Where a person lives can significantly affect how much they make. As a business owner, hiring manager or human resources professional, knowing what the average salary is in your state can help you with hiring and retention. You can use this information to ensure you’re offering new hires and veteran employees alike fair compensation.
Though helpful, this information can take a lot of time and effort to compile. So, we at the MarketWatch Guides team have done this part for you. Keep reading for insight on pay in all 50 states.
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2024 Average Salary by State Rankings
The U.S. Bureau of Labor Statistics collects statistics on pay, segmenting them by a variety of factors, including occupation, region and gender. Below is a table that looks at the most current data from the state point of view.
| Rank | State | Average Annual Salary |
|---|---|---|
| 1 | Massachusetts | $76,600 |
| 2 | New York | $74,870 |
| 3 | California | $73,220 |
| 4 | Washington | $72,350 |
| 5 | New Jersey | $70,890 |
| 6 | Maryland | $69,750 |
| 7 | Connecticut | $69,310 |
| 8 | Colorado | $67,870 |
| 9 | Alaska | $66,130 |
| 10 | Virginia | $65,590 |
| 11 | Rhode Island | $64,530 |
| 12 | Illinois | $63,930 |
| 13 | Minnesota | $63,640 |
| 14 | Oregon | $62,680 |
| 15 | New Hampshire | $62,550 |
| 16 | Delaware | $62,260 |
| 17 | Hawaii | $61,420 |
| 18 | Vermont | $59,190 |
| 19 | Arizona | $58,620 |
| 20 | Pennsylvania | $58,470 |
| 21 | Georgia | $58,000 |
| 22 | Michigan | $58,000 |
| 23 | Utah | $57,360 |
| 24 | Texas | $57,300 |
| 25 | Ohio | $56,530 |
| 26 | North Carolina | $56,220 |
| 27 | Wisconsin | $56,120 |
| 28 | Florida | $55,980 |
| 29 | Maine | $55,960 |
| 30 | North Dakota | $55,800 |
| 31 | Nevada | $55,490 |
| 32 | Nebraska | $55,070 |
| 33 | Missouri | $54,520 |
| 34 | Wyoming | $54,440 |
| 35 | New Mexico | $54,400 |
| 36 | Iowa | $53,520 |
| 37 | Indiana | $53,500 |
| 38 | Kansas | $52,850 |
| 39 | Tennessee | $52,820 |
| 40 | Montana | $52,220 |
| 41 | Kentucky | $51,490 |
| 42 | Idaho | $51,350 |
| 43 | Louisiana | $50,940 |
| 44 | Oklahoma | $50,940 |
| 45 | South Carolina | $50,650 |
| 46 | Alabama | $50,620 |
| 47 | South Dakota | $49,890 |
| 48 | West Virginia | $49,170 |
| 49 | Arkansas | $48,570 |
| 50 | Mississippi | $45,180 |
10 Highest-Paying States
In the next table, we zoom in on the most well-paid states. Adding onto salary, we also include hourly and unemployment rates.
| Rank | State | Average Annual Salary | Mean Hourly Rate | Unemployment Rate |
|---|---|---|---|---|
| 1 | Massachusetts | $76,600 | $36.83 | 2.9% |
| 2 | New York | $74,870 | $36.00 | 4.3% |
| 3 | California | $73,220 | $35.20 | 4.9% |
| 4 | Washington | $72,350 | $34.79 | 4.0% |
| 5 | New Jersey | $70,890 | $34.08 | 4.7% |
| 6 | Maryland | $69,750 | $33.53 | 1.8% |
| 7 | Connecticut | $69,310 | $33.32 | 3.6% |
| 8 | Colorado | $67,870 | $32.63 | 3.3% |
| 9 | Alaska | $66,130 | $31.79 | 4.4% |
| 10 | Virginia | $65,590 | $31.54 | 2.9% |
10 Lowest-Paying States
Below is the same information for the 10 lowest-paying states.
| Rank | State | Average Annual Salary | Mean Hourly Rate | Unemployment Rate |
|---|---|---|---|---|
| 1 | Mississippi | $45,180 | $21.72 | 3.3% |
| 2 | Arkansas | $48,570 | $23.35 | 3.3% |
| 3 | West Virginia | $49,170 | $23.64 | 4.2% |
| 4 | South Dakota | $49,890 | $23.99 | 2.0% |
| 5 | Alabama | $50,620 | $24.34 | 2.4% |
| 6 | South Carolina | $50,650 | $24.35 | 3.0% |
| 7 | Oklahoma | $50,940 | $24.49 | 3.3% |
| 8 | Louisiana | $50,940 | $24.49 | 3.5% |
| 9 | Idaho | $51,350 | $24.69 | 3.3% |
| 10 | Kentucky | $51,490 | $24.76 | 4.3% |
EXPLORE PLANS
Average Salary Explained
Average annual salary is a dollar amount that represents the annual wage of full-time, salaried employees. The number is calculated based on survey results. A survey goes out to a group of people. The people respond with what they make in a year. All of the salaries are added together, and the total is divided by the number of people. This final number is the average annual salary.
Anyone can conduct a survey to collect salary information. And the results of such a survey can vary based on:
- Who gets the survey
- Who responds to the survey
- Where the respondents live
- What the respondents do
- Whether the respondents include bonuses and other forms of compensation outside of base salary
- What gender the respondents identify as
To give you the most accurate picture of what salary looks like across the country and in your state, we use data from the U.S. Bureau of Labor Statistics (BLS) in this article. BLS is a government agency that runs the Occupational Employment and Wage Statistics (OEWS) program.
OEWS works with the National Association of State Workforce Agencies (NASWA) to survey individuals in all states and territories. NASWA is made up of individual state agencies. OEWS gives the survey to these state agencies that then distribute it to businesses within their states.
BLS’ goal with this survey is to reach as many businesses as possible. If BLS can get a lot of results from all of the states, the average salary it reports is going to be close to what the true average is.
Average Salary by Region
Salary not only differs across states but also regions. The Northeast and West Coast have higher average salaries than the South, but they also have higher costs of living. Consider Massachusetts, California and Mississippi. Massachusetts has the highest average wage, but its cost of living is 50% higher than the national average. California has the third highest average salary, but its cost of living is 40% higher than the national average. Compare those two states to Mississippi, which has the lowest average salary and a cost of living that is 16% lower than the national average.
Here is a quick look at the remaining U.S. regions:
| Rank | Region | Average Annual Salary |
|---|---|---|
| 1 | Northeast | $66,212 |
| 2 | West | $60,775 |
| 3 | Midwest | $56,114 |
| 4 | Southwest | $55,315 |
| 5 | Southeast | $53,653 |
Average Salary by Occupation
Certain occupations, such as teachers and police officers, are critical in every state. However, cost of living affects how much they make. Below is a chart that lists nine important jobs and what they make at the national level and in the highest-paying and lowest-paying states.
| Occupation | National Average Annual Salary | Highest-Paying State | State Average Annual Salary | Lowest-Paying State | State Average Annual Salary |
|---|---|---|---|---|---|
| Lawyer | $163,770 | California | $201,530 | Wyoming | $88,570 |
| Social Worker* | $56,680 | New Jersey | $75,590 | Mississippi | $38,650 |
| Registered Nurse | $89,010 | California | $133,340 | South Dakota | $64,500 |
| Accountant | $86,740 | New York | $110,320 | Mississippi | $68,040 |
| Police Officer | $71,380 | California | $104,010 | Mississippi | $38,430 |
| Real Estate Agent | $65,850 | New Hampshire | 94,810 | Illinois | $44,510 |
| Electrician | $65,280 | Hawaii | $88,630 | Arkansas | $47,070 |
| Teacher** | $69,480 | California | $92,960 | South Dakota | $49,190 |
| Farmer | $83,790 | North Dakota | $101,280 | Mississippi | $38,810 |
*Child, Family and School Social Workers
**Secondary School Teachers
Note: This chart doesn’t take into consideration the District of Columbia because it’s not a state.
Average Salary by Gender
There are two ways to identify the gender pay gap, and both start with the Current Population Survey (CPS). The U.S. Bureau of Labor Statistics and the U.S. Census Bureau jointly sponsor this survey, though they look at different aspects of gender pay. The former looks at the median weekly earnings for full-time, salaried workers, and the latter looks at the median annual earnings for full-time, salaried employees.
Both metrics are insightful, but BLS’ gender information is more readily accessible. Therefore, we are using that below.
5 Highest-Paying States for Women
Here are the five states that pay women the best. The chart compares women’s pay to men’s pay.
| Rank | State | Women’s Median Weekly Earnings | Men’s Median Weekly Earnings | Women’s Earnings as a Percentage of Men’s |
|---|---|---|---|---|
| 1 | Rhode Island | $1,058 | $1,156 | 91.5% |
| 2 | Delaware | $894 | $987 | 90.6% |
| 3 | Wisconsin | $950 | $1,063 | 89.4% |
| 4 | Kentucky | $820 | $928 | 88.4% |
| 5 | Nevada | $828 | $937 | 88.4% |
5 Lowest-Paying States for Women
This chart looks at women’s earnings for the five lowest-paying states.
| Rank | State | Women’s Median Weekly Earnings | Men’s Median Weekly Earnings | Women’s Earnings as a Percentage of Men’s |
|---|---|---|---|---|
| 1 | Utah | $825 | $1,106 | 74.6% |
| 2 | Wyoming | $822 | $1,093 | 75.2% |
| 3 | West Virginia | $756 | $989 | 76.2% |
| 4 | New Hampshire | $963 | $1,262 | 76.3% |
| 5 | Michigan | $910 | $1,195 | 76.4% |
EXPLORE PLANS
Factors Impacting Average Salaries
There are several factors that determine the average salary in a state, including:
- Cost of living
- Job and industry
- State tax rate
- Education
- Experience
The first factor is arguably the most significant. Some states have a higher cost of living. Therefore, employers need to pay their employees more so that they can afford to find a home, buy groceries and pay other expenses that come with living.
Employers in certain industries with certain roles may also pay their employees more. For instance, according to BLS’ Occupational Outlook Handbook, the medical industry is booming. Some of the fastest-growing jobs in the country include nurse practitioners, epidemiologists and physician assistants. Since these roles are in such high demand, salaries for them are going to be higher to attract more workers.
The next important factor is state tax rate. Income tax can eat up a good portion of someone’s pay. Knowing this, employers may increase salary to compensate for lost wages. For example, Illinois’ income tax rate is 4.95%. Therefore, an Illinois employer may pay its employees 4.95% more to make up for taxes.
Education can also affect salary. Employees typically earn more if they have a higher level of education. BLS found that the median weekly earnings for workers with a doctoral degree are $2,084, while workers with less than a high school diploma make an average of $682 per week.
Finally, experienced team members usually get a higher salary. The proof is available in BLS’ Modeled Wage Estimates. This factsheet looks at experienced, intermediate and entry-level workers in various positions. In all examples, the more years of experience the worker had, the more they made.
The Bottom Line
The average annual salary by state is useful information for both employees and employers. Knowing this information can help employees negotiate their compensation and employers determine the best pay to attract and retain talent.
Frequently Asked Questions About Average Salaries by State
Is $120,000 a good salary?
An annual salary of $120,000 is higher than the national average of $61,900. However, whether a salary is good depends on various factors, including cost of living, role and experience.
What is considered a good salary?
What is considered a good salary varies. Cost of living, role, industry, education, experience and tax rate all affect what is fair pay for a given person.
Is $98,000 a good salary?
According to the U.S. Bureau of Labor Statistics, the average annual salary across the country is $61,900. Comparing $98,000 to $61,900, it is significantly higher. However, there are several factors that determine if a salary is good, such as industry, education and experience.
If you have feedback or questions about this article, please email the MarketWatch Guides team at [email protected].
