Best State Economies 2026: Jobs & Income Ranked

The 10 strongest state economies

A strong economy is more than a single number. It's whether you can find a job, whether that job pays enough to live on, and whether the trajectory is up or down. We scored all 50 states using BLS unemployment data, Census Bureau median incomes, BEA GDP per capita, and economic growth rates.

Hawaii leads with an economy score of 90.0/100, combining 2.2% unemployment with a median household income of $94,814. New Hampshire (84.5) and Maryland (83.6) follow closely.

The national unemployment rate averages 3.8% and the national median income is $74,753. Among the top 10 economic states, the average unemployment is 2.8% and average income is $86,274.

#1: Hawaii

Hawaii leads with an economy score of 90.0/100. Unemployment: 2.2%. Median household income: $94,814 — 27% above the national average. GDP per capita: $62,039. The state isn't just wealthy on paper — residents earn enough to offset a cost of living index of 109.

Hawaii ranks #20 overall with a composite of 64.8/100 and a B grade. Beyond the economy, the state scores 90.0 in economy and 83.7 in health. Broadband coverage at 93.7% supports the growing remote and hybrid workforce.

#2: New Hampshire

New Hampshire scores 84.5/100 economically, combining a 2.8% unemployment rate with a median income of $97,880 (31% above average). GDP per capita runs $68,816. Population growth of 0.6% suggests people see opportunity here.

New Hampshire ranks #1 overall with a composite of 86.6/100 and a A+ grade. Beyond the economy, the state scores 100.0 in health and 92.0 in safety. Broadband coverage at 95.7% supports the growing remote and hybrid workforce.

#3: Maryland

Maryland scores 83.6/100 economically, combining a 2.9% unemployment rate with a median income of $98,461 (32% above average). GDP per capita runs $68,357. Population growth of 0.7% suggests people see opportunity here.

Maryland ranks #18 overall with a composite of 66.9/100 and a B+ grade. Beyond the economy, the state scores 85.7 in health and 83.6 in economy. Broadband coverage at 97.2% supports the growing remote and hybrid workforce.

#4: Virginia

Virginia scores 72.2/100 economically, combining a 2.9% unemployment rate with a median income of $87,106 (17% above average). GDP per capita runs $66,440. Population growth of 0.8% suggests people see opportunity here.

Virginia ranks #9 overall with a composite of 74.3/100 and a A grade. Beyond the economy, the state scores 81.6 in education and 79.9 in safety. Broadband coverage at 90.5% supports the growing remote and hybrid workforce.

#5: South Dakota

At #5, South Dakota scores 70.3/100. Unemployment: 2%. Median income: $72,280. GDP per capita: $64,792. The cost of living index of 88 gives these wages real purchasing power.

South Dakota ranks #3 overall with a composite of 80.2/100 and a A+ grade. Beyond the economy, the state scores 89.8 in education and 84.5 in affordability. Broadband coverage at 93.2% supports the growing remote and hybrid workforce.

#6: Utah

At #6, Utah scores 68.7/100. Unemployment: 3.2%. Median income: $87,804. GDP per capita: $62,444. The cost of living index of 95 gives these wages real purchasing power.

Utah ranks #2 overall with a composite of 81.5/100 and a A+ grade. Beyond the economy, the state scores 93.9 in education and 91.8 in health. Broadband coverage at 95.4% supports the growing remote and hybrid workforce.

#7: North Dakota

At #7, North Dakota scores 67.7/100. Unemployment: 2.2%. Median income: $72,583. GDP per capita: $73,814. The cost of living index of 89 gives these wages real purchasing power.

North Dakota ranks #6 overall with a composite of 77.1/100 and a A grade. Beyond the economy, the state scores 84.7 in affordability and 81.6 in education. Broadband coverage at 98% supports the growing remote and hybrid workforce.

#8: Minnesota

At #8, Minnesota scores 63.6/100. Unemployment: 3.4%. Median income: $85,551. GDP per capita: $71,279. The cost of living index of 98 gives these wages real purchasing power.

Minnesota ranks #5 overall with a composite of 77.1/100 and a A+ grade. Beyond the economy, the state scores 89.8 in health and 87.8 in education. Broadband coverage at 93.2% supports the growing remote and hybrid workforce.

#9: Colorado

At #9, Colorado scores 63.6/100. Unemployment: 3.8%. Median income: $91,340. GDP per capita: $75,024. The cost of living index of 101 eats into the income advantage somewhat.

Colorado ranks #17 overall with a composite of 67.4/100 and a B+ grade. Beyond the economy, the state scores 73.5 in education and 67.3 in health. Broadband coverage at 94.4% supports the growing remote and hybrid workforce.

#10: Vermont

At #10, Vermont scores 62.9/100. Unemployment: 2.7%. Median income: $74,919. GDP per capita: $56,157. The cost of living index of 97 gives these wages real purchasing power.

Vermont ranks #4 overall with a composite of 77.5/100 and a A+ grade. Beyond the economy, the state scores 95.9 in health and 78.9 in safety. Broadband access sits at 83.7%, which matters as more jobs go remote.

Income vs. cost of living: the real picture

A $80,000 salary in a state with a COL index of 85 buys more than $100,000 in a state with a COL index of 120. This is why some states with moderate incomes rank well economically — their residents have more purchasing power.

South Dakota has the lowest unemployment at 2%, while Massachusetts has the highest median income at $101,370. These aren't always the same state because the job market and income scales depend on industry mix, cost structure, and economic diversification.

Among the top 10 economy states, 5 have a cost of living below the national average. That combination — good jobs plus affordable living — is what actually builds household wealth.

Weakest state economies

West Virginia (13.9), Nevada (18.4), Louisiana (20.6), Kentucky (22.7), Arkansas (22.9) score lowest for economic performance. High unemployment, lower median incomes, and limited industry diversity are common threads.

West Virginia scores 13.9/100 with 4.7% unemployment and a median income of $54,515. That's 27% below the national average income. But even here, the cost of living index of 90 partially offsets the lower wages.