What is top 1% income by state?

The Million-Dollar Club: A State-by-State Look at the Top 1%

The idea of belonging to the “top 1%” often conjures images of unimaginable wealth and a life far removed from the everyday experiences of most. But what exactly does it take to reach that coveted economic tier, and does the price of admission vary depending on where you live? While the national conversation around wealth inequality often focuses on broad economic trends, the reality is that the threshold for belonging to the top 1% can fluctuate dramatically from state to state.

We often hear about national averages, but digging into state-level data reveals a much more nuanced picture. While consistently topping national figures, the barrier to entry for the top 1% is far from a uniform experience.

For some states, exceeding seven figures in income is the defining characteristic of this elite group. Connecticut, known for its affluent enclaves, often serves as a bellwether. But beyond the Nutmeg State, a handful of others demand a seven-figure income to join their ranks.

Leading the pack in required income to break into the top 1% is Massachusetts, boasting a staggering threshold of $1,153,000. This reflects the state’s concentration of high-paying jobs in sectors like finance, technology, and healthcare, particularly around the Boston metropolitan area.

Closely trailing Massachusetts is California, a state synonymous with innovation and economic power, where an income exceeding $1,072,300 is necessary to crack the top 1%. This figure is driven by the burgeoning tech industry in Silicon Valley and the entertainment industry in Southern California, attracting high-earners from around the globe.

Rounding out the million-dollar-plus club are Washington and New Jersey, with top 1% income thresholds of $1,025,000 and $1,010,100, respectively. Washington state’s high figure is largely attributable to the booming tech sector fueled by companies like Amazon and Microsoft, while New Jersey’s proximity to New York City and its concentration of financial services companies contribute to its high entry point.

These figures paint a vivid picture of the disparity in wealth distribution across the United States. While the exact methodologies for calculating these thresholds can vary slightly between different analyses, the underlying trend remains clear: the price of belonging to the top 1% is significantly higher in certain states, driven by a complex interplay of factors including industry concentration, cost of living, and regional economic dynamics.

Understanding these state-level variations is crucial for fostering a more informed discussion about wealth inequality and the economic realities faced by different communities across the nation. It moves the conversation beyond abstract numbers and grounds it in the tangible experiences of people living and working in different parts of the country. It underscores that the landscape of economic opportunity, and the definition of “success” itself, is deeply influenced by geographic context.