Residents in several major California metropolitan areas are experiencing substantial income growth that is outpacing inflation, according to a new analysis. Cities like Anaheim, Irvine, Long Beach, and Santa Ana are among those nationwide that have seen the most significant increases in take-home pay over the past year, helping to offset rising costs for essential goods and services.
The SmartAsset report examined nearly 100 U.S. cities with populations exceeding 250,000. It found that in many of these urban centers, median household income has grown at a rate that surpasses inflation, effectively cushioning the impact of increased expenses.
Top Performing Cities
Enterprise, Nevada, topped the list with an estimated 18% increase in median household income after inflation, bringing the figure to $111,128 from $93,905. Anaheim followed in second place, with incomes rising nearly 16% from $87,365 to $101,145.
Other Southern California cities also ranked highly. Irvine placed seventh, showing a 10.6% year-over-year increase in take-home pay, reaching $145,73 from $131,749. Long Beach secured the tenth spot with an almost 9% rise in median household income, from $84,004 to $91,318. Santa Ana was fourteenth, with an 8% income jump from $88,438 to $95,118.
Northern California cities also featured in the top 20. San Francisco ranked sixteenth, with incomes increasing by approximately 7% from $130,453 to $139,801. Fresno followed at seventeenth, where median household income grew by 7% to $74,491 from $69,589. San Jose rounded out the top 20 at twentieth place, experiencing an increase of just under 6%, with incomes rising from $140,231 to $148,226.
San Jose also leads the state in households earning $200,000 or more annually, with 38% falling into this bracket.
Broader Trends and Regional Differences
The analysis revealed that 63 out of the 94 studied communities experienced positive year-over-year income growth after adjusting for inflation. The most substantial gains were concentrated on the West Coast, particularly in California and Nevada.
Conversely, some cities, including those in California, saw residents fall behind financially as rising costs outpaced income growth. Chula Vista ranked 85th out of 94 cities, with incomes declining by over 4%, from $109,755 to $105,101. Riverside was in 70th place, with a nearly 1% decrease in take-home pay, dropping from $90,765 to $90,004. The city of Los Angeles ranked 62nd, with a modest 0.3% income increase, moving from $82,043 to $82,263.
The dataset assessed median household incomes over the most recent two-year period and the percentage of households earning $200,000 or more annually across 94 communities.