Rich is a term that might seem rather vague when it comes to wealth — what seems rich to one person might not to another, and money can go a lot further in some states than others.
Find Out: 4 Subtly Genius Moves All Wealthy People Make With Their Money
One way to determine what equals “rich” is to look at the top 5% income earners in any given state. The 5% club in some states, however, is much, much harder to crack into than in others.
To determine what it takes to be rich, GOBankingRates used data from the U.S. Census Bureau‘s 2021 American Community Survey to determine the average income for each state compared to that of its top-earning 5%.
Here’s a look at how much you need to be “rich” in each state, and how much more you’ll earn than the average person when you get there.
Alabama
- How much you need to be in the top 5%: $202,158
- Average household income for the top 5%: $336,788
- Median household income for the entire state: $54,943
- How much more the average 5% makes than the median: 6.1x
Check Out: 6 Ways to Tell If You’re Financially Smarter Than the Average American
Learn More: How Much Money Do Americans Have in Their Bank Accounts?
Alaska
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $394,694
- Median household income for the entire state: $80,287
- How much more the average 5% makes than the median: 4.9x
Try This: How I Make $5,000 a Month in Passive Income Doing Just 10 Hours of Work a Year
Arizona
- How much you need to be in the top 5%: $233,908
- Average household income for the top 5%: $395,620
- Average household income for the entire state: $65,913
- How much more the average 5% makes than the average person: 6.0x
Arkansas
- How much you need to be in the top 5%: $193,240
- Average household income for the top 5%: $344,470
- Average household income for the entire state: $52,123
- How much more the average 5% makes than the average person: 6.6x
California
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $555,007
- Median household income for the entire state: $84,097
- How much more the average 5% makes than the median: 6.6x
Colorado
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $466,181
- Median household income for the entire state: $80,184
- How much more the average 5% makes than the median: 5.8x
Read Next: Ramit Sethi — 5 Easy Steps To Getting Rich
Connecticut
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $602,707
- Median household income for the entire state: $83,572
- How much more the average 5% makes than the median: 7.2x
Delaware
- How much you need to be in the top 5%: $245,145
- Average household income for the top 5%: $420,859
- Average household income for the entire state: $72,724
- How much more the average 5% makes than the average person: 5.8x
District of Columbia
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $670,768
- Average household income for the entire state: $93,547
- How much more the average 5% makes than the average person: 7.2x
Florida
- How much you need to be in the top 5%: $236,080
- Average household income for the top 5%: $431,870
- Average household income for the entire state: $61,777
- How much more the average 5% makes than the average person: 7.0x
For You: The 5 Levels of Wealth and How To Get There
Georgia
- How much you need to be in the top 5%: $245,320
- Average household income for the top 5%: $422,018
- Average household income for the entire state: $65,030
- How much more the average 5% makes than the average person: 6.5x
Hawaii
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $459,305
- Median household income for the entire state: $88,005
- How much more the average 5% makes than the median: 5.2x
Idaho
- How much you need to be in the top 5%: $212,170
- Average household income for the top 5%: $360,622
- Median household income for the entire state: $63,377
- How much more the average 5% makes than the median: 5.7x
Illinois
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $466,713
- Median household income for the entire state: $72,563
- How much more the average 5% makes than the median: 6.4x
Discover More: 7 Creative Sources of Passive Income To Consider in 2024
Indiana
- How much you need to be in the top 5%: $205,154
- Average household income for the top 5%: $347,661
- Median household income for the entire state: $61,944
- How much more the average 5% makes than the median: 5.6x
Iowa
- How much you need to be in the top 5%: $210,930
- Average household income for the top 5%: $352,704
- Median household income for the entire state: $65,429
- How much more the average 5% makes than the median: 5.4x
Kansas
- How much you need to be in the top 5%: $220,993
- Average household income for the top 5%: $383,038
- Median household income for the entire state: $64,521
- How much more the average 5% makes than the median: 5.9x
Kentucky
- How much you need to be in the top 5%: $197,902
- Average household income for the top 5%: $350,411
- Median household income for the entire state: $55,454
- How much more the average 5% makes than the median: 6.3x
Find Out: 6 Ways To Build Wealth in Less Than Five Years
Louisiana
- How much you need to be in the top 5%: $210,664
- Average household income for the top 5%: $357,026
- Median household income for the entire state: $53,571
- How much more the average 5% makes than the median: 6.7x
Maine
- How much you need to be in the top 5%: $211,731
- Average household income for the top 5%: $359,776
- Median household income for the entire state: $63,182
- How much more the average 5% makes than the median: 5.7x
Maryland
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $503,597
- Median household income for the entire state: $91,431
- How much more the average 5% makes than the median: 5.5x
Massachusetts
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $558,616
- Median household income for the entire state: $89,026
- How much more the average 5% makes than the median: 6.3x
Explore More: Grant Cardone — Here’s How To Become Rich If You’re Earning an Average Salary
Michigan
- How much you need to be in the top 5%: $222,336
- Average household income for the top 5%: $376,426
- Median household income for the entire state: $63,202
- How much more the average 5% makes than the median: 6.0x
Minnesota
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $441,274
- Median household income for the entire state: $77,706
- How much more the average 5% makes than the median: 5.7x
Mississippi
- How much you need to be in the top 5%: $179,799
- Average household income for the top 5%: $308,523
- Median household income for the entire state: $49,111
- How much more the average 5% makes than the median: 6.3x
Missouri
- How much you need to be in the top 5%: $215,289
- Average household income for the top 5%: $371,277
- Median household income for the entire state: $61,043
- How much more the average 5% makes than the median: 6.1x
Consider This: Mark Cuban’s Best Advice on How To Become Rich
Montana
- How much you need to be in the top 5%: $209,435
- Average household income for the top 5%: $370,234
- Median household income for the entire state: $60,560
- How much more the average 5% makes than the median: 6.1x
Nebraska
- How much you need to be in the top 5%: $216,626
- Average household income for the top 5%: $378,679
- Median household income for the entire state: $66,644
- How much more the average 5% makes than the median: 5.7x
Nevada
- How much you need to be in the top 5%: $227,954
- Average household income for the top 5%: $410,161
- Median household income for the entire state: $65,686
- How much more the average 5% makes than the median: 6.2x
New Hampshire
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $440,829
- Median household income for the entire state: $83,449
- How much more the average 5% makes than the median: 5.3x
Read Next: I’m a Financial Advisor — These 5 Index Funds Are All You Really Need
New Jersey
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $562,886
- Median household income for the entire state: $89,703
- How much more the average 5% makes than the median: 6.3x
New Mexico
- How much you need to be in the top 5%: $197,251
- Average household income for the top 5%: $323,568
- Median household income for the entire state: $54,020
- How much more the average 5% makes than the median: 6.0x
New York
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $574,063
- Median household income for the entire state: $75,157
- How much more the average 5% makes than the median: 7.6x
North Carolina
- How much you need to be in the top 5%: $228,071
- Average household income for the top 5%: $390,822
- Median household income for the entire state: $60,516
- How much more the average 5% makes than the median: 6.5x
Check Out: 10 Valuable Stocks That Could Be the Next Apple or Amazon
North Dakota
- How much you need to be in the top 5%: $224,445
- Average household income for the top 5%: $380,261
- Median household income for the entire state: $68,131
- How much more the average 5% makes than the median: 5.6x
Ohio
- How much you need to be in the top 5%: $216,003
- Average household income for the top 5%: $370,964
- Median household income for the entire state: $61,938
- How much more the average 5% makes than the median: 6.0x
Oklahoma
- How much you need to be in the top 5%: $201,605
- Average household income for the top 5%: $348,180
- Median household income for the entire state: $56,956
- How much more the average 5% makes than the median: 6.1x
Oregon
- How much you need to be in the top 5%: $245,626
- Average household income for the top 5%: $404,468
- Median household income for the entire state: $70,084
- How much more the average 5% makes than the median: 5.8x
Discover More: Net Worth Floridians — How Much to Be Poor, Middle-Class, or Rich in Florida
Pennsylvania
- How much you need to be in the top 5%: $246,367
- Average household income for the top 5%: $417,872
- Median household income for the entire state: $67,587
- How much more the average 5% makes than the median: 6.2x
Rhode Island
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $424,473
- Median household income for the entire state: $74,489
- How much more the average 5% makes than the median: 5.7x
South Carolina
- How much you need to be in the top 5%: $214,275
- Average household income for the top 5%: $374,427
- Median household income for the entire state: $58,234
- How much more the average 5% makes than the median: 6.4x
South Dakota
- How much you need to be in the top 5%: $202,777
- Average household income for the top 5%: $358,060
- Median household income for the entire state: $63,920
- How much more the average 5% makes than the median: 5.6x
Read More: 7 Ways the Upper Middle Class Can Become Rich in 2024
Tennessee
- How much you need to be in the top 5%: $215,861
- Average household income for the top 5%: $389,257
- Median household income for the entire state: $58,516
- How much more the average 5% makes than the median: 6.7x
Texas
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $427,006
- Median household income for the entire state: $67,321
- How much more the average 5% makes than the median: 6.3x
Utah
- How much you need to be in the top 5%: $247,341
- Average household income for the top 5%: $421,379
- Median household income for the entire state: $79,133
- How much more the average 5% makes than the median: 5.3x
Vermont
- How much you need to be in the top 5%: $230,309
- Average household income for the top 5%: $376,807
- Median household income for the entire state: $67,674
- How much more the average 5% makes than the median: 5.6x
For You: 7 Key Signs You’ve Reached Financial Freedom
Virginia
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $486,006
- Median household income for the entire state: $80,615
- How much more the average 5% makes than the median: 6.0x
Washington
- How much you need to be in the top 5%: $250,000
- Average household income for the top 5%: $487,950
- Median household income for the entire state: $82,400
- How much more the average 5% makes than the median: 5.9x
West Virginia
- How much you need to be in the top 5%: $183,110
- Average household income for the top 5%: $299,882
- Median household income for the entire state: $50,884
- How much more the average 5% makes than the median: 5.9x
Wisconsin
- How much you need to be in the top 5%: $214,889
- Average household income for the top 5%: $371,015
- Median household income for the entire state: $67,080
- How much more the average 5% makes than the median: 5.5x
Check Out: I’m a Financial Advisor — I’d Invest My First $5,000 in These 6 Stocks
Wyoming
- How much you need to be in the top 5%: $209,639
- Average household income for the top 5%: $372,110
- Median household income for the entire state: $68,002
- How much more the average 5% makes than the median: 5.5x
Andrew Lisa and John Csiszar contributed to the reporting of this article.
Methodology: GOBankingRates found how much a household has to make pre-tax to be in the top 5% highest-earning households in each state by analyzing the Census Bureau’s 2021 American Community Survey (ACS). GOBankingRates took the 2021 ACS data on “Household Income Quintile Upper Limits” and found each state’s (1) lower income limit of the top-5 percent of households. Supplemental data compiled includes (2) average household income of the top 5%; (3) average household income for the entire state; and (4) how much more the average 5% household makes than the overall average household in each state. Data is accurate as of May 31, 2023 and is subject to change.
More From GOBankingRates
- I'm a Financial Advisor: My Wealthiest Clients All Do These 3 Things
- 3 Things You Must Do When Your Savings Reach $50,000
- Meet Your Money Goals: The Best Banks of 2025
- 9 Things You Must Do To Grow Your Wealth in 2025
This article originally appeared on GOBankingRates.com: How Much You Need To Be in the Top 5% in Every State
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
