New HHS Study Finds Nearly $124 Billion Positive Fiscal Impact of Refugees and Asylees on the American Economy in a 15-Year Period

Today, the U.S. Department of Health and Human Services’ (HHS) Office of the Assistant Secretary for Planning and Evaluation (ASPE) published a groundbreaking report, The Fiscal Impact of Refugees and Asylees at The Federal, State and Local Levels From 2005-2019. This in-depth analysis examines the fiscal impact of refugees and asylees on the U.S. government and economy. This report sheds light on the significant contributions made by refugees and asylees to the U.S. economy and society. These findings can inform decision-making on resettlement services and contribute to the broader research on the positive impacts of refugees in American communities. 

“This historic federal study is important data-driven evidence demonstrating that over time, refugees, asylees, and their immediate families have made significant positive fiscal contributions to our country,” said HHS Secretary Xavier Becerra. “I hope this report becomes a key reference for decision-makers in all levels of government when it comes to refugee resettlement.”

“We operate this program because of our country’s commitment to supporting the humanitarian needs of those escaping persecution in their home country,” said Robin Dunn Marcos, HHS Deputy Assistant Secretary for Humanitarian Services and Director of the Office of Refugee Resettlement. “We have witnessed for years, the significant contributions that refugees and asylees provide to our communities and workplaces. This report affirms ORR’s mission and commitment, and we celebrate these and other contributions refugees and asylees bring to this country.” 

Some of the key findings include:  

1. Net Fiscal Impact: Refugees and asylees had a positive net fiscal impact on the U.S. government over the 15-year period, totaling $123.8 billion. The net fiscal benefit to the federal government was estimated at $31.5 billion and approximately $92.3 billion to state and local governments. When compared with the total U.S. population on a per capita basis, refugees and asylees had a comparable net fiscal impact.
2. Government Revenue: Refugees and asylees contributed an estimated $581 billion in revenue to all levels of government. Through payroll, income, and excise taxes, they contributed an estimated $363 billion to the federal government, and through income, sales, and property taxes, they contributed $218 billion to state and local governments. 
3. Government Expenditures: Over the 15-year period, governmental expenditures on refugees and asylees totaled an estimated $457.2 billion. Expenditures by the federal government represented 72.5 percent of the total, at $331.5 billion, while state and local government expenditures were 27.5 percent of the total, at $125.7 billion. 

While this study does not account for the full lifetime costs and benefits of refugees and asylees nor estimates the impact based on region, time in the US. or age, it focuses instead on the total impact over a specified time period. The analysis demonstrates how the U.S. humanitarian programs to assist arrivals, despite the initial cost to the government, has led to positive cumulative effects over time on government budgets. 

“This report contributes to what we know about our financial return on assisting new humanitarian arrivals,” said Miranda Lynch-Smith, Deputy Assistant Secretary for Human Services Policy, ASPE. “This study opens the door for future research into the impact of different groups of refugees and asylees, such as from specific regions of the world, time in the United States, or age upon resettlement.”

HHS remains committed to welcoming all new arrivals with equitable, high-quality support so they can maximize their potential in the United States.

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