Saying the federal government "subsidizes" contributions seems backwards to me. The state takes its cut (being more local, they provide more services, etc, they

Saying the federal government "subsidizes" contributions seems backwards to me. The state takes its cut (being more local, they provide more services, etc, they should get first off the top). Then the Federal system takes their cut of what's left. Avoidance of double taxation is a long standing principle of taxes. And if other parts of the country are poorer, the Federal government should address that by its outlays, which it does: https://wallethub.com/edu/states-most-least-dependent-on-the-federal-government/2700/ https://wallethub.com/edu/states-most-least-dependent-on-the...