If you are using Google Places integration, the field mapping for state returns as the full state name. We can use a custom script to get the 2 letter state abbreviation.
Step 1: Make sure that you are mapping the state to your {state} custom field. This is done under Data Validation > Third Party Address Validation.

Step 2: Create a custom field called {state_ab} under Admin > Custom Fields (Use text type)
Step 3: Create a node level script on your form node or Q&A node with address and set to run on Exit. We also recommend using a transition node and create enter script.
Step 4: Copy paste this script:
<script>
// Function to convert state name to 2-letter abbreviation
function convertStateToAbbreviation(stateName) {
// Object mapping state names to their abbreviations
const stateAbbreviations = {
'alabama': 'AL',
'alaska': 'AK',
'arizona': 'AZ',
'arkansas': 'AR',
'california': 'CA',
'colorado': 'CO',
'connecticut': 'CT',
'delaware': 'DE',
'florida': 'FL',
'georgia': 'GA',
'hawaii': 'HI',
'idaho': 'ID',
'illinois': 'IL',
'indiana': 'IN',
'iowa': 'IA',
'kansas': 'KS',
'kentucky': 'KY',
'louisiana': 'LA',
'maine': 'ME',
'maryland': 'MD',
'massachusetts': 'MA',
'michigan': 'MI',
'minnesota': 'MN',
'mississippi': 'MS',
'missouri': 'MO',
'montana': 'MT',
'nebraska': 'NE',
'nevada': 'NV',
'new hampshire': 'NH',
'new jersey': 'NJ',
'new mexico': 'NM',
'new york': 'NY',
'north carolina': 'NC',
'north dakota': 'ND',
'ohio': 'OH',
'oklahoma': 'OK',
'oregon': 'OR',
'pennsylvania': 'PA',
'rhode island': 'RI',
'south carolina': 'SC',
'south dakota': 'SD',
'tennessee': 'TN',
'texas': 'TX',
'utah': 'UT',
'vermont': 'VT',
'virginia': 'VA',
'washington': 'WA',
'west virginia': 'WV',
'wisconsin': 'WI',
'wyoming': 'WY',
'district of columbia': 'DC'
};
// Handle potential variations in input
const normalizedState = stateName.trim().toLowerCase();
// Return the abbreviation if found, otherwise return the original state name
return stateAbbreviations[normalizedState] || stateName;
}
const state = "{state}";
const stateAbbreviation = convertStateToAbbreviation(state);
// Output the result to console
console.log(stateAbbreviation);
DT.setField('state_ab', stateAbbreviation);
</script>
Step 5: The value will be saved to your {state_ab} custom field