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Most current estimates put the U.S. median household income at around $75,000 to $80,000. But these figures do not account for the degree of the spread between the highest and lowest earners, a metric that can demonstrate the diversity in financial realities within a community. Across the U.S., the top 20% of earners bring in at least $4.61 for every $1 that the bottom 20% of earners bring in. In some places, that multiple reaches over $7.

To find where this spread is increasing – and where it’s highest – SmartAsset ranked 96 of the largest U.S. cities based on the percentage increase in income inequality between the highest earners and lowest earners over one year.

• Income inequality increased most in Madison, WI. Income spreads between the highest- and lowest-earning quintiles increased by 4.56% in Madison year over year. In 2024, the highest-earning households earned at least $4.30 for every dollar brought in by the lowest-earning households. This is up from $4.24 in 2023. Madison’s median household income increased from $77,653 to $85,189 in that same timeframe.

• High earners make nearly 8x the lowest earners in this city. New Orleans, LA has the highest income inequality with a $7.91 multiple on earnings between the top 20% and bottom 20% of households. This stayed fairly constant year over year with just a 0.4% increase in the spread.

• Income inequality is lowest in Boise, ID. The highest-earning households in Boise earn at least $3.90 for every dollar earned by the lowest quintile of earners. The spread decreased slightly year over year, by -0.9%. Chesapeake, VA has the second lowest income inequality with $3.95 multiple, and saw the third highest increase year over year at 4.4%.

• Income inequality decreased by 11.2% in Richmond, VA. Richmond saw about three times as much deceleration in income inequality as the nextmost city (Laredo, TX). The highest earners went from earning at least $4.56 per every dollar earned by the lowest 20% of earners in 2023, to a spread of $4.04 in 2024.

Cities are ranked based on the percentage change in the ratio between the earnings threshold for the top 20% of earners and the bottom 20% of earners.

1. Madison, WI

   • Percent change in spread of income: 4.56%

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2024: $4.30

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2023: $4.11

   • Median household income, 2024: $85,189

   • Median household income, 2023: $77,653

2. Chesapeake, VA

   • Percent change in spread of income: 4.41%

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2024: $3.95

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2023: $3.78

   • Median household income, 2024: $87,127

   • Median household income, 2023: $87,057

3. Oakland, CA

   • Percent change in spread of income: 3.24%

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2024: $5.41

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2023: $5.24

   • Median household income, 2024: $121,190

   • Median household income, 2023: $108,971

4. Fremont, CA(Tied with Oakland, CA)

   • Percent change in spread of income: 3.24%

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2024: $5.41

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2023: $5.24

   • Median household income, 2024: $121,190

   • Median household income, 2023: $108,971

5. Austin, TX

   • Percent change in spread of income: 3.03%

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2024: $4.48

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2023: $4.35

   • Median household income, 2024: $68,630

   • Median household income, 2023: $68,150

6. Omaha, NE

   • Percent change in spread of income: 2.85%

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2024: $4.51

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2023: $4.38

   • Median household income, 2024: $74,424

   • Median household income, 2023: $69,475

7. Denver, CO

   • Percent change in spread of income: 2.35%

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2024: $4.89

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2023: $4.77

   • Median household income, 2024: $87,619

   • Median household income, 2023: $81,262

8. Baltimore, MD

   • Percent change in spread of income: 2.18%

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2024: $4.40

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2023: $4.30

   • Median household income, 2024: $86,198

   • Median household income, 2023: $80,159

9. Bakersfield, CA

   • Percent change in spread of income: 2.13%

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2024: $4.96

   • Ratio of earnings threshold for top 20% versus bottom 20%, 2023: $4.85

   • Median household income, 2024: $65,981

   • Median household income, 2023: $57,926

10. Aurora, CO

    • Percent change in spread of income: 1.98%

    • Ratio of earnings threshold for top 20% versus bottom 20%, 2024: $4.05

    • Ratio of earnings threshold for top 20% versus bottom 20%, 2023: $3.97

    • Median household income, 2024: $93,525

    • Median household income, 2023: $84,308

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