How Many People Make a Six-Figure Income?

A six-figure income represents an annual earning of $100,000 or more. This income level often suggests financial stability and opportunity beyond basic living expenses. Understanding the prevalence and characteristics of those who achieve this income bracket provides insight into the broader economic landscape.

Current Landscape of Six-Figure Earners

The number of individuals and households earning a six-figure income in the United States has seen notable growth. As of recent data, approximately 13% to 21% of individual workers in the U.S. earn $100,000 or more annually. This translates to over 38 million individual workers reaching this income level in 2024. The proportion of U.S. households achieving a six-figure income is substantially higher than individuals, with over 34% of households currently earning above this threshold.

This upward trend in six-figure earners reflects ongoing economic shifts and a strong demand for skilled labor. The percentage of U.S. households earning $100,000 or more has more than tripled since 1967 when adjusted for inflation, rising from 13% to 41% by 2023. Projections for 2025 estimate that 41.9% of U.S. households will earn over $100,000, indicating consistent growth fueled by favorable labor market conditions and rising wages in high-skill occupations.

Demographic Profile of High Earners

High earners in the United States exhibit distinct demographic patterns across various categories. Age plays a significant role, with adults typically reaching their peak earning years between 35 and 44. Around one in four individuals in this age group earns a six-figure income. While it is rare for those under 25 to earn over $100,000, the percentage of individuals earning this amount steadily increases with age, peaking around 66 years old.

Gender distribution among high earners shows a notable disparity, with men more frequently reaching the six-figure mark. Men are about twice as likely as women to earn over $100,000 annually. In 2024, the median income for men was $60,000, while for women it was $45,001. This income gap persists even among full-time workers, where women’s earnings were 83% of men’s in 2023.

Educational attainment also correlates strongly with income levels, as a bachelor’s degree often leads to higher earning potential. Households where the primary earner holds a bachelor’s degree report an average income around $106,900. However, a substantial number of individuals achieve six-figure incomes without a bachelor’s degree, with 5.7 million full-time workers falling into this category in 2023. This group comprises approximately 9.1% of workers without a bachelor’s degree earning $100,000 or more.

Key Determinants of Income Level

Several objective factors contribute significantly to an individual’s potential for achieving a six-figure income. The industry in which one works is a primary determinant, with sectors like utilities, information technology, and financial activities consistently offering higher average salaries. The utilities sector, for instance, has an average annual earning of nearly $114,000, while the information industry averages around $100,000. Healthcare, particularly specialized medical professions such as surgeons and anesthesiologists, features some of the highest-paying roles across the economy.

Professional experience and seniority are also crucial in driving income growth. Work experience can contribute as much as 40% to an individual’s lifetime earnings in the United States. While entry-level positions may offer lower compensation, salaries generally increase with years of experience, reflecting accumulated skills and expertise. For occupations that do not require extensive formal education, work experience becomes an even more important factor, potentially accounting for 65% to 75% of lifetime earnings.

The acquisition of specialized skills or advanced degrees can unlock access to higher-paying opportunities. Many of the most lucrative professions, particularly in medicine, law, and advanced technology, require graduate-level education or highly specific certifications. These credentials signal a depth of knowledge and capability that commands premium compensation in the labor market. Furthermore, geographic location plays a role, as earning potential can vary considerably based on regional economic conditions and the cost of living. Metropolitan areas often feature higher nominal salaries, reflecting the concentration of high-paying industries and a more competitive job market.

Understanding Income Beyond the Number

While a six-figure income suggests financial comfort, its actual purchasing power can vary significantly depending on whether it represents individual or household earnings. Only about 13% of U.S. workers earn over $100,000 individually, yet more than 34% of U.S. households achieve this income level. This disparity arises because household income often combines the earnings of multiple individuals, such as two working spouses. Married-couple households, for example, are 2.5 times more likely to reach the $100,000 income threshold compared to single-parent households.

The effective value of a six-figure income is profoundly influenced by the regional cost of living. In areas with high housing costs, elevated local taxes, and expensive goods and services, a $100,000 income may feel financially constrained. For instance, New York City’s cost of living is approximately 87% higher than the national average, while a city like Oklahoma City is about 15% less expensive. This means that the same nominal income provides significantly less purchasing power in a high-cost urban center compared to a more affordable suburban or rural area. Objective measures, such as regional price parities, illustrate how the cost of living directly impacts the standard of living, even for high-income earners.