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Here's how much it takes to earn a top 1 percent salary in Texas

Top one percent of earners, high earning Texans, wealthy Americans

Texans now need to make $130,241 more in 2024 to maintain their status as one of the highest earners in the state.

With two Houston-area neighbors cashing in among the most wealthy suburbs in America, Houstonains may be wondering how much money they need to make to secure a place in the top one percent of earners. According to a new study from SmartAsset, the pre-tax salary required to be considered one of the highest earners in Texas amounts to $762,090 in 2024.

Texas has the 14th highest pre-tax salary needed to be considered in the top one percent of earners in the U.S. for the second year in a row. Texas' income threshold is not too far off from the national average, which is $787,712.

The study further revealed 126,128 Texans are within the top one percent of earners. For more context, the U.S. Census Bureau says over 30 million people lived in Texas as of 2022, and Houston's population grew to 2.3 million people in 2023.

Connecticut continues to lead the nation with the highest income threshold required to be in the top one percent, with residents needing to make over $1.15 million pre-tax.

To determine the income needed to be in the top one percent of earners in each state, SmartAsset analyzed 2021 IRS data for individual tax filers, which is the most recent year where data was available. Income data was then adjusted to June 2024 dollars.

Compared to SmartAsset's 2023 report, Texans now need to make $130,241 more in 2024 to maintain their status as one of the highest earners in the state. Last year, the income threshold was $631,849.

If Houstonians aim to be within the top five percent of earners in Texas, the pre-tax income threshold is drastically lower, at $280,676. However, for many Houston residents, achieving even a "middle class" status means making between $40,280 and $120,852 a year.

Meanwhile, the study says the median income in the U.S. comes out to roughly $75,000, and half of Americans are making even less than that. The income disparity is plainly obvious when high-income earners make (at a minimum) 10 times more than the national median income.

The report goes on to say top-earning Americans make up a "disproportionately large part of the tax base," as their income results in paying a 37 percent federal tax bracket rate. (That is, if these high earners are even paying taxes in the first place, considering America's wealthiest are already evading over $150 billion a year in taxes.)

"While state and local level taxes may impact the spread of high earners in those areas, the cost of living can also be drastically different nationwide," the report said. "As a result, what it takes to be considered a top one percent income earner can differ by over $500,000 from state to state."

The top 10 states with the highest thresholds to be considered in the top one percent of earners in the U.S. are:

No. 1 – Connecticut ($1,152,254)
No. 2 – Massachusetts ($1,113,662)
No. 3 – California ($1,035,673)
No. 4 – Washington ($989,649)
No. 5 – New Jersey ($975,645)
No. 6 – New York ($965,645)
No. 7 – Colorado ($865,700)
No. 8 – Florida ($852,206)
No. 9 – Wyoming ($843,121)
No. 10 – New Hampshire ($811,098)

The full report can be found on smartasset.com.

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safe suburbs

Houston neighbor shines on new 2025 list of safest American cities

Photo courtesy of Visit Pearland

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New Year's resolutions can come in many forms, and if relocating to a safe Houston-area suburb is high on the list for 2025, Pearland is the place to be.

Pearland was declared the No. 13 safest city in America for 2025 in a new study by personal finance advisors MoneyGeek. The website's experts examined the most recent FBI crime statistics (from 2023) to determine the cost of crime in 292 U.S. cities with populations over 100,000 residents.

The estimated cost of crime in this Houston suburb – which the study calculated as the "societal cost of crime per resident" – was $471 in 2023.

Pearland's crime cost per capita is far lower the national crime cost, which was $2,178 per resident.

The report also analyzed the city's violent crime and property crime rates, and Pearland had the 11th lowest rate of violent crime in 2023 with only 106 crimes committed for every 100,000 residents.

The city didn't fare as well with its property crime rate; there were 1,669 property crimes committed in 2023 per 100,000 residents, which was the 68th lowest rate out of all 292 U.S. cities.

However, that's still a better rate than most places in the country. Pearland residents can be smug that they don't live in Oakland, California, which had the highest property crime rate in the nation with 10,117 crimes committed per 100,000 residents.

Finally, MoneyGeek determined each city's total cost of crime, which the study defines as the "economic losses attributed to crime and its cost to society (individuals, community and nationally) in millions."

In this metric, Pearland had the seventh-lowest total crime cost, which was less than $60 million in 2023.

While some of these statistics may seem scary, Tulane University associate professor of political science Geoffrey T. Dancy warns it is unwise to make assumptions about a city based solely on its crime rates.

"We live in an unequal society," said Dancy in the report. "One often overlooked indicator of that inequality is who gets to engage in the politics of safety. Those who are objectively safe often fear crime and act on it in the counterproductive policies they support. Those who are actually victimized by crime and terrorized by gun violence pay the price and are rarely heard."

Elsewhere in Texas, the Dallas suburb of Frisco nearly topped the list as the No. 2 safest city in America with a $287 crime cost per capita. Other safe Texas cities in the report include Plano (No. 18), Sugar Land (No. 20), McKinney (No. 22), Round Rock (No. 26), Grand Prairie (No. 42), and League City (No. 48).

The top 10 safest American cities for 2025 are:

No. 1 – Ramapo Town, New York
No. 2 – Frisco, Texas
No. 3 – Irvine, California
No. 4 – Fishers, Indiana
No. 5 – Lakewood Township, New Jersey
No. 6 – Cary, North Carolina
No. 7 – Pembroke Pines, Florida
No. 8 – Elk Grove, California
No. 9 – Surprise, Arizona
No. 10 – Sterling Heights, Michigan

For the purpose of the study, violent crime rates were determined based on the number of murders and non-negligent manslaughters, rapes, robberies and aggravated assaults per 100,000 residents; and property crimes were defined as the rates of burglary, larceny-theft and motor vehicle theft offenses per 100,000 residents.

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