Virginia tops – A WalletHub study ranks Virginia No. 1 for overall household earnings using three measures: top 5% income, bottom 20% income, and median household income. New York and California—states associated with outsized wealth—place high but not first, and WalletHub an
For most Americans, where you live shapes what you can earn—sometimes dramatically. A new WalletHub study turns that idea into a ranking, scoring each state on how much the top of the income ladder makes, how much the bottom is taking home, and what the typical household earns overall.
It also produces a surprise: the richest state in America isn’t New York, California, or Florida. Instead, Virginia lands at No. 1, edging out other high-earning states that many people associate with big money.
WalletHub used three income-related measures to rank states: the average annual income of the top 5%, the average annual income of the bottom 20%, and the median annual household income of the state’s entire population.
When New York nearly takes the top spot, the numbers come with a warning sign. WalletHub analyst Chip Lupo said New York’s income disparity is a reason it came up just short of the No. 1 ranking. In particular, he pointed to how New York’s median compares to other states. “In terms of just the median annual income. which I think is what most people are interested in as far as that’s a reflection of the middle class. New York is a little above average in terms of its median annual income at $96. 000. ” Lupo told Business Insider.
California’s story runs in a different direction. Lupo said California’s lower ranking on the list may have been impacted by several top earners leaving. “What’s going on in California also is the number of high-wealth individuals that are fleeing the state,” Lupo said. “A lot of wealth is moving out of the state and into more tax-friendly states like Texas, Florida, and Tennessee. So that’s a huge driver.”.
WalletHub’s top-to-bottom results show how sharply the earnings picture varies from state to state. Virginia leads the pack with a total score of 67.57, an average annual income of the top 5% of $545,097, a median annual income of $95,339, and an average annual income of the bottom 20% of $19,671.
New York follows at No. 2 with a total score of 66.27. an average annual income of the top 5% of $585. 523. a median annual income of $96. 746. and an average annual income of the bottom 20% of $13. 633. New Jersey is No. 3. scoring 66.08 with an average annual income of the top 5% of $527. 376. a median annual income of $125. 766. and an average annual income of the bottom 20% of $17. 418.
The next tier mixes high medians with strong outcomes at the top. Washington is No. 4 with a total score of 65.23. an average annual income of the top 5% of $522. 328. a median annual income of $112. 933. and an average annual income of the bottom 20% of $19. 082. Connecticut is No. 5 with a total score of 64.73. an average annual income of the top 5% of $543. 016. a median annual income of $122. 032. and an average annual income of the bottom 20% of $15. 095.
Massachusetts ranks No. 10 with a total score of 57.11. an average annual income of the top 5% of $498. 062. a median annual income of $137. 563. and an average annual income of the bottom 20% of $14. 440. Illinois is No. 9 with a total score of 57.88. an average annual income of the top 5% of $533. 840. a median annual income of $83. 277. and an average annual income of the bottom 20% of $16. 813. Minnesota is No. 8 with a total score of 58.66. an average annual income of the top 5% of $500. 074. a median annual income of $90. 632. and an average annual income of the bottom 20% of $20. 662.
Down the list, California comes in at No. 13 with a total score of 53.45. an average annual income of the top 5% of $482. 584. a median annual income of $133. 974. and an average annual income of the bottom 20% of $14. 662. Florida lands at No. 15 with a total score of 49.89. an average annual income of the top 5% of $507. 073. a median annual income of $75. 737. and an average annual income of the bottom 20% of $16. 378.
The remaining states captured in the study’s top 15 follow the same scoring logic: District of Columbia is No. 12 with a total score of 54.11. an average annual income of the top 5% of $488. 074. a median annual income of $174. 287. and an average annual income of the bottom 20% of $9. 579. Texas is No. 11 with a total score of 54.93. an average annual income of the top 5% of $520. 378. a median annual income of $75. 905. and an average annual income of the bottom 20% of $17. 651. Georgia is No. 14 with a total score of 52.76. an average annual income of the top 5% of $516. 260. a median annual income of $72. 437. and an average annual income of the bottom 20% of $17. 301.
Taken together, the results show why the headline “richest state” can mean something different depending on what you measure. Some states post very high median household incomes. while others combine strong top-end earnings with different outcomes for the bottom 20%—and those trade-offs help decide who reaches No. 1 and who narrowly misses.
WalletHub Virginia income ranking median household income top 5% income bottom 20% income New York California Chip Lupo
So Virginia is basically rich rich now? Wild.
I don’t get how they can say billionaires are fading but Virginia is #1. Isn’t that contradictory? Also bottom 20%?? Like are they even counting cost of living or just vibes.
New York being “nearly” #1 just sounds like politics tbh. Like $96,000 median doesn’t seem bad to me, so why is it a warning sign? If the top 5% is making bank, then the middle is fine right?
California lower ranking cuz rich people are leaving… ok but people have been leaving California forever, so how is that a surprise? And Virginia #1 feels like it’s only because of DC jobs or something. My cousin in NOVA says it’s expensive as hell, so I’m skeptical. Also “billionaires fade” like where did they go, Texas? Florida? Feels like these lists always pick one state and then act like it’s the whole story.