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10 cities where people are most financially secure (only 4 are on the West Coast)

If you reside in Honolulu or Virginia Beach, you’re almost definitely doing better than someone residing in Santa Ana, Calif., Detroit or Miami.

A brand new ranking displays how residents of main U.S. towns are faring on the subject of their financial health — and divulges a rising racial wealth-divide in America, in line with Prosperity Now, a nonprofit public-policy organization primarily based in Washington, D.C.

Prosperity Now ranked 64 towns within the U.S. with populations over 300,000. The ranking is in line with source of revenue and wealth, business possession and employment, homeownership rates, get right of entry to to health insurance and academic attainment in those towns.

“The towns that fall to the ground and rise to the top in this analysis discuss to bigger tendencies in this country about who is succeeding in our current economic system,” the authors of the report wrote.

The towns that came out on height were:

Rank City Population
1 Honolulu, Hawaii 349,597
2 Virginia Beach, Va. 449,733
three San Francisco, Calif. 850,282
four San Jose, Calif. 1,009,363
five Albuquerque, N.M. 556,859
6 Louisville, Ky. 611,573
7 Seattle, Wash. 668,849
eight Colorado Springs, Colo. 448,759
nine Portland, Ore. 620,589
10 Wichita, Kan. 388,033

And the lowest-ranked were:

Rank City Population
64 Milwaukee, Wis. 598,672
63 Memphis, Tenn. 655,857
62 Miami, Fla. 432,622
61 Detroit, Mich. 683,443
60 Santa Ana, Calif. 333,605
59 Cleveland, Ohio 389,165
58 New Orleans, La. 382,922
57 Fresno, Calif. 513,807
56 Baltimore, Md. 621,000
55 St. Louis, Mo. 316,030

The West Coast towns that ranked best — Honolulu and those in California — have top median earning (about $77,000 in Honolulu and more than $96,000 in San Francisco), low poverty and top rates of school graduates, in line with the report.

The different top-performing towns now not located at the West Coast had decrease median earning and rates of school graduates, however tended to have more householders, allowing them to rating extremely within the “housing” ranking. In Virginia Beach, as an example, more than 60% of adults are householders.

San Francisco and Honolulu had low rates of homeownership, due to expensive housing, however different classes similar to educational attainment still put them on the height.

Across the ground 10 towns, the common annual median source of revenue is $37,271, the report discovered. Almost one in 4 families in those towns reside in poverty and more than 17% have no health insurance. Homes is also affordable in those towns, however homeownership is still low. More than half of renters in those towns spend more than 30% in their earning on rent and utilities. And unemployment in those towns tends to be top, too.

The towns that ranked the lowest are mostly older commercial towns that experience faced “challenges transitioning to the brand new economic system,” the report’s authors said. Other low-ranking towns like Miami and Santa Ana have massive immigrant populations who might not be financially strong as they grow to be established within the U.S.

Another main distinction between the top- and bottom-ranked towns: Their racial compositions.

While some top-ranked towns, together with Albuquerque, San Jose, Honolulu and San Francisco have majority populations of color, the combination inhabitants of the highest-ranking towns is 51% white and simply 7.eight% black.

In the 10 lowest-performing towns, the combination inhabitants is 25% white and 45.nine% black. In the top towns, Asian other folks made up 17.five% of the combination inhabitants, and within the bottom towns, simply three.nine%. The Latino inhabitants used to be more constant: 17.eight% of the top towns and 22.nine% of the ground towns.

The source of revenue hole between black and white families has grown since 2000 and worsened because the recession, in line with a separate 2016 report by way of Pew Charitable Trusts, a nonprofit primarily based in Philadelphia. In 2015, the median source of revenue for black families used to be 59.five% of that for whites — $36,544 to $61,394 — a greater hole than on the end of the Great Recession, when black source of revenue used to be 61.2% of white source of revenue, Pew discovered.

Maria LaMagna covers private finance for MarketWatch in New York.

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