Personal transfer receipts accounted for 15.3 percent of all personal income received by North Dakota residents in 2005, a proportion relatively unchanged since the late 1980s.

This month's ""Economic Brief,"" a monthly publication from the North Dakota State Data Center at North Dakota State University, focuses on personal transfer receipts, which represent income received by individuals for services they did not render. They are payments by government and businesses to individuals and nonprofit institutions serving individuals.

North Dakota residents received $3.04 billion in personal transfer receipts in 2005, a 6.1 percent increase from $2.87 billion in 2004.

The largest category of transfer receipts for North Dakota residents in 2005 consisted of retirement and disability insurance payments ($1.28 billion), medical benefits ($1.19 billion) and income maintenance benefits ($223 million).

""These payments will increase dramatically now that the leading edge of the baby boom generation has reached the age at which they will start receiving Social Security and medical benefits,"" says Richard Rathge, State Data Center director.

The remaining $345 million of transfer payments to North Dakotans included payments for unemployment insurance, veterans' benefits, federal education and training assistance, Bureau of Indian Affairs payments, disaster relief, personal injury payments and money for educational assistance.

Personal transfer receipts as a proportion of total personal income varies from state to state. Nationally, personal transfer receipts amounted to 14.9 percent of total personal income in 2005. Eleven states showed personal transfer receipts accounting for at least 18 percent of all personal income received by residents. Louisiana, Mississippi and West Virginia showed the largest proportions at 32.9 percent, 26.9 percent and 26 percent, respectively. Colorado had the smallest proportion at 10 percent.

NDSU Agriculture Communication