Inflation woes are plaguing much of the U.S., but Austin is outdoing the rest of the country when it comes to median income increases over the last year.
A new income analysis by SmartAsset discovered that the 2022 median income for workers in the Texas capital was $89,415, which is a 12.41 percent increase over the previous year's median income of $79,542.
Austin's income growth rate is slightly higher than the average median growth across all major U.S. cities, the study says. The national average income growth rate from 2021 to 2022 was only 8.1 percent.
Texas homebuyers have been keeping an eye on Austin's family-friendliness and local attractions, but the city's top employers may be what propel outsider interest (and income) in the area — not to mention the expanding list of restaurant offerings and local hangs.
"When income goes up, it can lessen the burden of inflation and even outpace it," the study said. "Despite this gap between income and inflation increases, workers in some U.S. cities were able to keep up with and even beat consumer cost increases."
Austin ranked No. 91 of 349 in SmartAsset's ranking of the U.S. cities where income increased the most from 2021-2022. Leading the chart was The Woodlands, with a staggering 31 percent increase in median income. The Houston suburb was the only Texas city to make the top 10, outshining several popular Arizona, California, and Florida cities.
Elsewhere in Central Texas, San Antonio residents' median income didn't match the national average, with a 7.11 percent increase in 2022 to $58,829. San Antonio ranked No. 186 in the overall report.
Killeen, which some say is home to the best housing market for first-time homebuyers, only ranked No. 221 in the report. Residents in Killeen only experienced a 5.64 percent income increase last year, with the median income standing at $54,529.
Round Rock's income growth percentage was much smaller, at 2.71 percent, with residents earning a median income of $81,804 in 2022. That's a surprising finding coming from one of Fortune Magazine'sbest places to live for families. Round Rock earned No. 272 in the report.
The U.S. cities where income increased the most are:
- No. 1 – The Woodlands, Texas
- No. 2 – Palm Bay, Florida
- No. 3 – Rancho Cucamonga, California
- No. 4 – Visalia, California
- No. 5 – Buckeye, Arizona
- No. 6 – Fort Lauderdale, Florida
- No. 7 – Miami, Florida
- No. 8 – Elizabeth, New Jersey
- No. 9 – Antioch, California
- No. 10 – Surprise, Arizona
SmartAsset's study analyzed median household income data for 349 of the biggest American cities from the U.S. Census Bureau's
1-Year American Community Survey Data. Rankings were based on the one-year income growth percentage from 2021 to 2022.