Households earning $200,000 or more are flocking to these 10 states—5 are in the South (2024)

FAQs

Households earning $200,000 or more are flocking to these 10 states—5 are in the South? ›

In 2022, about 14.88 million households in the United States had an income of 200,000 U.S. dollars or more a year.

In 2022, about 14.88 million households in the United States had an income of 200,000 U.S. dollars or more a year.

If you had an income of $200,000, that would put you in the top 12% of household incomes or the top 5% of individual incomes in 2022. Though I prefer household income over individual income, no matter how you cut it, $200k a year puts you on the higher end of the income spectrum.

A 2022 study by the Economic Policy Institute (EPI) found that the top 10% of earners nationally received an average income of $167,639 in 2021.

There are a ton of variables, and these are just loose guidelines. That said, if you make $200,000 a year, it means you can likely afford a home between $400,000 and $500,000.

Sure, as a single person 200K is doing well. But, 200K with a family of 4 (2 kids and a wife) is definately scraping by on the penninsula or SF. The only way that's not scraping by is if you bought your house over 20 years ago (or during 2010-2012 housing slump) OR you got yourself a Rent controlled apartment.

200K Salary in Texas. $175,007 is the 75th percentile. Salaries above this are outliers.

According to IRS standards, a monthly income of approximately $45,000 qualifies someone as wealthy. However, if you're aiming for the top 1% as measured by the Economic Policy Institute (EPI), you'd need to earn about $68,277 monthly.

A $200,000 annuity can provide livable income if you purchase it earlier in life, such as at age 45. However, waiting until retirement age to purchase an annuity of that size will likely provide less than $1,000 of monthly income.

It's important to remember that the definition of what it means to be rich is subjective. Someone who makes $250,000 a year, for example, could be considered rich if they're saving and investing in order to accumulate wealth and live in an area with a low cost of living.

What is the middle class salary? ›

As of 2022 (the most recent Census data), the average median household income in the U.S. was $73,914, meaning the national range for the middle class is roughly $49,271 to $147,828. Across the nation's largest cities, the range is between $51,558 and $154,590, according to SmartAsset.

Being in the top 20% of earners in California means making at least $171,387 a year. The Golden State, known for its pricey real estate and high cost of living, particularly in cities like San Francisco and Los Angeles, demands a substantial income to be considered wealthy.

The Pinnacle: The Top 1%

Entering the top 1% of earners requires an average annual income of $819,324. In the highest echelon — the top 0.1% — the average income is $3.3 million.

The personal finance site defines “middle class” as households with an annual income that is two-thirds to double a state's median income. In two states — Maryland and New Jersey — the high end of the middle-class income range edges close to $200,000.

A $200,000 household income is more than most people earn across the U.S. In fact, just 12% of U.S. households earn $200,000 or more annually, according to Census Bureau data.

What annual salary do you need to afford a million-dollar house? To comfortably afford a home valued at $1 million, financial experts recommend an annual salary between $269,000 and $366,000.

Only 7% of American households earn $250,000 or more. For those high-income earners, however, certain cities will offer them the most bang for their buck — and others will offer far less. The real purchasing power of a $250,000 salary depends on a city's overall economy, taxes and cost of living.

As of my last update in January 2022, approximately 1.8% of American households had an income exceeding $300,000 annually. However, this figure may vary slightly over time due to economic changes and shifts in income distribution.

Think of this list of jobs that pay $200k a year as aspirational. To get to the $200k pay level, you have to put in a lot of work, develop a strong skill set, and build a track record of proven results in your field.

One estimate found that the median U.S. household income is $77,397. Only 18% of individual Americans make more than $100,000 a year, according to 2023 data from careers website Zippia. About 34% of U.S. households earn more than $100,000 a year, according to Zippia.