Median income in Los Angeles home to movie stars, ocean views, and one of the most diverse populations in the United States. But beyond the palm trees and Hollywood glam, there’s another story being told through numbers: income. If you’re living in LA or thinking about moving there, understanding the median income in Los Angeles is crucial. It impacts everything from housing affordability to lifestyle choices. So, let’s break it down.
What Is Median Income?
Let’s start with the basics. The median income is the point where half of the households earn more and half earn less. Unlike the average, the median isn’t skewed by ultra-high or ultra-low incomes, which gives a more accurate picture of what a typical household brings in.
Median Income in Los Angeles (As of Latest Data)
According to the U.S. Census Bureau and local government reports, the median household income in Los Angeles is approximately $76,135 (as of 2024 data). However, keep in mind:
- This is household income, not individual income.
- Income levels can vary dramatically depending on zip code, neighborhood, race, and education.
How LA Compares to National and State Medians
To put it in perspective:
- U.S. Median Household Income: ~$75,000
- California Median Household Income: ~$84,000
- Los Angeles County Median Household Income: ~$76,000
So, while Los Angeles is roughly in line with national averages, it still lags behind California’s state median. That gap highlights the high cost of living versus income level in LA.
Cost of Living in Los Angeles
Here’s where it gets tricky. Although median income is around $76K, the cost of living in LA is 50% higher than the national average. Why?
- Housing: Rent and home prices are extremely high.
- Transportation: Many residents rely on cars, increasing monthly costs.
- Healthcare and groceries: These are pricier in LA compared to other cities.
In simple terms, a median income in LA doesn’t stretch as far as it would in other cities.
Income Breakdown by Household Type
Let’s take a closer look at what households typically earn:
Single-Person Households
Median income: ~$45,000
While this might seem okay, it’s a tight squeeze with rent often exceeding $2,000/month for a one-bedroom.
Married Couples Without Children
Median income: ~$100,000
Dual-income households tend to fare much better, but housing can still be a stretch, especially if one partner isn’t working.
Families with Children
Median income: ~$90,000–$110,000
Childcare, education, and housing are major expenses for these families, meaning even a six-figure income can feel limited.
Income Disparity in Los Angeles
Los Angeles has one of the widest income inequality gaps in the U.S. While tech executives and entertainment elites pull in millions, many service workers earn close to minimum wage.
Top 20% Earners: Over $150,000
Bottom 20% Earners: Under $25,000
This disparity affects everything from school funding to healthcare access and even public transportation investment.
Median Income by Neighborhood
Here’s a snapshot of income levels in some LA neighborhoods:
- Brentwood: ~$130,000
- Silver Lake: ~$95,000
- Echo Park: ~$70,000
- South LA: ~$38,000
- Downtown LA: ~$55,000
Clearly, where you live in LA has a huge impact on how far your income goes.
How Does Education Impact Income in LA?
Unsurprisingly, education plays a huge role in income levels:
- No High School Diploma: ~$28,000
- High School Graduate: ~$38,000
- Bachelor’s Degree: ~$75,000
- Graduate/Professional Degree: $100,000+
Education is one of the strongest predictors of higher income in LA, although high housing prices can still make life tough even for professionals.
Conclusion
The median income in Los Angeles paints a mixed picture. On paper, it seems average compared to national standards, but when you stack it against LA’s high living costs and income disparities, things become more complicated. Understanding where you stand and how to maximize your income whether through budgeting, education, or strategic career choices can help you thrive in this vibrant yet challenging city.
FAQs
1. What is the average income in Los Angeles?
While the median is around $76,000, the average income can be higher due to top earners, closer to $95,000+.
2. Is $100K a good salary in LA?
Yes and no. It’s above the median and offers more comfort, but high rent and expenses mean budgeting is still essential.
3. Can a single person live on $60K in LA?
It’s possible with a modest lifestyle, roommates, or living in more affordable neighborhoods.
4. Why is income inequality so high in Los Angeles?
Due to a mix of housing policy, wage gaps, industry concentration, and disparities in education and opportunity.
5. How can I increase my income in LA?
Pursue higher education, get into high-paying fields (like tech), or consider starting a side hustle or business.
