What Is the Average Income in Wisconsin?

Understanding income data for a state provides valuable insights into its economic health and the financial well-being of its residents. Income figures vary and can be analyzed in different ways, reflecting diverse economic realities. Examining these statistics helps understand how prosperity is distributed and what factors contribute to earning potential. This analysis is crucial for both residents and those considering relocation, offering a clearer understanding of the financial landscape within the state.

Overall Income Figures and How They Are Measured

To grasp a state’s financial standing, it is important to distinguish between mean and median income. Mean income, often referred to as the average, is calculated by summing all incomes and dividing by the total number of earners or households. While useful, it can be skewed by extremely high or low incomes, potentially misrepresenting the typical financial situation. Median income, conversely, represents the middle value in an ordered list of incomes, meaning half of the incomes are above this figure and half are below. This measure provides a more accurate representation of typical earnings as it is less affected by outliers.

In 2023, Wisconsin’s median household income was reported at $75,670. For individuals, the average income per person, also known as per capita income, stood at $42,019.

Looking specifically at family units, the median family income in Wisconsin was $97,261, while the average family income reached $120,679. Data for these income statistics is primarily collected by the U.S. Census Bureau.

Income Variations Among Wisconsin Households and Individuals

Income levels in Wisconsin vary across demographics based on age, educational attainment, and household composition. Earnings typically follow a lifecycle pattern, increasing during prime working years and declining later in life. For instance, in 2023, householders under 25 years old had a median income of $43,435.

Income generally peaked for those in the 45 to 64 age bracket, with a median household income of $92,539. Householders aged 25 to 44 also showed strong earnings, with a median income of $86,719. As individuals approached retirement, the median household income for those 65 years and over decreased to $55,271, reflecting a shift from full-time employment to retirement income sources.

Educational attainment also correlates with income. In 2022, individuals in Wisconsin with only a high school degree earned an average of $40,104. This figure rose to $45,729 for those with some college education or an associate degree. A bachelor’s degree further increased average earnings to $61,428, illustrating higher earnings with more education.

Household composition also influences income. Single-person households in Wisconsin had a median income of $40,510 in 2023. Larger households, particularly those with multiple earners, reported higher median incomes. For example, a four-person household had a median income of $121,824, while a seven-person household’s median income was $105,951. Married-couple households consistently show higher median incomes compared to other household types.

Geographic Income Differences Across Wisconsin

Income levels vary across Wisconsin’s regions, reflecting economic opportunities and local conditions. Urban centers and surrounding suburban areas often have higher median incomes than rural areas. These disparities can be observed when examining county-level income data.

Waukesha County reported the highest median household income in Wisconsin in 2023, $104,100. St. Croix County and Ozaukee County also had high median incomes: $102,482 and $96,734 respectively. These counties are often near major metropolitan areas or have strong local economies.

Conversely, rural counties in Wisconsin recorded lower median household incomes. Langlade County, for example, had a median household income of $57,258, and Ashland County registered $57,645. Milwaukee County, a major urban center, had a median household income of $62,118. This geographic spread shows how economic factors and industry concentrations influence local earning potentials.

Factors Influencing Wisconsin’s Income Landscape

Several economic and structural factors shape income levels and variations in Wisconsin. The state’s economic foundation rests heavily on key industries that provide employment and economic output. Manufacturing is a primary driver, contributing nearly 19% to the state’s Gross Domestic Product (GDP) and employing a substantial workforce. This sector includes diverse areas such as machinery, food processing, and industrial equipment.

Agriculture, particularly dairy production, is another foundational industry, contributing to the state’s economy. Biohealth, tourism, and the finance, insurance, and real estate (FIRE) sectors also play roles in the state’s economy. The health of these industries directly impacts job availability and wage levels across Wisconsin.

Labor market conditions also influence income. Wisconsin maintains a strong employment rate, with unemployment at 3.1% in September 2023. The state’s labor force participation rate, at 65.8% in September 2023, is higher than the national average. A robust labor market can increase competition for skilled workers, potentially driving up wages.

The cost of living in Wisconsin, generally lower than the national average, also affects residents’ effective income. For instance, the Fond du Lac area had a cost of living index of 90.3% of the national average in 2023. While not directly influencing gross income, a lower cost of living means residents’ earnings stretch further, enhancing purchasing power and financial well-being.