|date:||Thu, Jan 29, 2015 at 3:45 PM|
|subject:||Fw: Here's how much it takes to join your state's 1%|
New report offers a state-by-state look at the threshold
How much does it take to be in the 1%? It definitely doesn’t take millions, and it all depends on where you live.
According to a recent report by the left-leaning Economic Policy Institute, to be in the 1% looks something like this:
Officially, to be considered in the top 1% in America, your household income would need to be well north of $380,000, according to IRS 2014 data. On a state-by-state level, the benchmark fluctuates, as you can see below.
© Provided by MarketWatch Here’s how much it takes to join your state’s 1% (click map to expand).
Why this map matters
Beyond the fun imaging, the EPI uses this map and the accompanying report to show a grim trend: The rich are getting richer, while the poor aren’t going anywhere, growth-wise.
According to the EPI report, income growth has been lopsided since the end of the Great Recession in 2009, with the top 1% of income earners grabbing an “alarming” share of the growth. In 39 states, the top income earners have captured more than 50% of all economic growth between 2009-2012. Meanwhile, the bottom 99% saw incomes grow by just 20%, according to the report.
These findings are in line with other research. Pew cites that America’s wealth gap between middle and upper-class citizens is the widest on record. On a global level, Oxfam reports that the world’s top 1% may soon own a majority of the wealth, a problem so worrying that it made it atop the agenda at this year’s World Economic Forum in Davos, Switzerland.
More on the map
The most unequal states in the U.S.? According to the EPI report, New York and Connecticut had the largest gaps in 2012 between the average incomes of the top 1% and the bottom 99%, with the 1% earning more than 48 times the income of the poorest residents.
There are also outliers on the map: It takes $502,000 to be in the 1% in North Dakota — a higher salary than is needed to be in the top echelon in both California and Texas. North Dakota was the only state to see a significant increase in household incomes and a decrease in poverty rates during the period of the Great Recession, according to U.S. Census Bureau data, largely because of its strong energy sector.