Palo Alto, California Income Statistics
Palo Alto Wealth Score
The wealth index reflects the overall economic prosperity and financial well-being of an area's residents based on income levels, employment rates, and income inequality metrics.
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A+
Palo Alto Top grade
Source: Map AI Methodology
Income Statistics Overview
| Metric | Palo Alto | California Avg | US Average |
|---|---|---|---|
| Median Household Income | $203,799 | $99,161 | $80,455 |
| Median Personal Income | $131,809 | $67,742 | $60,758 |
| Average Yearly Income Growth | 5.1% | 5.6% | 4.8% |
| Six-Figure Earners | 44.2% | 17.6% | 13.9% |
| $200k+ Households | 54.1% | 20.5% | 13.2% |
The median household income in Palo Alto is about 106% higher than in California. Income has been growing slower in Palo Alto (5.1%/yr) than in California (5.6%/yr).
About 44% of adults in Palo Alto earn six figures ($100,000 or more) a year, higher than the California average of 18%.
Median Household Income 2009–2024 Trend
Median Household Income Over Time
Median household income in Palo Alto, California grew by 67.3% from 2009 to 2024, reaching $203,799 in 2024. That's an average of about 5.1% per year.
Income Inequality and the Gender Pay Gap in Palo Alto
| Metric | Palo Alto | California Avg | US Average |
|---|---|---|---|
| Gini Coefficient | 0.482 | 0.572 | 0.552 |
| Male Median Income | $137,795 | $75,172 | $69,667 |
| Female Median Income | $126,362 | $66,071 | $56,850 |
| Gender Pay Gap | 8.3% | 12.1% | 18.4% |
The Gini coefficient measures how evenly income is shared between richer and poorer households, from 0 (everyone earns the same) to 1 (one household earns nearly everything). The lower the number, the more equally income is distributed. In Palo Alto, it is 0.482, lower than California's 0.572, so income is more evenly distributed here than there, and lower than the US's 0.552, so income is more evenly distributed here than there.
Men's income is about 9% more than women's income in Palo Alto, California. Over a 35-year career, a 9% wage gap accumulates to roughly $400,155 in unearned income for female workers in the area.
Income by Sex Over Time
Since 2009, the income gap between men and women in Palo Alto, California has narrowed from about 27% to 8% in 2024. Over that period the gap was widest at 29% in 2011. In dollar terms, the gap has narrowed by $21,144 since 2009.
Employment
| Metric | Palo Alto | California Avg | US Average |
|---|---|---|---|
| Unemployment Rate | 4.0% | 6.6% | 5.2% |
| Working from Home | 35.6% | 17.2% | 15.0% |
| Commute time (minutes) | 20 | 23 | 22 |
Approximately 1,397 people are unemployed in Palo Alto, California.
The average commute time in Palo Alto is 20 minutes, shorter than the 23 minutes in California.
Unemployment Rate Over Time
Since 2011, the unemployment rate in Palo Alto, California has fallen from 5.2% to 4.0% in 2024. Over that period the rate peaked at 6.9% in 2013 and fell as low as 3.2% in 2019.
Palo Alto, CA Wealth Compared With Nearby Cities
How Palo Alto, CA compares with the 1 cities closest to it.
| Area | Population | Median household income | Income growthAverage yearly change in median household income since 2016. Each year is measured in its own dollars, so this is growth before inflation. | Unemployment | Income inequalityGini coefficient: 0 would mean every household earns the same, 1 that a single household earns everything. The lower the number, the more equally income is shared here. |
|---|---|---|---|---|---|
| Palo Alto, CA | 68,352 | $203,799 #2/2 | 5.1%/yr #1/2 | 4.0% #1/2 | 0.482 #2/2 |
| Los Altos, CA | 30,560 | $211,028 | 1.4%/yr | 4.4% | 0.479 |
Conclusion
Considering all these factors, Palo Alto, California has an overall wealth index grade of A+, making it far better than California, and far better than the country as a whole.
Frequently Asked Questions
Common questions about income and wealth in Palo Alto, California.
How Rich Is Palo Alto, California?
Palo Alto has a wealth index grade of A+. The wealth index grades areas from A+ (best) to F- by combining income levels, employment rates, and income inequality; an A+ grade means it is one of the most prosperous areas in the country. The median household income is $203,799, about 106% higher than the California average of $99,161.
How has median household income changed in Palo Alto, California?
Between 2009 and 2024, the median household income in Palo Alto, California rose 67%, from $121,836 to $203,799. Over the same years, income here outpaced California as a whole: +67% against +64%.
What was the median household income in Palo Alto in 2023?
In 2023, the median household income in Palo Alto, California was $201,905, about the same as in 2022. The California median that year was $96,718.
What was the median household income in Palo Alto in 2020?
In 2020, the median household income in Palo Alto, California was $176,268. By 2024 it had risen 16% to $203,799.
How many people earn six figures in Palo Alto, California?
Yes. 44% of adults in Palo Alto, California earn $100,000 or more a year (about 1 in 2), against 18% (about 1 in 6) in California. 54% of households have a combined income of $200,000 or more, compared with 20% in California.
Is unemployment high in Palo Alto, California?
Unemployment in Palo Alto, California is only 4.0%, well below the California rate of 6.6%, a sign of a tight labor market where employers compete for workers.
What is the Gini coefficient in Palo Alto, California?
The Gini coefficient in Palo Alto is 0.482. It measures income inequality on a scale from 0 (everyone earns the same) to 1 (one household earns everything). That is lower than the US average of 0.552, so income is distributed more equally than in the country overall.
How has the income gap between men and women changed in Palo Alto, California?
Since 2009, the income gap between men and women in Palo Alto, California has narrowed from about 27% to 8% in 2024. Over that period the gap was widest at 29% in 2011. In dollar terms, the gap has narrowed by $21,144 since 2009.
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