A recent study indicates that the capital city of the nation has the highest income threshold for the top 1% of earners.
Research conducted by personal finance platform SmartAsset analyzed data from families considered part of the top 1% income bracket in each state and the capital. The findings draw from the most recent 2022 IRS tax return data, adjusted for 2025.
According to the study, the District of Columbia requires the highest income to qualify for this elite group, with only about 3,300 households meeting that threshold.
Connecticut follows closely behind, as it is the only other location where earning over $1 million qualifies someone for the top tier—specifically, around $1.06 million.
Nationwide, approximately 1.5 million households earn enough to fit into the top 1% bracket, with the average income threshold at $731,000. Eleven states, along with the District of Columbia, have higher requirements.
On the other end of the spectrum, West Virginia has the lowest income needed, with residents required to earn $416,300 annually to be considered in the top 1%, encompassing roughly 7,300 households.
Only three other states—Mississippi, New Mexico, and Kentucky—have thresholds below $500,000 for their top earners.
This year, SmartAsset noted that an individual living in the biggest city in the country needs at least $85,000 annually to “live comfortably,” while a family of four should have around $200,000 for the same lifestyle.
The data comes amid ongoing inflation pressures affecting households nationwide. Former President Trump has advocated for lower interest rates, although economists caution that this could exacerbate inflation. Trump, however, argues that inflation rates have stabilized and is urging Federal Reserve Chairman Jerome Powell to adjust rates downward.
Despite this, a CBS News/YouGov poll shows that 64% of Americans disapprove of how Trump has managed inflation, even six months into his second term.
