U.S. Cities With the Highest Median Household Income: 2025 Rankings

Median household income is one of the most widely used measures of local economic well-being, and the latest U.S. Census Bureau data show a familiar pattern: the nation’s highest-income cities are heavily concentrated in coastal California, the Washington, D.C. suburbs, and select enclaves in Texas and the Northeast. According to the American Community Survey 5-Year Estimates for 2020–2024, released in January 2026, 26 incorporated U.S. cities with at least 5,000 residents report median household incomes at or above the Census Bureau’s top-code of $250,000. Because the Census Bureau suppresses exact values above that threshold, the true medians in places like Los Altos, California, and Scarsdale, New York, may be considerably higher.

Key Numbers

• Top-code threshold: $250,000
• Cities at the top-code: 26 incorporated cities with 5,000+ residents in ACS 2020–2024
• Highest non-top-coded city in one 2026 ranking: University Park, Texas, at $247,045
• McLean, Virginia: $242,610
• Southlake, Texas: $239,833
• California cities in the top 20: 11 of 20
• Data period: ACS 5-Year Estimates, 2020–2024
• Release date: January 29, 2026

Explanation

Median household income is the midpoint of all household incomes in a place: half of households earn more, and half earn less. It is preferred over the average because it is less distorted by extremely high earners. The U.S. Census Bureau calculates this figure for thousands of cities, towns, and census-designated places through the American Community Survey.

In the ACS, median household income is top-coded at $250,000. That means any place with a true median above that amount is reported simply as “$250,000+” rather than with an exact figure. This protects respondent confidentiality and prevents small samples from producing unstable estimates, but it also means the very richest places cannot be precisely ranked against one another.

The 2020–2024 ACS release shows that high-income cities are not randomly distributed. They cluster in regions with high concentrations of technology, finance, professional services, and government-related employment. Many are also small, affluent suburbs with expensive housing markets and highly educated populations.

Definition

Median household income is the income level that divides the household income distribution into two equal groups. It includes money income from wages, salaries, self-employment, interest, dividends, Social Security, public assistance, and other sources, before taxes and other deductions. The Census Bureau reports it for all households in a geographic area, not for families or individuals specifically.

When a city’s median household income is listed as $250,000+, it does not mean every household earns that much. It means the midpoint of the distribution is at or above the Census Bureau’s disclosure threshold. In practice, many of these places have true medians well above $250,000, but the exact value is not published.

Ranking Table

The table below shows selected high-income U.S. cities based on the most recent available ACS-based rankings. Because the top-code suppresses exact values above $250,000, the order among top-coded places is not meaningful; the table therefore lists the highest reported non-top-coded figures where available.

Note: Los Altos is shown as $250,000+ because its exact median is top-coded. Other top-coded cities, such as Scarsdale, New York, and West University Place, Texas, also appear in broader rankings but are not meaningfully ordered.

State Comparison

California dominates the list of highest-income cities, reflecting the state’s concentration of high-paying technology, finance, and professional services jobs. Texas also has several affluent suburban enclaves, particularly in the Dallas–Fort Worth area. The table below summarizes the state distribution among the top 20 cities listed above.

This distribution is not a measure of state-level income; it reflects the presence of small, wealthy municipalities within larger metropolitan areas. California’s high housing costs and tech-sector salaries help push many of its suburban city medians above $170,000.

National Comparison

The median household income in these top cities is several times higher than the national median. While the Census Bureau publishes national and state medians separately, the top-coded $250,000+ values in places like Los Altos and Scarsdale are far above the U.S. median, which has historically remained below $100,000 in ACS estimates. The gap between these affluent suburbs and the typical American community underscores the geographic concentration of high incomes.

Because the Census Bureau suppresses exact values above $250,000, the true median in places like Los Altos or Scarsdale may be substantially higher than the published figure.

High-income cities also tend to have high housing costs, which means a $250,000 income does not necessarily translate into the same purchasing power as it would in a lower-cost region. The Census Bureau’s income data measure money income only and do not adjust for local cost of living.

Methodology

The primary source for these rankings is the U.S. Census Bureau’s American Community Survey 5-Year Estimates. The 2020–2024 release, published on January 29, 2026, covers a five-year period and includes all incorporated places and census-designated places with a published estimate and at least 5,000 residents. The ACS collects detailed income data from a sample of households and uses statistical methods to produce estimates for geographic areas.

Median household income is calculated by ranking all household incomes in a place and identifying the middle value. The Census Bureau applies a top-code of $250,000 to protect respondent confidentiality and reduce the influence of extreme outliers. Places with medians at or above that threshold are reported as “$250,000+.”

Some rankings, such as those from World Population Review and PlainCities, use the same ACS data but may include different geographic universes or apply different tie-breaking rules. For example, a ranking that includes census-designated places and smaller villages may show more than 26 top-coded places.

Limitations of the Data

• Top-coding: Exact medians above $250,000 are not published, so the very richest places cannot be precisely ranked.
• Five-year period: ACS 5-year estimates are period averages, not point-in-time snapshots; they may lag current conditions.
• Margin of error: Smaller places can have large sampling errors, making precise comparisons unreliable.
• Geographic definitions: Some high-income places are census-designated places (CDPs) rather than incorporated cities, and rankings may mix the two.
• Income vs. wealth: Median household income measures annual money income, not accumulated wealth, assets, or net worth.
• Cost of living: The data do not adjust for local price levels, so a high income in an expensive area may not indicate greater purchasing power.

Why It Matters

Median household income is a key indicator of local economic well-being. It influences tax bases, demand for public services, housing market dynamics, and the ability of residents to save and invest. Cities with very high median incomes often have strong school systems, low crime rates, and high property values, but they may also face challenges related to affordability and economic segregation.

For policymakers, businesses, and researchers, these rankings help identify where high-income households are concentrated and how income inequality varies across metropolitan areas. They also inform decisions about infrastructure, education funding, and social services.

Factors Behind the Trend

Several factors explain why certain U.S. cities consistently rank at the top of median household income lists:

• Industry concentration: Many high-income cities are near major technology hubs (Silicon Valley, Seattle), financial centers, or federal government employment centers (Washington, D.C. suburbs).
• Education levels: These places often have very high shares of adults with bachelor’s or advanced degrees, which correlates with higher earnings.
• Housing costs and exclusivity: Expensive housing markets can act as a filter, attracting high-income households and excluding lower-income ones.
• Small population size: Many top-ranked places are small suburbs or villages where a relatively small number of high-earning households can raise the median significantly.
• Dual-income households: High-income suburbs often have a high proportion of married-couple households with two earners, which boosts household income.

Source & Data Date

The primary source for this article is the U.S. Census Bureau, American Community Survey 5-Year Estimates, 2020–2024, released on January 29, 2026. Additional rankings and context were drawn from EveryCityInTheUSA, World Population Review, CensusDepth, and PlainCities, all of which compile the same underlying ACS data. The ACS 5-Year 2020–2024 release is the most recent official data available for city-level median household income.