The surging U.S. economy is delivering higher incomes to millions of Americans, especially with ultra-low unemployment forcing companies to offer better pay and benefits.
Individual incomes in the 50 U.S. states increased at a 4.2% annual pace in the second quarter on the heels of an even stronger 5% gain in the first three months of the year.
The states with the highest income gains were largely concentrated in a broad swath of the middle of the country running from North Dakota and Texas, government data showed.
Read: Consumer confidence surges in September to 18-year high, near all-time peak
By and large, these states have benefited from strong demand for oil, natural gas and agricultural goods. Income gains were strongest in fossil-fuel extraction and farming. Tech was also high on the list.
One state, Kentucky, benefited from its growing status as a center of health-care administration. Aetna AET, +0.08% and Humana HUM, +1.03% , for example, have large claim centers is in Kentucky.
States with biggest income gains
1)Texas: 6%
2)Lousiana: 5.9%
3)Kentucky: 5.5%
4)North Dakota: 5.4%
5)Colorado: 5.3%
States with smallest income gains
A cluster of states in the Northeast were near the bottom, but there’s no clear trend. Massachusetts and Rhode Island, for example, saw strong income gains in the first three months of the year.
Read: California’s ‘golden’ economy could be tarnished by Trump tariffs, high cost of living
1)Washington: 1.6%
2)Rhode Island: 2%
3)Massachusetts: 2.2%
4)New Hampshire: 2.7%
5)Pennslyvania: 2.9%
