**Summary: Income Growth in Major U.S. Cities Between 2023 and 2024**
**Context and National Trends**
Between 2023 and 2024, the financial landscape for many Americans remained relatively stable, with only modest growth in household incomes. According to the U.S. Census Bureau, the national median household income saw a slight increase of just over 1% during this period. This muted growth reflects ongoing economic challenges and broader trends affecting the country as a whole, such as inflation, labor market shifts, and changes in the cost of living. However, beneath these national averages, significant variations emerged among different cities, with some urban areas experiencing remarkable surges in income.
**Dramatic Local Increases: Tampa Leads the Way**
A recent analysis by SmartAsset, using Census Bureau data, highlights these regional disparities. Of the 50 largest U.S. cities, Tampa, Florida, stands out with the most dramatic jump in median household income. The city’s median income soared by more than 15%, rising from $72,851 in 2023 to $97,219 in 2024. This impressive gain far outpaces the national average and marks Tampa as a noteworthy example of rapid local economic improvement.
**Explaining Tampa’s Income Growth**
The spike in Tampa’s median income is closely linked to its significant senior population. SmartAsset’s analysis indicates that incomes among seniors in Tampa increased by more than 17% over the one-year period, a change that had a strong impact on the city’s overall income figures. In contrast, households with children under 18 actually saw their incomes decrease by over 6%.
According to Jaclyn DeJohn, director of economic analysis at SmartAsset, Florida’s appeal to retirees is a major factor in these trends. The state is well-known for attracting seniors due to its warm climate, favorable tax policies, and lifestyle amenities. When retirees relocate to Florida from other states, they often bring substantial financial resources with them, which can create volatility in local income statistics. This influx of new, often wealthier, senior residents can significantly affect year-over-year changes in median household income, especially in cities like Tampa.
Interestingly, while Florida as a whole had the largest net influx of retirees in 2023, Tampa itself experienced a net decrease in residents aged 60 and over. This suggests that while the overall senior population may not have increased, the financial profile of those seniors who remained or arrived in Tampa improved, thereby boosting the city’s median household income.
**Wider Urban Patterns: Income Volatility and Growth**
SmartAsset’s analysis reveals that most large U.S. cities saw median income growth that outpaced the national average. Only five of the largest cities had income growth rates below the national level, and just seven cities experienced a decline in median household income between 2023 and 2024.
DeJohn explains that big cities tend to experience more economic volatility and opportunities for rapid wage growth than suburban or rural areas. Urban centers can attract new businesses, industries, and populations, leading to sudden shifts in local economies. These “shocks” can drive year-over-year changes in incomes that are much more pronounced than in less dynamic areas.
**Other Cities with Notable Income Gains**
Beyond Tampa, several other U.S. cities experienced significant income growth. Long Beach, California, ranked second, with its median household income rising by about 12%. In Long Beach, both seniors and families with children under 18 saw their incomes increase at substantial rates—around 15% and 17%, respectively. This suggests a broader-based improvement in household earnings across different demographic groups, rather than growth driven solely by one segment.
California cities, in general, featured prominently among those with the fastest rising incomes. Many of these cities, such as San Jose and San Francisco, are already home to some of the highest-earning households in the nation. Both San Jose and San Francisco retained their positions as the first and second cities with the highest median household incomes in the U.S., according to SmartAsset’s 2024 analysis.
These cities are central hubs for the technology industry, which tends to offer high-paying jobs. The intense competition among tech companies for skilled talent leads to continually rising salaries, which in turn pushes up the median household income. DeJohn notes that high profits at tech firms drive employers to increase pay in order to attract and retain top talent, fueling ongoing growth in household incomes in places like Silicon