Washington

Asset Outcomes

Washington earned an A in Asset Outcomes, ranking 7th overall. With a mean net worth of $139,348, households in Washington are the nation?s 8th most wealthy. However, the distribution of assets in Washington is very uneven. Almost 25% of Washington?s households are asset poor (lacking a three-month financial safety net), ranking 39th nationally. In addition, 16% of the state?s households have zero net worth, ranking 37th. On the plus side, Washington has the smallest gap in assets between men and women.

Washington scores very well on measures of human capital accumulation, ranking 11th in overall college attainment. Moreover, access to educational opportunities is widely shared. The state has the 3rd-lowest gap in college attainment between whites and nonwhites and the 4th-lowest gap in college attainment between men and women.

Asset protection in the form of health insurance is also strong in Washington, with high ranks in insurance for low-income parents (9th) and insurance for low-income children (16th).

Asset Policy

Washington also earned an A in Asset Policy, ranking 6th overall. Washington is at the forefront of a new asset-building tool for low-income people? Individual Development Accounts (IDAs). Washington has appropriated over $1 million dollars for IDAs, included IDAs in their state Temporary Assistance for Needy Families (TANF) plan, and has a state IDA program. The state does well overall on support for homeownership, ranking just below the median in the share of private activity bonds for home mortgages but supporting a state housing trust fund and offering an array of first-time homebuyer assistance programs.

Washington leads in affordable health care policies and thus helps to shield family finances from medical emergencies. Washington is one of only 10 states that has expanded Medicaid for low-income adults without children and one of nine states to offer a subsidy for small businesses that offer health care coverage for their employees. Washington has also been the 2nd most aggressive state in expanding Medicaid coverage to low-income parents, covering parents who earn up to 200% of the poverty level.

Tax Policy and Accountability

Washington has a very good record of tax policy accountability. Washington prepares a tax expenditure report that itemizes the value of revenues foregone via tax breaks and makes this report available on the web. It also has the capacity to determine the impact of state taxes or changes in the tax code on taxpayers of all incomes.