With 13 percent of full-time employees now working entirely from home and another 26 percent having a hybrid schedule, the personal-finance website WalletHub has released its report on the Best States for Working from Home, as well as expert commentary.

To identify which states are most conducive to working from home, WalletHub compared the 50 states and the District of Columbia across 12 key metrics. The data set ranges from the share of workers working from home to internet cost and cybersecurity. The study also considered factors like how large and how crowded homes are in the state. Together, these metrics show how feasible working from home is in terms of cost, comfort and safety.

Working from Home in California (1=Best, 25=Avg.):

Overall Rank: 27th

11th – Share of Population Working from Home

36th – Share of Potential Telecommuters

13th – Households’ Internet Access

37th – Average Home Square Footage

51st – Cybersecurity

49th – Average Retail Price of Electricity

13th – Internet Cost

“Working from home can save people a lot of money on transportation expenses, as well as make their work environment a lot more comfortable and their hours more flexible. However, things like energy costs, internet speed, home sizes and how many people live together can greatly impact people’s savings and productivity. While work-from-home jobs can be done anywhere, certain states make the practice much better than others,” explained WalletHub Analyst Chip Lupo. “Delaware is the best state for working from home, in part due to the fact that it has some of the cheapest internet prices in the country and very high access to broadband internet. Around 13 percent of Delaware’s workforce currently works from home, but nearly 97 percent of the workforce has the potential to telecommute.”

Along with Delaware at number one, Utah, Maryland, the District of Columbia and New Jersey were in the top five. The bottom five were West Virginia, Arkansas, Wyoming, Montana and Alaska. California, at number 27, was roughly in the middle of the pack.

For the full report, visit: https://wallethub.com/edu/best-states-for-working-from-home/72801

Expert Commentary

What is the work from home outlook for 2025 and beyond?

“The job market is expected to become more ‘slack’ in the next year, as the ratio of job seekers to open positions becomes more favorable to employers. As such, I expect that the bargaining power that job seekers recently had to secure flexible working arrangements may diminish somewhat. Specific industries and employers that have evolved to support work-from-home will be an exception to this.”

Adam M. Lippert, Ph.D. – Associate Professor; Director of Graduate Studies, University of Colorado Denver

“There will be a leveling off of remote and hybrid work, but it is here to stay, with potential growth in hybrid work. It has the ability to balance employers’ desire for more in-office time with the workforce demanding more flexibility. Moreover, as we start looking at migration and demographic shifts, particularly the declining population, there will be increased competition for talent. This will force many companies to adapt to those demands by offering flexible work opportunities. Coupled with the cost of physical office space for many employers and workers, remote and hybrid work can create win-win scenarios for both companies and employees. It can provide cost savings for companies while expanding their talent pool and, at the same time, allow employees to improve their quality of life by living where they want and reducing or eliminating time spent commuting.”

Danny Twilley, Ph.D. – Assistant Vice President, Economic & Community Development, West Virginia University

Should companies invest more of their resources into establishing a functional work-from-home alternative for their employees?

“Before making decisions to allocate additional spending in this area, organizations should assess their current expenditures and resource utilization. This evaluation is crucial to understanding whether the organization is achieving its intended objectives before increasing investment. Cost management (and minimization) remains a critical objective for companies of any size. When analyzing and designing work or jobs, if organizations have not evaluated workflows for WFH consideration, they may miss a potentially massive opportunity to reduce costs, drive ROI, promote employee engagement, and enhance competitive advantage. While job analysis significantly influences employee selection, training, and compensation, job design focuses on ensuring roles are structured to promote productivity and optimal employee motivation.”

Dr. Will Hawks – Assistant Professor, Nova Southeastern University

“Investing in remote work could be beneficial for companies. Doing so may make them more attractive to prospective job seekers. It could also expand their pool of talented candidates, as they would no longer be limited to individuals willing to relocate or those who require more flexible work arrangements. However, companies should also consider the nature of the job. For example, roles in manufacturing, lab work, frontline services, and those requiring frequent in-person interaction would likely benefit less from work-from-home policies.”

Anyi Ma – Assistant Professor, University of Wisconsin - Madison

What are the most important advantages and disadvantages of working from home?

“I think the most important advantage of working from home is that it provides employees with the power of choice regarding where they live and how to best utilize their time. In essence, we have the opportunity to greatly improve their quality of life and, in doing so, enhance their affinity and loyalty to the companies and organizations that enable this flexibility. I truly believe that, if done right, remote work will help employers attract the best talent while also retaining them. One of the biggest disadvantages for employees is the difficulty in separating their home life from their work life. When does the workday begin and end, and when does home life start and stop? Additionally, there can be a sense of isolation, and not every employee has the luxury of a dedicated home office. However, utilizing coworking spaces and creating social networks for remote workers can go a long way in alleviating these challenges.”

Danny Twilley, Ph.D. – Assistant Vice President, Economic & Community Development, West Virginia University

“Compelling advantages of WFH models include enhanced job satisfaction, cost reduction, and increased productivity. WFH-focused studies have shown that remote opportunities often provide employees with better work-life balance compared to in-person positions. Additionally, WFH employees have reported feeling more flexible and empowered to meet both their company’s and their family’s needs. Increased flexibility and balance are associated with higher job satisfaction. Reported disadvantages of WFH models include technology challenges, social isolation, and blurred work-home boundaries. Companies must invest in adequate support systems, leveraging both people and technology, to build an effective and sustainable WFH infrastructure.”

Dr. Will Hawks – Assistant Professor, Nova Southeastern University