US Personal Income by States

By Raulin Cadet | Published Oct. 31, 2023 | Updated Oct. 31, 2023 | Topics: USA, Income, Personal income, US states

Per capita personal income is an essential indicator to provide an insight about the living standard of families. This blog post classifies the USA states, considering that indicator. In addition, it provides insights into regional disparities about per capita personal income. 

Concepts: Personal income, according to the Bureau of Economic Analysis, includes the income individuals receive for their labor, land, and capital contributions, as well as transfer receipts minus government social insurance contributions. Per capita personal income is the average income earned by each person in a specific geographic area, calculated by dividing the total personal income of that area by its population.

The graphic of this article illustrates the classification of US states, revealing that half of the top 10 states with the highest per capita personal income are located in the Northeast. These states include Massachusetts, Connecticut, New Jersey, New York, and New Hampshire. It is important to underline, no states in the Midwest region make it into the top 10 for per capita personal income.

It is interesting to know what contribute to the higher personal income levels in most of the States of the Northeast. A next article should go in-depth to that analysis.