About one in 10 people with a credit file in Watonwan County, Minnesota, has unpaid debt sent to a collector
In Watonwan County, 9.9% of people with a credit file had unpaid debt sent to a collector. That is lower than in 96% of U.S. counties.
Less distressed than 87% of U.S. counties.
What drives Watonwan County's score
In Watonwan County, jobs are the highest-scoring part, at 41.0. Housing costs are the lowest part, at 18.4. Rent on a two-bedroom takes 16.9% of the typical household's income (fiscal year 2027), lower than in 87% of U.S. counties.
The County Distress Index looks at five parts of household money trouble in Watonwan County: jobs, late payments on loans, income and the safety net, collections and bankruptcy, and housing costs. Each part is scored from 0 to 100, and a higher score means worse off than other counties.
Watonwan County isn't among the worst-off quarter of U.S. counties on any measure.
A longer bar means more trouble. See how the county score works.
- 41.0 of 100
Jobs
Biggest factorUnemployment through Sep 2026; adults not working, 2020–24 Census survey
- Unemployment rate, average over the latest year4.6% · Oct 2025 to Sep 202666th percentile
- Adults 25 to 54 not working15.0% · 2020 to 202415th percentile
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- 34.5 of 100
Income and safety net
Poverty and income, 2024; disability and insurance, 2020–24 Census survey
- People below the poverty line10.6% · 202427th percentile
- Children below the poverty line12.7% · 202426th percentile
- People with a disability11.6% · 2020 to 202411th percentile
- People without health insurance10.7% · 2020 to 202470th percentile
- Median household income (lower income, longer bar)$71,892 · 202436th percentile
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- 20.4 of 100
Collections and bankruptcy
Credit records, August 2025; bankruptcy filings, 2025
- People with unpaid debt sent to a collector9.9% · August 20255th or lower percentile
- Bankruptcy filings per 100,000 people99.3 · 202535th percentile
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- 20.0 of 100
Late payments
Credit records, August 2025; credit scores, second quarter of 2026
- People with a credit card behind3.7% · August 202521st percentile
- People with a car or retail loan behind1.8% · August 20255th or lower percentile
- People with a subprime credit score35.9% · second quarter of 202633rd percentile
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- 18.4 of 100
Housing costs
Renters, 2020–24 Census survey; HUD's fair market rents, fiscal year 2027
- Renters paying half their income or more in rent13.3% · 2020 to 202423rd percentile
- Rent on a two-bedroom as a share of the median income16.9% · fiscal year 202712th percentile
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Sources: Urban Institute, Debt in America; Equifax via the St. Louis Fed; Administrative Office of the U.S. Courts, Table F-5A; U.S. Census Bureau, American Community Survey; U.S. Department of Housing and Urban Development Fair Market Rents and Census income; U.S. Bureau of Labor Statistics, Local Area Unemployment Statistics; Census Bureau, Small Area Income and Poverty Estimates. County Distress Index by American Default Research, from data through Sep 2026.
Where the money in Watonwan County comes from
Benefit checks are Social Security, Medicare and Medicaid paid on people's behalf, veterans' benefits, and food and income support, so a high share usually means an older population, low pay, or both. In Watonwan County, 20.2% of residents are 65 or older (Census Bureau, 2024), against 17.2% nationally that year.
Cents of every dollar of income, 2024
Watonwan County
Minnesota
United States
- Pay from work
- Investments and rent
- Benefit checks
Benefit checks' share of income in Watonwan County made its largest gain on the way to its 2009 high, from 18.3% in 2004 to 25.1% in 2009.
In Watonwan County, benefit checks' share of income has more than doubled since 1969, reaching 25.1% in 2024, but pay from work still brings in more than twice as much as benefit checks
In Watonwan County, Minnesota, benefit checks' share of income more than doubled from 1969 to 2024, reaching 25.1%; pay from work is plotted alongside. Every fifth year and 2024 are shown.
- Benefit checks
- Pay from work
The share of households in Watonwan County getting SNAP food aid had its largest rise, from 4.4% in 2011 to 8.3% in 2012.
The share of households in Watonwan County getting SNAP food aid was at its highest on the chart in 2021 and has since fallen to 9.4%
Low on the chart: 3.5% in 2010. Households getting SNAP, every year; each bar is a five-year survey estimate ending that year, so neighboring bars share most of their data, Watonwan County, Minnesota.
How Watonwan County has changed
Watonwan County's population had its largest drop, from 12,366 in 1984 to 11,674 in 1989.
Watonwan County's population fell 13% from 1969 to 2024
High on the chart: 12,948 in 1969. Residents, yearly estimate, every fifth year and 2024, Watonwan County, Minnesota.
The number of jobs located in Watonwan County fell most sharply on the way to its 2010 low, from 4,576 in 2005 to 3,923 in 2010.
The number of jobs located in Watonwan County was at its highest on the chart in 2000 and is down 7% since
High on the chart: 4,853 in 2000. Yearly average of jobs covered by unemployment insurance, every fifth year and 2025, Watonwan County, Minnesota.
| Measure | Then | Now |
|---|---|---|
| Unemployment rateBLS LAUS | 1990 3.4% | 2025 4.0% |
| People below the poverty lineCensus SAIPE | 1989 11.3% | 2024 10.6% |
| Median household incomeCensus SAIPE | 1989 $23,723 | 2024 $71,892 |
The table uses 4.0% for 2025; the score uses 4.6% for the latest year (Oct 2025 to Sep 2026), both from the U.S. Bureau of Labor Statistics.
Figures are as each agency published them, not adjusted for prices.
Dated events in Watonwan County's history
1860
Southern part of Brown County partitioned February 25, 1860, to create Watonwan County with Madelia as original seat. Wikipedia
1960
The county's largest recorded population was the 1960 Census count of 14,460. The 2020 Census counted 11,253, 78% of the peak. Census Bureau
1979
A tornado in June 1979 did $2.5 million in property damage. NOAA Storm Events Database
2006
A tornado in August 2006 did $2 million in property damage. NOAA Storm Events Database
2010
A flood in September 2010 did $3.9 million in property damage. NOAA Storm Events Database
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Since 1965
13 federal disaster and emergency declarations have covered Watonwan County, 8 of them for flooding. FEMA
Watonwan County beside its neighbors
Of the five counties that border Watonwan County, four score higher. For the share of income from benefit checks, Watonwan County ranks 3rd of the six; Cottonwood County is highest, at 29.5%.
| County | Score | Poverty | Benefit checks |
|---|---|---|---|
| Martin County, MN | 25 | 12.7% | 28.1% |
| Blue Earth County, MN | 24 | 14.1% | 21.2% |
| Cottonwood County, MN | 16 | 11.7% | 29.5% |
| Brown County, MN | 14 | 9.6% | 25.0% |
| Watonwan County, MN | 12 | 10.6% | 25.1% |
| Jackson County, MN | 7 | 9.4% | 23.6% |
Distress score: American Default Research, County Distress Index, data through Sep 2026; each county scored against all 3,144. Poverty rate: Census Bureau, Small Area Income and Poverty Estimates, 2024. Benefit checks: Bureau of Economic Analysis, 2024. Neighbors share a border, from Census county maps.
Is Watonwan County the poorest county in Minnesota?
No, Watonwan County's poverty rate was 10.6% in 2024, 39th highest of 87 in Minnesota (U.S. Census Bureau, Small Area Income and Poverty Estimates). By that measure the poorest county in the state is Beltrami County, at 17.3%. On our distress index, which counts more than poverty, Watonwan County ranks 62nd of 87 in the state.
If you're behind on your mortgage in Watonwan County
Housing counselors approved by the U.S. Department of Housing and Urban Development work at nonprofit agencies. The Consumer Financial Protection Bureau describes free foreclosure-avoidance counseling, including help with mortgage-company conversations and available options Source CFPB.
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Southern Minnesota Regional Legal Services
Legal aid
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HUD-approved housing counselors
Our help directory lists 1,010 agencies approved for foreclosure counseling, by state.
The score, its 14 measures and their sources, in one file. Free to use with credit to American Default Research.
Download the CSV for Watonwan County · Every U.S. county (CSV)
Sources and method
- American Default Research · County Distress Index Data through Sep 2026, built from Urban Institute, Debt in America; Equifax via the St. Louis Fed; U.S. Courts, Table F-5A; Census Bureau, American Community Survey; HUD Fair Market Rents and Census income; Bureau of Labor Statistics, Local Area Unemployment Statistics; Census Bureau, Small Area Income and Poverty Estimates. The County Distress Index is American Default Research's own calculation; the Urban Institute does not produce or endorse it. Our methodology
- Urban Institute · Debt in America Breno Braga, Signe-Mary McKernan, Samantha Atherton, and Kassandra Martinchek, "Debt in America," last updated November 20, 2025, https://datacatalog.urban.org/dataset/debt-america-2025. Licensed under ODC-By 1.0.
- Rent on a two-bedroom and household income The rent share compares HUD fair market rent for fiscal year 2027 with Census Bureau median household income for 2024. The page calls this the typical household's income.
- U.S. Bureau of Economic Analysis, Regional Economic Accounts (CAINC4) · income shares Where the money in Watonwan County comes from, 2024.
- History The agencies named in each row and the linked records above.