Some advertisements and offers on this page are from advertisers who pay us. That may influence which products we write about, but it does not affect what we write about them. Here's an explanation of how we make money and our Advertiser Disclosure.
Your net worth is the difference between what you own (assets) and what you owe (liabilities). This figure is important because it provides a clear snapshot of your overall financial health. Tracking your net worth helps you determine whether you're building wealth or accumulating debt over time.
According to the Federal Reserve’s 2022 Survey of Consumer Finances (the most recent survey available), the median net worth for all families in the United States is $192,300. The mean (or average) net worth is $1.06 million.
Several factors can impact your net worth, including where you live. Curious how your net worth compares to the rest of the country? Learn more about the average net worth in each state and why it varies.
Average net worth by state
The map below shows both median and mean figures for net worth in each state.
Keep in mind that the mean/average can be skewed higher by extremely wealthy individuals. That’s why it’s helpful to look at the median, which refers to the middle number in a sorted data set — exactly half of the data points are above it and half below. The median is less affected by extreme outliers, so it gives a more realistic picture of a typical person's net worth.
Why does net worth vary so much between states? There are several factors that can impact the typical net worth in a certain area:
-
Cost of living: Higher living costs in some states make it harder for residents to save or invest because more of their income goes toward paying for essentials.
-
Property values: Home equity often makes up the bulk of net worth. So, in states with higher property values, net worths also tend to skew higher.
-
Income: States with higher incomes on average also typically have higher average net worths.
-
Local economy: Strong economies and more employment opportunities in certain states tend to positively impact overall financial well-being.
5 states with the highest net worth
1. Hawaii: $472,600
Hawaii ranks as the state with the highest net worth where the median is $472,600. Although Hawaii has a higher cost of living than most other states, the average salary is also quite high at $65,030, according to data from Empower. Additionally, homeowners enjoy elevated property values; the average home value in Hawaii is $841,274, according to Zillow, versus the national average of $361,263.
2. Washington: $375,100
The second-highest median net worth in the U.S. belongs to Washington at $375,100. The average debt-to-income ratio (DTI) in Washington sits at roughly 1.5, which is considered moderate compared to other states. The average salary in Washington is also $78,130, while the average property value is $603,837 — nearly double the national average.
3. Massachusetts: $308,400
Massachusetts residents have a median net worth of $308,400, thanks to lower debt levels and higher incomes and home values. The average DTI in Massachusetts is 1.2, while the average salary is one of the highest on our list at $80,330. The average property value in the state is $635,252.
4. Maine: $307,100
Maine residents have a median net worth of $307,100, with an average DTI of 1.48. The average salary in Maine ($60,000) is on the lower end compared to other states on this list. Property values are also lower compared to other states, but at $400,642, they're still well above the national average.
5. Utah: $305,600
In Utah, residents have a median net worth of $305,600. The average DTI in Utah is 1.8, and the average income is $61,070. Utah has the third-highest average property value on this list at $530,787.
Read more: How much money is considered rich?
5 states with the lowest net worth
1. West Virginia: $96,740
West Virginia is the state with the fifth-lowest median net worth at $96,740. The average DTI in West Virginia is just under 1.2, and the average salary is $52,200. The average property value is $167,589, which is less than half the national average.
2. Arkansas: $93,480
In Arkansas, the median net worth is $93,480 — less than half the national average. The average DTI is 1.2, and the average salary is $51,250. Property values in Arkansas are slightly higher than West Virginia at $210,633.
3. Alabama: $90,200
In Alabama, the median net worth is $90,200 — also less than half the national average. The average DTI in Alabama is over 1.3, and the average salary is $53,400. Despite having lower average salaries and higher levels of debt, homeowners in Alabama are at a slight advantage compared to the previous two states because the average property value is $228,669.
4. Mississippi: $82,440
Mississippi has a median net worth of $82,440. Residents have an average DTI of 1.4, while the average salary is on the lower end at $47,570. Property values in Mississippi are some of the lowest in the country at $181,232, on average.
5. Louisiana: $71,900
The state with the lowest net worth is Louisiana, with a median net worth of $71,900. The average salary in Louisiana is $53,440, and the average DTI is 1.3. On the bright side, property values in Louisiana are up 0.4% year over year, with the average property value sitting at $201,100.
How to increase your net worth
If your net worth falls short of these averages, don’t worry. Your net worth will change over time as your financial situation evolves. And it’s never too late to make positive changes that lead to a higher net worth.
For example, consider paying off your high-interest debts. Liabilities such as credit card balances and loans can significantly reduce your net worth, even if you earn a decent income.
Additionally, looking for extra ways to earn and grow your income, such as negotiating a raise or taking on a side hustle, can help you increase your savings and pay off debts.
Need more ideas? Here are 6 ways to increase your net worth.
