You’ll notice the wealthiest states reflect regions with robust, diverse economies, often with strong technology, finance and government sectors. These states not only lead in median household income but also contribute significantly to the overall economic growth and success of the country.
1. New Jersey: $96,346
If you decide disqualify the honorable from this list because of a technicality, you could consider New Jersey to be the true richest state. According to data from the Bureau, the New Jersey median household income takes the No. 2 spot on this list, up from No. 5 in 2012, when the New Jersey median household income was $69,667.
New Jersey’s proximity to major economic hubs like New York City and Philadelphia contributes significantly to its high median income. The state’s economic analysis shows a thriving economy with strong sectors in pharmaceuticals, finance and information technology, making it easily one of the richest states in America.
2. Maryland: $94,991
Between 2012 and 2022, Maryland dropped one position on the list of the top 10 richest states, being one of only three of the top 10 states to experience a drop in its median income ranking.
Despite this fact, the Maryland median household income remains high at $94,991 (having gained $23,869 in median household income since 2012), thanks to its well-educated workforce and the substantial number of jobs at federal agencies and in the industries of biotechnology and healthcare.
The Maryland median household income also reflects the state’s strategic location near the nation’s capital.
3. Massachusetts: $94,488
Living in Massachusetts comes with a hefty price tag, as it’s the second most expensive state to live in, with an annual cost of living of $53,860. The Massachusetts median household income of $94,488 reflects this and highlights the state’s role in fostering high-paying jobs and innovation for the nation.
In addition to contributing to the country’s overall economic success, the state’s prestigious educational institutions and thriving healthcare, technology and finance sectors have gone a long way toward elevating the Massachusetts median household income, which between 2012 and 2022 climbed from No. 8 to No. 4 on the list of top 10 richest states.
Perhaps unsurprisingly, Massachusetts is also the most educated state in 2024. In 2012, the state’s median household income was $65,339.
4. Hawaii: $92,458
Hawaii is the most expensive state in which to live, with an annual cost of living of $55,491. However, this high cost of living continues to go hand in hand with a high median income, which was $92,458 as of 2022.
Between 2012 and 2022, the state experienced enough economic growth to move the Hawaii median household income up one position, from No. 6 to No. 5, on the list of richest states. In 2012, the Hawaii median household income was $66,259.
Tourism, military defense and agriculture heavily support the state’s economy, contributing to its overall economic health. This reflects not only its unique geographic location but also its attractiveness as a major travel destination.
5. California: $91,551
Technology, entertainment, agriculture and tourism drive California’s economy, the largest of any state in the country, making it a national and global economic powerhouse.
While in 2012 the state was ranked dead last on the list of top 10 richest states, its 2012 median income of $58,328 increased by $33,223 by 2022 to place the state firmly in the middle of the pack. With a median household income of $91,551, it now stands at No. 6.
The high income in California reflects the wealth its people, businesses and entire industries generate, particularly in areas like Silicon Valley. But the California median household income is up against the state’s high cost of living — $53,171, which is the third highest in the nation (after Hawaii and Massachusetts).
6. Washington: $91,306
The Washington median household income receives a boost from the booming tech industry centered in Seattle, which is home to major companies like Microsoft and Amazon, as well as a strong aerospace sector.
Today it may be hard to believe, but in 2012, Washington didn’t even make the list of the top 10 richest states, coming up short at No. 11.
But by 2022, Washington had broken into the top 10 by adding $33,733 to its 2012 median income of $57,573. This jump resulted in the second greatest increase in income among the states on this list (only the District of Columbia experienced a bigger jump).
The Washington median household income highlights the state’s growing technology sector and its significant contribution to the nation’s gross domestic product (GDP).
7. Colorado: $89,302
Colorado also broke into the top 10 list between 2012 and 2022. While in 2012 the Colorado median household income was ranked 12th with a figure of $56,765, by 2022 it had moved up to take the No. 8 spot.
The state’s high quality of life and outdoor recreational opportunities make it a desirable place to live and work, and thriving local aerospace, technology, agriculture and tourism industries ensure it maintains a diverse economy.
The health of the Colorado median household income may in particular reflect the state’s burgeoning renewable energy sector.
8. Connecticut: $88,429
Connecticut benefits from a strong financial services sector, particularly in hedge funds and insurance, along with high-paying jobs in healthcare and education.
The Connecticut median household income of $88,429 reflects the state’s economic success in these areas and its strategic importance in the financial industry.
While the Connecticut median household income gained $21,153 between 2012 and 2022, the state dropped five places on the list of richest states, moving from fourth to ninth place.
9. Alaska: $88,121
Of all the states on this list, Alaska experienced the most significant drop in ranking, falling from No. 3 to No. 10. And while it didn’t experience a negative change in income, it did gain the fewest dollars out of the states on this list, adding just $20,409 to the Alaska median household income.
That said, Alaska is still among the country’s wealthiest states, with a high median income that’s largely due to the success of its oil and gas industry, along with major federal government spending. Alaska’s remote location also leads to higher wages, which attract qualified workers, emphasizing both the state’s economic importance and its unique challenges.
