Average Household Income by State (2025)
All 50 states ranked by median household income โ with percentile cutoffs and state tax data
National Median
$83,592
Top 25%
$153,000
Top 10%
$251,036
Top 1%
$659,060
Median Household Income by State โ Ranked
Key Findings
Household income varies dramatically across the United States. The highest-income states (led by Maryland, New Jersey, and Hawaii) have median household incomes more than 50% above the lowest-income states (Mississippi, West Virginia, Arkansas). This disparity reflects differences in industry concentration, cost of living, educational attainment, and urbanization.
Northeast Dominates Top Rankings
Northeastern states consistently rank at the top due to concentration of finance, technology, healthcare, and professional services industries. Maryland's high median reflects proximity to federal government employment in the DC metro area.
Cost of Living Context
Raw income figures don't tell the whole story. A household earning $80,000 in Mississippi has significantly more purchasing power than the same income in California or New York. When adjusted for cost of living, the income gap between states narrows considerably.
Income Growth Trends
Median household income grew substantially between 2020 and 2024, driven by pandemic-era labor market tightening, wage growth in lower-wage sectors, and federal stimulus payments. Inflation-adjusted gains varied by state.
Related Data
Methodology & Sources
- โข Primary source: DQYDJ household income calculator using IPUMS CPS data (income year 2024, published 2025)
- โข National benchmarks: U.S. Census Bureau Current Population Survey (CPS) P60-286 report
- โข Percentile estimates: p10, p90, p95 estimated from national ratios applied to state medians where direct bracket-level data is unavailable
- โข Income definition: Household income includes wages, salaries, self-employment income, investment income, transfer payments, and other sources for all members of the household
- โข Update frequency: Annual (DQYDJ updates annually after Census CPS release)