Here are the states where people have the highest income in 2025, study

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Income disparities continue to exist where some Americans are earning more money than others, which can be tied to a variety of factors. 

A recent WalletHub study takes a look at these financial differences by evaluating all 50 states and Washington, D.C. on three key criteria: the average annual income of the top 5%, the average income of the bottom 20%, and the median income for all residents in these areas. Income in these categories were also adjusted for the cost-of-living index (COLI).

Top income levels by state 

Local perspective:

The state rankings are based on the average annual income of the top 5%, per WalletHub. 

1. Virginia ($533,522 average annual income)
2. New Jersey ($522,128 average annual income)
3. New York ($575,505 average annual income)
4. Connecticut ($535,578 average annual income)
5. Washington ($499,994 average annual income)
6. Utah ($466,144 average annual income)
7. Minnesota ($486,764 average annual income)
8. Colorado ($483,844 average annual income)
9. Illinois ($521,989 average annual income)
10. Massachusetts ($486,112 average annual income)
11. Texas ($504,383 average annual income)
12. California ($473,848 average annual income)
13. Washington, D.C. ($470,987 average annual income)
14. Georgia ($504,969 average annual income)
15. Maryland ($438,921average annual income)
16. Florida ($492,920 average annual income)
17. New Hampshire ($417,276 average annual income)
18. Pennsylvania ($464,388 average annual income)
19. Missouri ($464,577 average annual income)
20. North Carolina ($468,634 average annual income)

Study breaks down top 3 income states 

Dig deeper:

WalletHub provided a breakdown of the top three states with the top incomes. 

Virginia

Virginia has the highest income in terms of balancing between the median, top 5% and bottom 20% of earners.

The study found that the top 5% of earners in Virginia make an average of $533,522 annually, while the bottom 20% make an average of $19,293. Since there is a disparity between these two statistics, the top 5% ranks as the third highest in the U.S., while the bottom 20% ranks fourth. Researchers found that median annual income in Virginia is $93,275, ranking the 17th-highest in the U.S.

New Jersey

New Jersey ranks as the second-highest income, when you consider low, high, and median earnings. According to the study, the top 5% of New Jersey residents make an average of $522,128 each year, the fourth-highest number in the U.S. In addition, the median income in the state is $122,447, which ranks as the sixth highest.

Meanwhile, residents in the bottom 20% of the population are only doing slightly better than average. They earn $17,083 annually, which only ranks as the 19th-highest in the U.S.

New York

New York has the third-highest income, after factoring in the top 5%, bottom 20% and median earnings.

The average annual income of the top 5% of earners in New York is $575,505, the highest in the U.S. But the bottom 20% of earners make an average of $13,647 annually, which ranks 45th out of the 50 states and the District of Columbia.

Researchers found that the high-income bracket receives more weight than the low-income bracket, which explains why New York’s ranking is so high. The median annual income in New York is $95,033, which ranks as the 15th-highest in the U.S.