These are the 10 wealthiest states in the U.S. by income

The average median annual household income in the United States is $80,610, up from $77,540 the previous year. But when it comes to wealth in America, not all states are equal. While residents in certain states enjoy high wages, booming job markets, and strong economies, others lag behind with lower earning potential.

Median household income is one of the clearest indicators of a state’s overall wealth, showing not just how much the richest residents make, but how well the typical household is doing. Let’s dive deeper into the wealthiest states according to median income.

We used the latest data from the Federal Reserve to determine the top 10 wealthiest states in the U.S., according to the real median annual household income in each state.

Here’s a closer look at the wealthiest states in the U.S. by income, as well as some additional factors that impact overall wealth in each state, such as net worth and gross domestic product (with higher GDPs indicating greater economic activity). Find out if your state made the list.

Median annual household income: $106,500

The top spot for the wealthiest state in the U.S. goes to Massachusetts. The median household income is a whopping $106,500 — that’s over $25,000 more than the national average.

The state also has a median net worth of $308,400. However, it also has the second-highest cost of living in the nation. Total GDP is $780.7 billion.

2. Maryland

Median annual household income: $102,000

The runner-up for the wealthiest state in the U.S. is Maryland. This state has a slightly lower cost of living than the top state on our list, as well as a slightly lower median annual household income of $102,000.

The median net worth in this state is $304,600, and total GDP is $542.7 billion.

Median annual household income: $101,200

The third-wealthiest state according to median household income is Utah. The cost of living is on the higher side compared to other states, but the annual household income is $101,200 — more than $20,000 above the national average.

This state also has a median net worth $305,600 and GDP of $300.9 billion.

Median annual household income: $98,780

Next on our list is New Hampshire. Residents of this state also enjoy higher incomes, with a median annual household income of $98,780.

However, the median net worth is $190,200, which is slightly lower than the national average of $192,300. The state’s GDP is $121.2 billion.

Median annual household income: $98,190

Alaska took the fifth spot on our list with a median annual household income of $98,190 — just over $17,500 more than the national average.

This state does have an above-average cost of living, which may offset the benefits of higher incomes. And its GDP is significantly lower than some of the other states on this list at about $70 billion.

Median annual household income: $97,360

In addition to being a popular tourist destination, Hawaii is also one of the wealthiest states, with a median household income of $97,360.

Additionally, the median net worth in this state is the highest in the country at $472,600, and the GDP is about $115.6 billion. That said, Hawaii also has the highest cost of living in the country.

Median annual household income: $96,640

Colorado residents boast a median annual household income of $96,640, or more than $16,000 above the national average.

The median net worth in Colorado is also on the higher end at $283,700, though the cost of living in this state is also higher than the national average. And Colorado’s GDP is one of the highest on our list at $553.3 billion.

Median annual household income: $96,490

Virginia is for lovers — and some of the wealthiest Americans. The median net worth in this state is nearly $200,000 and the median household income is just under $100,000.

Cost of living in this state is also just above the national average, while its GDP is the third-highest on our list at $764.5 billion.

Median annual household income: $93,440

Washington state’s median annual income is nearly $13,000 more than the national average. And the median net worth in this state is a whopping $375,100, though the cost of living is also quite high.

Washington’s GDP is the highest of the states on our list at $854.7 billion.

Median annual household income: $92,240

The final spot on our list goes to Connecticut. Residents of this state earn a median household income that is about $11,000 more than the national average. The median net worth for this state also sits at $194,400, or just over $2,000 more than the national average.

However, the cost of living in Connecticut is also on the higher end. Its GDP is about $365.7 billion.

Read more: This map highlights the average net worth in every state

Income is a major driver of wealth, but it’s only one part of the equation. As an individual, it’s possible to earn a high income but still have a low overall net worth.

Read more: 6 ways to increase your net worth

Wealth is determined by what you keep, not just what you earn. Other factors to consider beyond income include:

Debt-to-income ratio: Your debt-to-income ratio, or DTI, measures how much of your total monthly income goes toward debt obligations. The more you have to pay toward debts each month, the less money you have to put toward other spending, saving, and investing. In other words, even if you’re earning a higher salary, carrying large amounts of debt can eat into that income and make it difficult to build lasting wealth.

Cost of living: The cost of living in your state impacts how much of your income goes toward essentials like housing, groceries, food, etc. If you live in a state with a higher cost of living, it may negate the benefits of a higher income since you have to spend more on everyday expenses.

Taxes: State taxes can have a big influence on wealth building because they directly affect how much of your income you get to keep and invest. Higher state income taxes, for example, can widen the gap between your gross vs. net income.

All of these factors can drastically impact a person’s experience living in a particular state and their wealth-building journey. While some states have higher earners than others, on average, those higher earners may also be faced with higher costs that eat into their earnings.

In other words, a high salary improves your potential for wealth, but it doesn’t guarantee it.

Read more: These are America’s best and worst states for saving money in 2025