(WISH) – Compared to other states, Hoosiers don’t need to earn as much money to be in the top 1% of earners, according to an analysis.
That’s not necessarily a good or a bad thing.
An analysis released by SmartAsset on July 17 examined data from the IRS and the US. Bureau of Labor Statistics. Indiana ranked 42nd among states for the amount of income required for a household of Hoosiers to be among the state’s top 1 percent earners.
The analysis found that Indiana’s highest 1% income limit for a household is $473,685. Compare that to the national threshold of $652,657.
According to the SmartAsset analysis, “The top 1% of Washington DC earns more than $1 million.” If our country’s capital were a state, it would rank #1 overall in our study. That’s because households don’t count in the top 1% if they don’t make at least $1,013,698 in 2023.”
Connecticut, Massachusetts, California, New Jersey and Washington State ranked in the top five. States below Indiana’s 42nd ranking were, from 43rd to 50th, Alabama, Oklahoma, Louisiana, Arkansas, Kentucky, New Mexico, Mississippi and West Virginia.
CNBC said of the analysis, “While residents in more urban states tend to earn more, they also generally have a higher cost of living, which somewhat offsets these higher incomes.”