In the US, not every state has the same per capita income. In fact, in all of the fifty states of the US, the average income ranges from the low end of $31,881 to a high end of $65,545. The average income for the United States as a whole is $50,577. Massachusetts is the richest state in the US, with a per capita income of $65,545. In this article, we will explore the reasons why incomes in Massachusetts tend to be so high, and we will take a look at the other states where residents are earning higher than average incomes.
The Richest States in the US
1. Massachusetts - $65,545
The wealthiest state in the US, Massachusetts attains its high average income by hosting a high-functioning economy made up of education, biotechnology, IT, healthcare, and tourism. Not only is the state home to some of the most famous institutions of higher learning in the world, such as Harvard and MIT, but the population of Massachusetts is the most educated of all US states. Despite having a relatively high cost of living and high rate of taxation, Massachusetts consistently ranks as one of the country's best states to live in.
2. New York - $64,579
The state of New York is the country's second richest, with a per capita income of $64,579. Like Massachusetts, the economy of New York is highly diversified and is fueled by things including but not limited to tourism, healthcare, biotechnology, and higher education. Nearly half of the population of the state of New York live in its largest city, New York City. New York City is known for being the home to very wealthy individuals, and is in fact home to some of the world's largest populations of millionaires and billionaires.
3. Connecticut - $64,511
Connecticut is another state in New England to make the cut, with a per capita income of $64,511. Many people who work in New York City actually live in Connecticut, as it is a conceivable distance for commuting. It is worth noting that there is high income disparity in Connecticut, meaning that the mixture of those who are extremely wealthy and those who are underprivileged may be resulting in a high per capita income.
4. Alaska - $63,971
Alaska, the largest state in the US, is also one of the wealthiest with a per capita income of $63,971. However, part of the reason for the state's high per capita income may be its small population. Alaska makes much of its revenue from the oil and gas industry.
5. Delaware - $63,664
The mid-Atlantic state of Delaware has a per capita income of $63,664. Delaware also happens to be one of the states in the country that does not have any kind of sales tax. However, like Connecticut, income inequality is a large issue in Delaware. In recent years, it has been that highest-earners who have seen the largest amount of income growth in the state.
Other States With High Incomes
Other states that can be counted among the country's richest include North Dakota ($62,664), Wyoming ($58,821), California ($58,619) and New Jersey ($57,084). On the other side, the poorest states in the country include Mississippi ($31,881), Idaho ($35,466), West Virginia ($36,315) and Arkansas ($36,368).