20 Cities Where You Need To Make Half a Million Dollars To Rank in the Top 5%
Working your way to the top is rarely easy. However, this can be even more challenging when making it into the top 5% of earners in your city requires making at least $500,000 per year.
Results of a recent GOBankingRates survey revealed 20 U.S. cities where the average income of the top 5% is at least half a million dollars — on the low end. In around half of these cities, you actually need to earn notably more than that to have an annual salary that aligns with the average for members of this elite club.
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As of May 2023, the annual average wage of U.S. workers was $65,470, according to the Bureau of Labor Statistics.
Worth noting, while the average income of the top 5% in all 20 cities on the list is at least half a million dollars, entry to this group can be granted with less. Still ambitious, the lowest earners in this well-paid club may earn closer to the $250,000 mark.
Also interesting, the top 5% is a small portion of each city’s population, but their earnings make a dent. Specifically, they command 20% to 30% of their cities’ total household income.
Some of the cities on this list are probably obvious, but others might come as more of a surprise. Here’s a look at 20 cities where you need to earn half a million dollars to join the ranks of the top 5% high-earning elite.
Portland, Oregon
Population: 646,101
Top 5% income average: $512,319
Percent of household income by the top 5%: 21.77%
Median household income: $85,876
Average household income: $117,687
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Minneapolis
Population: 426,877
Top 5% income average: $514,078
Percent of household income by the top 5%: 23.58%
Median household income: $76,332
Average household income: $108,980
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Miami
Population: 443,665
Top 5% income average: $524,714
Percent of household income by the top 5%: 29.10%
Median household income: $54,858
Average household income: $90,171
Raleigh, North Carolina
Population: 465,517
Top 5% income average: $526,438
Percent of household income by the top 5%: 23.48%
Median household income: $78,631
Average household income: $112,110
Houston
Population: 2.3 million
Top 5% income average: $537,750
Percent of household income by the top 5%: 27.59%
Median household income: $60,440
Average household income: $97,458
Chicago
Population: 2.7 million
Top 5% income average: $564,032
Percent of household income by the top 5%: 26.03%
Median household income: $71,673
Average household income: $108,346
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Austin, Texas
Top 5% income lowest limit: $250,000-plus
Top 5% income average: $565,822
Percent of household income by the top 5%: 23.10%
Median household income: $86,556
Average household income: $122,474
Dallas
Population: 1.3 million
Top 5% income average: $571,512
Percent of household income by the top 5%: 28.01%
Median household income: $63,985
Average household income: $102,023
San Diego
Population: 1.4 million
Top 5% income average: $572,131
Percent of household income by the top 5%: 21.58%
Median household income: $98,657
Average household income: $132,533
Denver
Population: 710,800
Top 5% income average: $581,756
Percent of household income by the top 5%: 23.69%
Median household income: $85,853
Average household income: $122,771
Charlotte, North Carolina
Population: 875,045
Top 5% income average: $599,407
Percent of household income by the top 5%: 26.38%
Median household income: $74,070
Average household income: $113,613
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Los Angeles
Population: 3.9 million
Top 5% income average: $621,555
Percent of household income by the top 5%: 26.57%
Median household income: $76,244
Average household income: $116,961
Oakland, California
Population: 437,825
Top 5% income average: $643,643
Percent of household income by the top 5%: 23.07%
Median household income: $94,389
Average household income: $139,468
Boston
Population: 665,945
Top 5% income average: $677,288
Percent of household income by the top 5%: 25.56%
Median household income: $89,212
Average household income: $132,509
New York City
Population: 8.6 million
Top 5% income average: $694,605
Percent of household income by the top 5%: 28.31%
Median household income: $76,607
Average household income: $122,667
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Washington, D.C.
Population: 670,587
Top 5% income average: $719,253
Percent of household income by the top 5%: 23.93%
Median household income: $101,722
Average household income: $150,292
Seattle
Population: 734,603
Top 5% income average: $719,713
Percent of household income by the top 5%: 22.26%
Median household income: $116,068
Average household income: $161,694
San Jose, California
Population: 1 million
Top 5% income average: $722,013
Percent of household income by the top 5%: 20.07%
Median household income: $136,010
Average household income: $179,853
Atlanta
Population: 494,838
Top 5% income average: $763,851
Percent of household income by the top 5%: 29.61%
Median household income: $77,655
Average household income: $128,965
San Francisco
Population: 851,036
Top 5% income average: $937,518
Percent of household income by the top 5%: 23.75%
Median household income: $136,689
Average household income: $197,408
Methodology: GOBankingRates used the 2022 American Community Survey as conducted by the U.S. Census Bureau to find the following for the 50 biggest cities: (1) population; (2) top 5% income lower limit; (3) top 5% income average; (4) share of household income by the top 5%; (5) median household income; and (6) average household income. All data was collected on and is up to date as of July 2, 2024.
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This article originally appeared on GOBankingRates.com: 20 Cities Where You Need To Make Half a Million Dollars To Rank in the Top 5%