%	16.8%
Louisiana	$2,621	34.7%	16.0%	15.9%
Rhode Island	$2,890	32.3%	17.7%	13.1%
Kentucky	$2,919	36.2%	16.9%	17.9%
Delaware	$2,988	29.1%	19.5%	13.8%
Massachusetts	$3,082	31.5%	17.0%	11.5%
California	$3,109	32.7%	14.8%	10.6%
Alaska	$3,150	19.2%	12.4%	11.7%
New Mexico	$3,405	33.3%	18.0%	16.0%
New York	$3,698	33.7%	16.9%	11.6%

 

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