How much you need to make to be in Washington's top 1%
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To be among the top 1% of earners in Washington state, you need to make at least $1 million per year — well above the threshold to be in the top 1% nationally, according to an Axios analysis of IRS data.
Why it matters: Income inequality has increased in recent years, with wealth becoming more concentrated at the top, per a report released this month by the Congressional Budget Office.
- In 2022, the top 10% of U.S. households held 60% of all wealth, up from 56% in 1989.
- Meanwhile, households in the bottom half of the income distribution held just 6% of U.S. wealth in 2022, the same percentage they held in 1989.
By the numbers: The top 1% of households in Washington state made at least $878,205 in 2021, the latest year of IRS tax data available.
- Adjusted for 2024 dollars, that's just over $1 million.
- That makes Washington's threshold for entering the top 1% the fifth-highest in the country, behind Washington, D.C. ($1.22 million), Connecticut ($1.17 million), Massachusetts ($1.13 million) and California ($1.05 million).
- Nationwide, the threshold to be a one-percenter was just under $800,000, when adjusted for 2024 dollars.
Zoom in: Seattle's median household income is just over $120,000 per year, according to the latest census data.
- That's about 12% of what it would take to become part of the state's top 1%.
- It's also well below what it takes to afford a typical starter home in the Seattle metro area, Redfin estimated recently.
Zoom out: You could always move to West Virginia, where you could join the state's top 1% by earning about $426,000 per year.