Which States Are Richest in the USA? A Look at the Top 20 Economies

When evaluating which states are richest in the USA, economists turn to several key metrics that measure economic health and prosperity. The primary indicator is Gross State Product (GSP)—the total value of goods and services produced within a state during a specific period. However, determining what makes a state truly wealthy extends beyond just economic output. Median household income and poverty rates also play crucial roles in understanding the richest state economies across the nation.

Understanding Economic Wealth: Why GDP, Income, and Poverty Matter

According to the U.S. Department of Commerce’s Bureau of Economic Analysis, state economies cannot be measured using the exact same methodology applied to countries. State GDPs involve a complex mix of industries, services, and consumer spending patterns that vary dramatically from region to region. The standard approach involves measuring total expenditures and incomes earned within each state’s boundaries.

To identify America’s richest states, analysts examine three primary factors: total economic output (GSP), median household earnings, and the percentage of population living below the poverty line. This multifaceted approach reveals not just which states generate the most wealth, but which ones distribute that wealth most effectively across their populations. A state with massive GSP but high poverty rates tells a different story than a state with moderate output but strong middle-class earnings.

The Top 10 Richest States Ranked by Economic Output

At the absolute top of the richest state in USA rankings sits California, with a gross state product of $3.6 trillion and a median household income of $84,097. This West Coast giant dominates the nation’s economy, producing more economic value than most countries worldwide. Following closely is New York with $2.53 trillion in GSP, demonstrating the continued economic dominance of the Northeast corridor.

Texas secures the third position in raw economic output at $2.4 trillion, driven by energy production, technology, and manufacturing sectors. Texas achieves this massive output while maintaining a substantial population base, showcasing diverse economic engines.

The remaining top performers include Illinois ($1.03 trillion), Washington ($726 billion), New Jersey ($745.4 billion), Virginia ($649.4 billion), and Massachusetts ($688.3 billion). What distinguishes these richest states in the USA is not just their total economic production, but the quality of life indicators reflected in their income levels and poverty rates.

Mid-Tier and Emerging Wealthy States: Understanding the 20-11 Ranking

Beyond the absolute economic giants, several states demonstrate strong economic performance through a balanced approach to wealth creation and distribution. Colorado combines a $484.4 billion GSP with a median income of $80,184 and one of the lower poverty rates at 9.6%. Minnesota similarly impresses with $446.5 billion in output and just 9.2% poverty, reflecting strong middle-class prosperity.

Maryland stands out among richest states in the USA for its highest median household income at $91,431, despite a more modest $470.2 billion in total output. This indicates that Maryland’s economy, while smaller in total scale, distributes wealth quite effectively to households. New Hampshire follows with $83,449 median income and a 7.4% poverty rate—the lowest on the complete list.

Other notable entries in this range include Utah ($79,133 median income, 8.8% poverty), Minnesota ($77,706 median income, 9.2% poverty), and Oregon ($70,084 median income, 12.1% poverty). States like Delaware, Connecticut, and Rhode Island round out this category with strong economic fundamentals.

Emerging Economic Performers: States 20 Through 12

The bottom portion of the top 20 richest states in the USA still represents significant economic achievement. North Dakota leads this group with $73.3 billion in GSP and maintains a 10.7% poverty rate, reflecting agricultural and energy-based prosperity. Alaska demonstrates strong median income at $80,287 despite lower total output ($63.6 billion), driven by resource extraction and specialized sectors.

Delaware and Rhode Island represent smaller states punching above their weight, with median incomes exceeding $72,000 and solid economic output relative to population size. Meanwhile, Hawaii achieves the fourth-highest median income at $88,005 despite its geographic isolation, supported by tourism and military presence.

What Makes a State Economically Prosperous

The analysis of richest state economies reveals patterns worth noting. Coastal states, particularly in the Northeast and Pacific regions, dominate the rankings. States with major metropolitan centers—New York City, Los Angeles, Boston, San Francisco—generate disproportionate economic output. Additionally, states with diversified economies tend to maintain lower poverty rates and stronger median incomes than those dependent on single industries.

Technology hubs like Massachusetts, Washington, and California leverage high-wage sectors to drive both GSP and median income upward. Energy-producing states like Texas, Alaska, and North Dakota show different patterns, with substantial GSP but more variable income distribution. Meanwhile, Maryland and New Hampshire demonstrate that careful economic management can produce strong household wealth even without leading the nation in total output.

The relationship between poverty rate and wealth reveals that among the richest state economies, those with the strongest middle classes—New Hampshire (7.4% poverty), Utah (8.8% poverty), and Minnesota (9.2% poverty)—tend to show better overall prosperity metrics than those with extremely high GSP but more uneven wealth distribution.

Complete Rankings of the 20 Richest States in the USA

1. California — Median income: $84,097 | GSP: $3.6 trillion | Poverty rate: 12.3%

2. New York — Median income: $75,157 | GSP: $2.53 trillion | Poverty rate: 13.5%

3. Texas — Median income: $67,321 | GSP: $2.4 trillion | Poverty rate: 14.0%

4. Illinois — Median income: $72,563 | GSP: $1.03 trillion | Poverty rate: 11.8%

5. New Jersey — Median income: $89,703 | GSP: $745.4 billion | Poverty rate: 9.8%

6. Washington — Median income: $82,400 | GSP: $726 billion | Poverty rate: 10.0%

7. Virginia — Median income: $80,615 | GSP: $649.4 billion | Poverty rate: 9.9%

8. Massachusetts — Median income: $89,026 | GSP: $688.3 billion | Poverty rate: 9.9%

9. Connecticut — Median income: $83,572 | GSP: $322 billion | Poverty rate: 10.0%

10. Maryland — Median income: $91,431 | GSP: $470.2 billion | Poverty rate: 9.2%

11. Colorado — Median income: $80,184 | GSP: $484.4 billion | Poverty rate: 9.6%

12. Minnesota — Median income: $77,706 | GSP: $446.5 billion | Poverty rate: 9.2%

13. New Hampshire — Median income: $83,449 | GSP: $104.4 billion | Poverty rate: 7.4%

14. Utah — Median income: $79,133 | GSP: $248.2 billion | Poverty rate: 8.8%

15. Oregon — Median income: $70,084 | GSP: $299.1 billion | Poverty rate: 12.1%

16. Rhode Island — Median income: $74,489 | GSP: $71.4 billion | Poverty rate: 11.3%

17. Illinois — Median income: $72,563 | GSP: $1.03 trillion | Poverty rate: 11.8%

18. Delaware — Median income: $72,724 | GSP: $87.5 billion | Poverty rate: 11.4%

19. Alaska — Median income: $80,287 | GSP: $63.6 billion | Poverty rate: 10.4%

20. North Dakota — Median income: $68,131 | GSP: $73.3 billion | Poverty rate: 10.7%

The Broader Picture of American Economic Prosperity

Understanding which richest states in the USA lead the nation provides insight into where economic opportunity concentrates. While California, New York, and Texas dominate in absolute economic output, states like Maryland, New Jersey, and New Hampshire demonstrate that prosperity can take multiple forms—whether through massive total output or exceptional per-capita wealth distribution.

The data reflects economic realities shaped by geography, industry base, population density, and historical development patterns. The richest state economies tend to cluster in established metropolitan regions with diverse industry bases, strong educational institutions, and investment infrastructure. However, smaller states have proven capable of achieving strong economic indicators through specialization and effective resource management.

For those seeking economic opportunity or evaluating regional prosperity, these metrics reveal that the wealthiest regions of the USA offer distinct advantages, whether through sheer scale of opportunity or through quality-of-life indicators like income levels and poverty rates.