Wisconsin

Asset Outcomes

Wisconsin gets earns an A in Asset Outcomes, ranking 9th overall. The state?s mean net worth is $129,102 per household (16th). The state has the 10thsmallest gap in assets between white and non-white households. The state also has the 9th-smallest percentage of households with zero net worth (13%). On measures of business capital, Wisconsin scores below the median on the small business ownership rate (12%), but ranks among the top 10 in providing private loans to small businesses. Interestingly the women?s business ownership rate is a low 3% (42nd), but the value of these firms is high ($17,532, ranking 4th). Minority entrepreneurship ranks below average at 31st, yet business ownership value by race ranks 3rd nationwide ($1,589,015). This reflects the larger size of the state?s minority and women-owned firms.

The state deserves special attention for its high rankings in bank access. Wisconsin has the highest percentage of households with savings accounts (79%), and ranks 10th in households with non-interest-bearing checking accounts (41%).

The outcomes in health insurance, as a measure of asset protection, are above average, but they leave room for improvement. Twenty-six percent of low-income parents are uninsured (ranking 15th), as are 13% of low-income children (9th).

Asset Policy

Still performing well, Wisconsin earns a B in Asset Policy and ranks 13th. To encourage financial asset building, the state has a comprehensive Earned Income Tax Credit policy that allows low-income workers to keep more of their wages and have some to save. The state could do more though by investing in the many Individual Development Account programs operating in the state. Early childhood education is supported here through a Head Start program and relatively high K?12 expenditures ($8.52 per pupil, ranking 3rd). Yet, there is room for improvement in postsecondary education. Wisconsin ranks 38th in customized job training.

While the state has several good business capital policies (capital access programs, some assistance for asset-poor farmers and support for employee ownership), it lacks initiatives in microenterprise development and state-level community development financial institutions. Wisconsin also does a good job of protecting assets. The state provides subsidies for small business health care coverage and has initiated efforts against property insurance redlining. Although the state?s unemployment insurance still needs reforms in certain areas, its benefit level is good (7th), meaning family finances are relatively well-protected against job loss.

Tax Policy and Accountability

Wisconsin does an above average job on tax policy accountability. The state prepares a tax expenditure report that itemizes the value of revenues lost from tax breaks and makes this report is available on the web. It also has some capacity to determine the impact of state taxes or changes in the tax code on taxpayers of all incomes.