Percentage of Households Making Over 250k 2024 (2024)

FAQs

What percent of households make over 250k? ›

350k is 3% for the entire USA [1]. For somewhere like California if your _household_ isn't making $1M you're not 1% [2]. Even in the poorest state (West Virginia) if you lived alone then you're not even a 1%-er. People really do think of themselves as at the top when they're not.

Someone who makes $250,000 a year, for example, could be considered rich if they're saving and investing in order to accumulate wealth and live in an area with a low cost of living.

Generally speaking, a household income of approximately $150,000-$250,000 is considered upper middle class. However, this largely varies in different parts of the country, due to disproportionate costs of living in different geographical areas.

A $200,000 household income is more than most people earn across the U.S. In fact, just 12% of U.S. households earn $200,000 or more annually, according to Census Bureau data.

A separate study from PYMNTS of more than 4,200 consumers found that 62% of total consumers and 36% of those making more than $200,000 feel like they're living paycheck to paycheck.

While there's no definitive line, households in the top 20% of earners are generally considered upper class. According to the U.S. Census Bureau, the median household income in 2022 was $74,580. To reach the upper class in 2024, you'd typically need an income exceeding $153,000 – more than double the national median.

What net worth is considered upper class? ›

The upper class has an average net worth of $793,120 to $2.65 million, while the lower class has $16,900. The middle class ranges from $58,550 to $300,800. You can grow your net worth by saving and investing consistently, investing in the stock market, and being careful about taking on debt.

With a $250,000 annual salary, you could potentially afford a house priced between $750,000 to $1,500,000 or more, depending on your financial situation, credit score, and current market conditions. For homes priced above $766,550 (the 2024 conforming loan limit), you'll need to consider a jumbo loan.

It's a lot easier to count among the nation's top 5% of earners, SmartAsset's data shows. For instance, the U.S. income threshold to join the top 5% is $290,185 — about one-third of the income needed to be a one-percenter.

Top earners across the United States earn at least six figures, with an average income of over $160,000 for those in the top 10% in 2021. Earners in the top 1% must make $1 million per year in California, Connecticut, Massachusetts, New Jersey, and Washington.

A report by the World Economic Forum found that Americans think that a full 20% of earners make over $500,000, but this is starkly different from reality. The actual percentage of the U.S. population who earn more than $500,000 per year is less than 1%.