According to the U.S Census Bureau annual survey, the national median household income increased to $55, 775 in 2015 base on a nationwide population survey. There were 39 states included in the report that showed a significant rise in household income, while 11 states are still the same, and surprisingly no state showed any decline in income. Although income levels have been on the rise in the United States for the last couple of years, the levels weren’t uniform at all. The U.S Census Bureau said a typical American household earns $57,617 yearly while other cities in the U.S have more than half of all households earn well over $70,000 per year.
On the other hand, when it comes to the median household income in a specific city, several reasons are given that caused a significant increase. Usually, the wealthiest metropolitan areas have a large number of college-graduate individuals, the job market is healthy, and there is a concentration of industry that is known to pay bigger wages. In addition, these wealthy cities are also geographically concentrated which means they can be found in the East and West Costs such as cities in Alaska and Hawaii.
Determining the Richest States in the US
To simply conclude that the ranking of rich states will depend on the number of people make is wrong. The better way to have an almost accurate determination is to include the following criteria in the weigh-in - they were released by the American Community Survey from 2012 to 2016:
Poverty level
Unemployment rate
Median income
Below are the top 10 wealthiest states in America:
1. New Hampshire. You’re probably surprised to see New Hampshire in our top 10 list. The state actually has a Median Income of $64,230, an employment rate of 3.8% and a poverty rate of 8.7%. As you can see, they have the lowest percentage of people living below the poverty level and an extremely low unemployment rate. Few of it’s leading industries are manufacturing, healthcare, and tourism.
Median Household Income: $64,230
Millionaire Households: 6.65%
Population: 1.327 million (2014)
Unemployment Rate: 3.8% (April 2015)
Persons below poverty level: 8.7% (2009-2013)
2. Minnesota. With the median household income of $60,702, the unemployment rate of 3.7% and very low percentage of people living below poverty level, it’s safe to say the residents of this state is living a pretty good life. The booming Midwestern Economy of the state contributed to why they’re in this list. The headquarters of big companies such as Target Corp (TGT), Best Buy Co Inc (BBY) and General Mills Inc (GIS) are found in Minnesota.
Median Household Income: $60,702
Millionaire Households: 5.72%
Population: 5.457 million (2014)
Unemployment Rate: 3.7% (April 2015)
Persons below poverty level: 11.5% (2009-2013)
3. Hawaii. Although living the cost of living in Hawaii is expensive, the median household income of the state has increased tremendously due to it’s booming tourist economy. The median income of the state is $68,020 and a very low unemployment rate of 4.1%. Let’s not forget the 75, 000 U.S Department of Defense personnel living on the islands - defense is another major industry in the state.
Median Household Income: $68,020
Millionaire Households: 6.93%
Population: 1.42 million (2014)
Unemployment Rate: 4.1% (April 2015)
Persons below poverty level: 11.2% (2009-2013)
4. Maryland. This state should add the word “rich” right next to its name because their median household income of $72,483 is crazy. Some of the things that make this state the wealthiest is its strong defense industry and the availability of opportunities for workers in health care and education. If you think that’s not enough proof, try working at the National Security Agency (NSA) because they're the largest employer of mathematicians in the country.
Median Household Income: $72,483
Millionaire Households: 7.67%
Population: 5.976 million (2014)
Unemployment Rate: 5.3% (April 2015)
Persons below poverty level: 9.8% (2009-2013)
5. California. Everyone knows California is a wealthy state. It’s booming tech economy has greatly contributed to its riches. However, their unemployment rate is a bit higher as well the number of people living in poverty. Their median household income is $60, 190 unemployment rate of 6.3% and a 15.9% of persons below the poverty level.
Median Household Income: $60,190 (2013)
Millionaire Households: 5.79% (2014)
Population: 38.8 million (2014)
Unemployment Rate: 6.3% (April 2015)
Persons below poverty level: 15.9% (2009-2013)
6. Virginia. The unemployment rate of Virginia is relatively low at 4.8%. They are known for having the highest number of government employees and contractors who mostly lives from the northern part of the state and commutes to Washington D.C. The information technology jobs in the government of Virginia are also paid the highest in the state.
Median Household Income: $62,666
Millionaire Households: 6.76%
Population: 8.326 million (2014)
Unemployment Rate: 4.8% (April 2015)
Persons below poverty level: 11.3% (2009-2013)
7. Massachusetts. Included in the Census Bureau’s report of the wealthiest state in the country is Massachusets as it has the highest percentage of residents holding a bachelor’s degree. The strongest asset of the state is some of the world’s best universities, financial services, , and medicine.
Median Household Income: $66,768
Millionaire Households: 6.66% (2014)
Population: 6.745 million (2014)
Unemployment Rate: 4.7% (April 2015)
Persons below poverty level: 11.4% (2009-2013)
8. Connecticut. The state may have a high unemployment rate but the reason why they’re on the list is that of the finance, insurance, and wealthy workers commuting to New York. They also have the second highest percentage of households with investable assets.
Median Household Income: $67,098
Millionaire Households: 7.23%
Population: 3.597 million (2014)
Unemployment Rate: 6.3% (April 2015)
Persons below poverty level: 10.2% (2009-2013)
9. New Jersey. The state’s biopharmaceuticals, transportation, and manufacturing is the reason why they’re on this list. Also, with a millionaire household of 7.14%, there’s no doubt they’re as wealthy as they can be.
Median Household Income: $70,165
Millionaire Households: 7.14%
Population: 8.938 million (2014)
Unemployment Rate: 6.5% (April 2015)
Persons below poverty level: 10.4% (2009-2013)
10. Alaska. Last but not the least, Alaska. They may have the highest unemployment rate in our list but the percentage of people living in poverty is extremely low as well. The state’s tourism and fishing as well as the oil dividends residents receive help drive the economy.
Median Household Income: $72,237
Millionaire Households: 6.82%
Population: 736,732 (2014)
Unemployment Rate: 6.7% (April 2015)
Persons below poverty level: 9.9% (2009-2013)
