What you need to make to be in Massachusetts' 1%
You need to earn close to $1 million a year to be in Massachusetts' 1% club.
Driving the news: Bay State workers who make $903,401 or more are considered in the top 1% of earners, according to a new SmartAsset analysis of IRS tax filer data.
- The national average is nearly 28% less — $652,657.
- Massachusetts is the second richest state by this standard. Connecticut's on top at $952,902.
Zoom out: The median household income in Massachusetts is $89,645, per census data.
The intrigue: The poorest 1%-ers in the state probably won't have to pay the new 4% income surtax since it only affects income over $1 million a year.
- Call it that $950k sweet spot.
The big picture: The top 1% of U.S. families had more than one third of the total wealth in the U.S. in 2019. That's up from 27% in 1989, according to the Congressional Budget Office.
- Families in the entire bottom half of the earning spectrum held just 2% of the country's wealth.
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