Delaware

Asset Outcomes

Delaware earns a B and ranks 17th in the Asset Outcome Index, indicating above-average levels of asset distribution and protection in the state. Mean net worth in Delaware is $131,466 (14th), and asset poverty rates in the state earn it the rank of 30th in that measure. Home equity is the single largest source of wealth for Americans, and the state performs exceptionally well in homeownership measures, earning above-average ranking in overall homeownership rates (72%, ranking 17th) and enjoying the 6th-highest median value of homes in the nation ($126,761). It has a relatively small gap in homeownership between high-income earners and low-income earners (4th) and in homeownership between whites and non-whites (18th), indicating that low-income and minority residents have more equal access to homeownership options when compared with other states. The gap between homeownership for men and women in Delaware, however, lags far behind (44th).

Delaware shows mixed results when examining human capital measures, earning respectable ranks in Head Start coverage (10th) and overall college attainment (17th) but below-average scores in the gap in college attainment between whites and non-whites (28th) and between men and women (34th).

Asset Policy

Delaware shows above average performance with regard to state assetbuilding and protection policies. Financial assets could be bolstered by enacting an Individual Development Account policy and a state Earned Income Tax Credit, both of which were recommended by a recent Governor?s Task Force for Financial Independence. Delaware?s minimum wage is higher than the federal minimum wage, helping the state?s workers earn more and have more to save.

With regard to asset-protection policies, Delaware ranks 3rd in the nation in workers? compensation coverage and provides transitional medical assistance to former welfare recipients. These policies help workers protect family finances in the event of injury, job loss, or inadequate employer-provided benefits. Delaware could do more to help families protect assets. For example, improving the state?s rank (44th) in the benefit level of unemployment insurance would help protect family assets temporarily when a worker loses his/her job. Also, policies to stop harmful predatory lending and insurance redlining practices could be enacted to protect property owners.

Tax Policy and Accountability

Delaware does a pretty good job on tax policy accountability. The state prepares a tax expenditure report that itemizes the value of revenues foregone via tax breaks and makes the report available on the web. The state also has some capacity to determine the impact of state taxes or changes in the tax code on all taxpayers, but this capacity is still limited.