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What Is The Difference Between A State And A US Territory?

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Last updated on 7 min read

A US state is a fully sovereign political unit with voting representation in Congress and the Electoral College, while a US territory lacks full sovereignty, has no voting members in Congress, and residents have limited self-governance as of 2026.

What’s the real difference between territory and state?

A state is a sovereign political entity with its own government, laws, and international recognition, while a territory is a geographic area under another government’s jurisdiction without full sovereignty.

Take Puerto Rico and Florida. Both have local governments, but Florida has two voting senators and a representative who actually votes in Congress. Puerto Rico? It has a non-voting Resident Commissioner who can’t vote on bills. Territories get federal funding and disaster relief, sure, but they don’t have the same constitutional protections as states. (Honestly, it’s like living in a house you don’t fully own—you pay the bills but can’t vote on who runs the neighborhood.)

Give me two concrete differences between a US state and a US territory.

Territories have no voting members in Congress and their residents cannot vote for president, unlike states, which elect voting senators and representatives and have Electoral College votes.

Here’s the thing: Puerto Rico has a Resident Commissioner in the House who can’t vote on legislation. Meanwhile, Rhode Island—smaller than Puerto Rico—has two senators who can block or pass bills. Residents of territories are US citizens, but they can’t vote for president unless they move to a state. It’s a citizenship without representation, which feels… inconsistent at best.

Name a US territory that isn’t a state.

Puerto Rico, Guam, the US Virgin Islands, the Northern Mariana Islands, and American Samoa are permanently inhabited US territories that aren’t states as of 2026.

American Samoa stands out—its people are US nationals by birth, not citizens, unless they go through naturalization. Meanwhile, places like Palmyra Atoll are territories too, but they’re uninhabited wildlife refuges. So when people say “US territories,” they’re usually talking about those five inhabited ones where nearly 4 million Americans live without equal voting rights.

How does a territory actually become a state?

A territory becomes a state when Congress passes an enabling act, the territory drafts a constitution approved by voters, and Congress admits it through an act of statehood, fulfilling constitutional requirements.

It’s not a quick process. Hawaii waited 60 years after becoming a territory before joining the Union in 1959. The territory needs a stable government, a permanent population, and residents must vote yes in a referendum. Then Congress and the president sign off. It’s like joining a club—you’ve got to prove you’re ready, follow the rules, and get approved by the big kids.

List all seven US territories.

As of 2026, the seven US territories are: Puerto Rico, Guam, US Virgin Islands, Northern Mariana Islands, American Samoa, Midway Atoll, and Palmyra Atoll.

Five of these—often called the “five inhabited insular areas”—are home to nearly 4 million people. The other two, Midway and Palmyra, are uninhabited and managed as wildlife refuges. The list hasn’t changed since 1986, when the Northern Mariana Islands became a territory after ending its political union with the US.

Do people in US territories pay federal income tax?

Only residents of Washington, DC, and some federal workers in territories pay federal income tax; most territorial residents do not, though they fund local taxes and some federal programs.

Take Puerto Rico: locals pay no federal income tax on local earnings, but they do pay payroll taxes and import duties. They also miss out on federal benefits like the Earned Income Tax Credit. Meanwhile, DC residents pay federal taxes but still lack voting representation in Congress. It’s a weird split—you’re a citizen, but the IRS treats you like a foreigner for tax purposes.

Which is bigger: a territory or a state?

In most cases, states are larger in area than US territories—Alaska is over 665,000 square miles, while Puerto Rico is just 3,515.

Some territories are tiny—Guam is 210 square miles, the US Virgin Islands is 133. Even Puerto Rico, the largest inhabited territory, is smaller than Connecticut. The Northern Mariana Islands are the exception, slightly bigger than Rhode Island but still way smaller than most states. Size doesn’t determine statehood—it’s about political rights and constitutional status.

What part of speech is “state”?

The word “state” can function as a noun (e.g., “a US state”), a transitive verb (e.g., “state your name”), or an adjective (e.g., “state policy”) in English grammar.

As a verb, it means to express something clearly or formally—like stating a fact or position. As a noun, it refers to a political entity or condition. The word comes from Latin *status*, meaning “standing” or “position,” which evolved into both “state” and “estate” in English. So when you “state your case,” you’re literally channeling ancient political theory.

Is the Bahamas a US territory?

The Bahamas are not and have never been a US territory; they gained independence from the United Kingdom in 1973.

The islands were a British colony until 1964, when they became self-governing, and full independence followed in 1973. The US has no sovereignty over them, though it has close diplomatic and trade ties. The Bahamas are a member of the Commonwealth and a top tourist spot for Americans—but they’re their own country, not a US possession.

Was Hawaii ever a US territory?

Hawaii was a US territory from 1898 to 1959, but it became the 50th state in August 1959 after a referendum.

Before that, Hawaii was an independent kingdom and later a republic. In 1959, residents voted overwhelmingly (94%) for statehood, and President Eisenhower signed the proclamation. Today, Hawaii is the only US state made entirely of islands, and its residents have full voting rights in presidential elections and Congress.

Why do people say there are 52 states?

There are only 50 states in the United States as of 2026; the list includes Alabama through Wyoming.

The “52 states” myth pops up because of confusion with electoral votes or counting Washington, DC, and the five inhabited territories as “states.” But officially, it’s 50. If you’re counting DC and the territories, that’s 56—but only 50 have voting senators and representatives. The list hasn’t changed since Hawaii joined in 1959.

Were the Philippines ever a US territory?

The Philippines were a US territory from 1898 until 1946, when they gained independence after World War II.

Acquired after the Spanish-American War via the Treaty of Paris, the Philippines became a US colony. Unlike Puerto Rico or Guam, its people fought for independence in a brutal war from 1899–1902. After WWII, the US granted full sovereignty in 1946. Today, they’re an independent nation in Southeast Asia.

What four things define a state?

To be recognized as a state, a territory must have: (1) a permanent population, (2) a defined territory, (3) a functioning government, and (4) the capacity to enter into international relations, per the 1933 Montevideo Convention.

These criteria come from international law. For example, Palestine meets the first two but lacks full diplomatic recognition, while Kosovo meets all four but faces political opposition. In the US, territories like Puerto Rico meet the first three but not the fourth—hence their limited sovereignty. States like California check all four boxes easily.

Where did the word “state” come from?

The word “state” comes from the Latin “status,” meaning “condition, position, or standing”, reflecting the idea of a sovereign political entity in a defined condition.

This root also gave us “estate” and “statue,” all sharing the sense of something fixed or established. In political theory, a state represents the institutionalized form of power and governance—hence “nation-state.” So when you hear “state of the union,” you’re literally invoking the Latin idea of a stable, organized political body.

What are the four criteria for statehood?

A state must have: (1) a permanent population, (2) a defined territory, (3) a government, and (4) the capacity to enter into relations with other states, according to the declarative theory of statehood.

These criteria were formalized in the 1933 Montevideo Convention and are used by the US and most nations to recognize new states. South Sudan met all four when it declared independence from Sudan in 2011. Somaliland, on the other hand, has a government and population but lacks international recognition—so it’s not a state under this definition. In the US, territories meet the first three but not the fourth, which is why they’re not sovereign.

Edited and fact-checked by the FixAnswer editorial team.
Joel Walsh

Known as a jack of all trades and master of none, though he prefers the term "Intellectual Tourist." He spent years dabbling in everything from 18th-century botany to the physics of toast, ensuring he has just enough knowledge to be dangerous at a dinner party but not enough to actually fix your computer.