A recent study shows that Ohio, Kentucky, and Indiana are among the states with the lowest average income levels in the United States.
According to research conducted by personal finance company WalletHub, the median annual income in the United States stands at approximately $74,600. However, there exists a significant income disparity within the country.
The company conducted a study where they analyzed three main factors for all 50 states and the District of Columbia. They compared the average yearly income of the top 5%, the average income of the bottom 20%, and the median income of all residents within each state.
Based on a comparison of the top, median, and lowest numbers in the nation, the states with the highest and lowest incomes have been identified. These rankings take into account the balance between these numbers.
According to recent rankings, Ohio was placed at No. 26 overall and reported a median annual income of $61,904. Indiana, on the other hand, secured the No. 32 spot with a median annual income of $64,170. Kentucky ranked at No. 42 and reported a median annual income of $55,629.
West Virginia ranked as the state with the lowest income, positioned at No. 51. The top 5% of earners in the state made $345,239, while the median annual income was $52,719. On the other hand, the lowest 20% of earners in West Virginia made $12,477.
According to the list, California secured the 11th position, with individuals in the top 5% earning a median salary of $454,829. On average, the median yearly income was $123,988. On the other hand, those in the bottom 20% earned $13,949.
According to a WalletHub analyst, the latest Census data reveals that individuals in the highest-earning 10% in the United States earn over 12 times more than those in the lowest-earning 10%. By comparing the income of different percentiles to a state’s median income, income disparities can be identified more effectively. This can help in gaining a better understanding of why residents in certain states face more difficulties in making ends meet.
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