What Is the Average Income in Ohio?

Understanding income statistics is important for individuals considering residency, current inhabitants assessing their financial standing, or anyone interested in Ohio’s economic health. These figures offer insights into a population’s financial well-being, reflecting broader economic trends and opportunities. Analyzing income data helps understand the financial landscape, influencing personal and professional decisions. It also provides a benchmark for comparing economic performance over time or against other regions.

Understanding Average Income Metrics

The term “average income” refers to several distinct measurements. Median income represents the midpoint of all incomes; half are above this figure and half are below. This measure is preferred as it is less affected by extreme incomes, offering a more typical representation. In contrast, mean income is the arithmetic average, calculated by summing all incomes and dividing by the total number. This measure can be skewed by a few very high earners, presenting a less representative picture of the population’s income.

Household income includes combined earnings of all individuals 15 and older within a single household. This includes wages, salaries, self-employment income, government assistance, and retirement benefits. Individual income refers to the earnings of one person. Per capita income divides a population’s total income by its total number of people. This metric compares economic prosperity of regions or countries per person.

Key Income Statistics in Ohio

Ohio’s economic landscape reflects national trends and local characteristics, evident in its income data. According to the U.S. Census Bureau’s 2023 data, the median household income in Ohio was approximately $71,640. This figure indicates half of all households earned more, and half earned less. For context, the national median household income in the same period was around $75,149.

Ohio’s median individual income was about $40,155. This metric captures a single person’s earnings, excluding combined income from multiple household members. Nationally, the median individual income stood at approximately $41,538. These figures show the typical earning power for a single worker.

Ohio’s per capita income was approximately $38,000. This figure divides total resident income by total population, measuring economic output per person. The national per capita income was slightly higher, reaching around $41,200. These statistics provide a clear snapshot of Ohio’s income levels relative to the U.S.

Economic Drivers of Income in Ohio

Ohio’s income levels are shaped by diverse economic sectors, providing varied employment and wage structures. Manufacturing has historically been a key sector, with industries like automotive, aerospace, and advanced materials contributing to employment and wages. While the sector has evolved, high-value manufacturing continues to provide skilled jobs that often offer competitive compensation. The state’s strategic location and robust infrastructure support these activities, attracting investment and fostering growth.

Healthcare and education are significant economic drivers, employing a large population across skill levels. Large hospital systems, research institutions, and universities generate many jobs, from medical professionals and faculty to administrative and support staff. These sectors are generally stable, often providing benefits and salaries that contribute to overall income averages. Academic and medical centers attract talent and foster innovation, supporting the local economy.

The technology sector (IT and R&D) has grown in Ohio, especially in metropolitan areas. This sector typically offers higher-paying jobs, elevating average income levels where concentrated. Agriculture, though a smaller economic portion, remains important in rural areas, contributing income through farming and food processing. Broader economic conditions, such as the state’s employment rate, play a role, as higher employment generally correlates with increased overall income.

Regional Income Variations Across Ohio

Ohio income levels are not uniform, varying between geographic regions. Major metropolitan areas like Columbus, Cleveland, and Cincinnati generally report higher median household and individual incomes than the state average. These urban centers benefit from diversified economies, with concentrations of professional services, technology firms, and large corporate headquarters. Many job opportunities in these sectors often lead to competition for talent, driving up wages.

Conversely, rural or less industrialized parts of Ohio tend to have lower average incomes. These areas often rely heavily on traditional industries, such as agriculture or smaller-scale manufacturing, offering different wage structures. Higher-paying jobs are more limited in these regions, leading to broader income disparity compared to urban hubs. Factors like access to higher education, specialized training, and diverse employment opportunities contribute to these regional income gaps.