To be one of many highest earners in Texas, residents must make about $18,000 much less than they did final yr, a brand new monetary evaluation from SmartAsset has discovered. Regardless of that quantity being decrease, it nonetheless means Texans must make $743,955 to qualify as a prime one-percent earner within the state in 2025.
To find out the earnings wanted to be within the prime one p.c of earners, SmartAsset analyzed 2022 IRS knowledge for particular person tax filers, which is the newest yr the place knowledge was obtainable, and earnings was adjusted to Might 2025 {dollars}.
Nationwide, the earnings wanted to be within the prime one p.c decreased in each state aside from North Dakota, Florida, and Oklahoma. The nationwide common earnings it takes to be thought-about part of this unique group comes out to $731,492.
Connecticut can also be the one state the place its residents have to make greater than $1 million to be thought-about a prime one p.c earner, and solely 16,917 residents at present match the invoice for the designation.
In the meantime, Texas has the tenth highest earnings wanted to be thought-about a prime earner within the U.S. SmartAsset mentioned the state’s threshold is $12,503 larger than the nationwide common.
A complete of 128,130 Texans at present make sufficient cash to be thought-about one of many highest earners statewide. That is 2,002 extra individuals than final yr. Although the report would not present info as to the place these prime earners stay, it is solely attainable some reside in Houston. In spite of everything, the town’s inhabitants has now surpassed 2.39 million residents.
For aspiring Texans who need to make it among the many prime 5 p.c of earners within the state, they must make $284,661 a yr to qualify, or about $4,000 greater than final yr’s earnings threshold. There are 640,648 Texans who at present make sufficient cash to be thought-about prime 5 p.c earners, the report mentioned.
“Almost 1.5 million households throughout america now rank among the many prime one p.c of earners, in response to the newest tax return knowledge from the Inner Income Service (IRS),” the report mentioned. “Financial situations, tax insurance policies and price of residing fluctuate considerably from state to state, leading to extensive disparities between what it takes to turn into a prime 1 p.c earner throughout the nation.”
For Houstonians who need to make sufficient cash to be thought-about “center class,” the yearly wage ranges between $41,754 and $125,274, in response to a separate 2025 SmartAsset report.
The highest 10 states with the best thresholds to be thought-about within the prime 1 p.c of earners within the U.S. are:
- No. 1 – Connecticut ($1,056,996)
- No. 2 – Massachusetts ($965,170)
- No. 3 – California ($905,396)
- No. 4– New Jersey ($901,082)
- No. 5 – New York ($891,640)
- No. 6 – Florida ($859,381)
- No. 7 – Washington ($819,101)
- No. 8 – Colorado ($772,989)
- No. 9 – Wyoming ($771,369)
- No. 10 – Texas ($743,955)
