Between the 2023-2024 and 2024-2025 academic years, in-state tuition rates at public universities rose by 4.4%, while out-of-state tuition and fees rose by 3%. For many ALICE (Asset Limited, Income Constrained, Employed) households, the rising cost of college in the U.S. has made higher education unattainable. However, in some states and industries, a high school diploma alone can still offer strong earning potential.
Using the most recent data from the Bureau of Labor Statistics (BLS) and the Bureau of Economic Analysis (BEA), we identified where a high school diploma provides the greatest financial returns, where wages for high school diploma holders are growing the fastest, and how their earnings compare to those with a bachelor’s degree—state by state. Additionally, alternative career paths like associate degrees, apprenticeships, and skilled trades are becoming increasingly viable options for economic mobility. Keep reading to see which places and industries offer the best financial outcomes for high school graduates.
Key Findings
- The 10 places where a high school diploma goes the farthest are North Dakota, Wyoming, D.C., Iowa, Alaska, Montana, Wisconsin, Nebraska, Indiana, and Colorado.
- In Kentucky, Indiana, Mississippi, and Wisconsin, over 41% of all jobs require no more than a high school diploma—the highest percentage in the nation.
- Nationally, median wages for jobs requiring only a high school diploma increased by nearly 20% across industries from 2019 to 2023 (from $37,930 to $45,040).
- Median wages for jobs requiring only a high school diploma saw the fastest year-over-year growth (2022–2023) in Arizona (+12.3%), Utah (+11.0%), Nevada (+10.3%), and Nebraska (+9.8%).
- Nationally, high school diploma earners bring in 54.6% of what bachelor’s degree holders make. In North Dakota and Wyoming, high school diploma earners bring in 65% of what bachelor’s degree holders make, indicating stronger earning potential for those without a college degree in these states.
Where a High School Diploma Stretches the Furthest
While wages for high school diploma holders vary across the country, the actual value of their paychecks depends on the cost of living in each state. To determine where a high school diploma offers the strongest financial return, we calculated an adjusted median annual wage in each state—which is the median annual wage modified to account for cost of living differences—showing where high school graduates’ earnings stretch the furthest.
Where a High School Diploma Pays Off the Most
- North Dakota – Adjusted Median Annual Wage: $54,628
- Wyoming – Adjusted Median Annual Wage: $52,478
- District of Columbia – Adjusted Median Annual Wage: $51,832
- Iowa – Adjusted Median Annual Wage: $51,532
- Alaska – Adjusted Median Annual Wage: $50,324
In North Dakota, high school graduates earn a median annual wage of $48,400, but with the state’s low cost of living (index: 88.6), their income has an effective purchasing power of $54,628—the highest in the nation. Wyoming follows closely, with an adjusted median annual wage of $52,478, making it another stronghold for high school diploma holders.
Notably, the District of Columbia ranks third despite its high living costs (index: 110.8). With a median annual wage of $57,430 and an adjusted wage of $51,832, D.C. still offers a competitive return for high school graduates. This highlights the availability of well-paying jobs for high school diploma holders in the capital region.
While D.C. is not a state, the Bureau of Labor Statistics treats it as a state-equivalent reporting area because it functions like one in terms of labor market, wages, and employment data. However, because D.C. is a compact urban area rather than a broad state economy, its wages tend to run higher than those in other states — even when adjusting for the cost of living.
Rounding out the top five, Iowa and Alaska also offer strong earning potential for high school graduates. In Iowa, a median annual wage of $45,760 combined with a low cost of living (index: 88.8) gives diploma holders an adjusted income of $51,532, making it one of the best states for financial stability without a degree. Meanwhile, Alaska stands out with one of the highest raw median wages ($51,180) among high school graduates. Despite its higher cost of living (index: 101.7), Alaskans still see an adjusted wage of $50,324, securing the state a spot in the top five.
Where a High School Diploma Pays Off the Least
- Florida – Adjusted Median Annual Wage: $40,676
- West Virginia – Adjusted Median Annual Wage: $41,626
- California – Adjusted Median Annual Wage: $42,105
- Mississippi – Adjusted Median Annual Wage: $42,314
- Texas – Adjusted Median Annual Wage: $42,840
On the other end of the spectrum, Florida ranks last, where a high school graduate’s median annual wage of $42,100 is undercut by a high cost of living (index: 103.5), leaving an adjusted wage of just $40,676. West Virginia has one of the lowest median annual wages for high school diploma holders overall ($37,380), but its lower cost of living (index: 89.8) helps boost its adjusted wage to $41,626—still the second lowest in the nation.
Even in California, where high school graduates earn a median wage of $47,410, the sky-high cost of living (index: 112.6) brings their adjusted income down to $42,105. Similarly, Mississippi, despite its lower living costs (index: 87.3), still ranks among the worst states due to its low median annual wage for high school diploma holders ($36,940), resulting in an adjusted wage of $42,314. Texas rounds out the bottom five with a median annual wage of $41,640 and an adjusted income of $42,840, making it a tougher place for high school diploma holders to get ahead financially.
How Maryland and Virginia Compare in the National Capital Area
So how do the other states in our National Capital Area compare? Maryland ranks 27th, and Virginia comes in at 32nd among the states where a high school diploma pays off the most.
In the National Capital Area, Maryland and Virginia offer relatively strong wages for high school graduates, but higher living costs reduce their overall earning power. Maryland has a median annual wage of $47,150, but with a high cost of living (index: 104.0), that income adjusts down to $45,337. Virginia follows closely, with a median wage of $45,150 and a cost of living index of 100.7, resulting in an adjusted wage of $44,836. While both states provide salaries above the national median, their higher costs make it harder for diploma holders to stretch their earnings compared to more affordable states.
Curious to see what adjusted median wages for high school diploma holders look like in all 50 states and the District of Columbia? We’ve compiled that data in the interactive table below. Search for the state you call home or click on the heading of each column to sort by that category.
Industries Where a High School Diploma Pays Off Most
For high school graduates looking for high-paying career paths, several industries offer strong earning potential without requiring a college degree. These are the top five industries where high school diploma holders earn the most:
- Utilities – Median Wage: $84,710
- Mining, Quarrying, and Oil and Gas Extraction – Median Wage: $61,890
- Construction – Median Wage: $58,950
- Information Technology – Median Wage: $57,370
- Federal, State, and Local Government – Median Wage: $55,330
Utilities lead the way, with a median annual wage of $84,710, making it the most lucrative industry for high school diploma holders. Mining, quarrying, and oil and gas extraction follow at $61,890, while construction offers solid wages at $58,950. Information technology also ranks among the top, with median earnings of $57,370. Additionally, careers in federal, state, and local government (excluding schools, hospitals, and the U.S. Postal Service) provide a median wage of $55,330, proving that both skilled trades and public sector roles can offer financial stability without a four-year degree.
States with the Highest Percentage of Jobs for High School Graduates
Beyond wages, job availability plays a key role in economic mobility for diploma holders. In Kentucky, Indiana, Mississippi, and Wisconsin, over 41% of all jobs require no more than a high school diploma—the highest percentage in the nation. For comparison, the national average is 37.4%, while in states like Maryland and Massachusetts, it drops to 33%. This suggests that job opportunities for high school graduates are more abundant in states with higher percentages, increasing their ability to find stable employment.
Where Are High School Diploma Wages Growing the Fastest?
While certain states offer higher wages for high school graduates, another important factor is how quickly those wages are rising. Nationally, median wages for jobs requiring only a high school diploma increased by nearly 20% across industries from 2019 to 2023 and grew by over 7% between 2022 and 2023. However, some states are experiencing even more rapid year-over-year growth, making them attractive places for diploma holders seeking higher pay.
Where High School Diploma Wages Are Rising the Fastest
- Arizona – 12.29% increase ($40,360 in 2022 → $45,320 in 2023)
- Utah – 10.97% increase ($40,190 in 2022 → $44,600 in 2023)
- Nevada – 10.27% increase ($40,030 in 2022 → $44,140 in 2023)
- Nebraska – 9.76% increase ($40,270 in 2022 → $44,200 in 2023)
- North Carolina – 9.05% increase ($39,020 in 2022 → $42,550 in 2023)
Arizona leads the nation in wage growth for high school graduates, with a 12.29% increase in just one year. This suggests a growing demand for workers in industries that don’t require a college degree. Similarly, Utah and Nevada have seen wages jump by over 10%, reflecting strong job markets for high school diploma holders in these states.
Nebraska and North Carolina round out the top five, with wage growth near 9%. These states not only offer rising paychecks but also have relatively lower costs of living compared to major metropolitan areas, meaning earnings go further.
On the opposite end, median wages for jobs requiring a high school diploma have remained largely stagnant in Rhode Island, Connecticut, and New Jersey, with year-over-year growth hovering around just 2%.
How Do High School Diploma Earnings Compare to Bachelor’s Degrees?
While a college degree generally leads to higher earnings, the income gap between high school and college graduates varies by state. In some places, diploma holders earn a significant portion of what bachelor’s degree holders make, reducing the financial disparity between the two education levels.
Where High School Graduates Earn the Most Compared to College Graduates
- North Dakota – High school graduates earn 65.1% of bachelor’s degree wages ($48,400 vs. $74,310)
- Wyoming – High school graduates earn 64.6% of bachelor’s degree wages ($47,650 vs. $73,780)
- South Dakota – High school graduates earn 63.4% of bachelor’s degree wages ($42,410 vs. $66,860)
- Montana – High school graduates earn 62.3% of bachelor’s degree wages ($44,760 vs. $71,880)
- Iowa – High school graduates earn 61.3% of bachelor’s degree wages ($45,760 vs. $74,610)
In North Dakota and Wyoming, high school graduates earn over 65% of what their college-educated counterparts make, making these states some of the best for diploma holders in terms of wage equity. South Dakota, Montana, and Iowa follow closely behind, with smaller gaps between high school and bachelor’s degree earnings.
A higher percentage means diploma holders are closer in earnings to college graduates, reducing the economic divide. This trend suggests that in certain states, individuals with a high school diploma can still achieve financial stability without pursuing a four-year degree.
However, in states like California, New York, and New Jersey, high school graduates earn less than 47% of what bachelor’s degree holders make, highlighting a wider wage gap and greater financial challenges for those without higher education.
The Rising Value of an Associate’s Degree
While a high school diploma can offer strong earning potential in certain states and industries, another more affordable alternative to a four-year degree is an associate’s degree—and the numbers show it’s a path worth considering.
Nationally, median wages for jobs requiring an associate’s degree have grown by over 13% from 2019 to 2023—rising from $54,940 to $62,270—and increased by 3.5% between 2022 and 2023. Some states have seen even more dramatic jumps, with Montana (+12.21%), Tennessee (+12.15%), and Idaho (+11.74%) leading the nation in associate degree wage growth year over year between 2022 and 2023. In the National Capital Area, Maryland saw a strong 9% wage increase for associate degree holders between 2022 and 2023, while D.C. (+5%) and Virginia (+3%) recorded more modest gains.
Nationwide, associate’s degree holders earn 76% of what bachelor’s degree holders make, a significant improvement over the 55% wage comparison for high school graduates. In Oklahoma, West Virginia, and Louisiana, that percentage climbs even higher, with associate degree holders earning over 85% of what those with a bachelor’s degree take home.
With wages steadily rising and a smaller financial gap between associate and bachelor’s degree earners, pursuing a two-year degree is becoming an increasingly attractive and cost-effective alternative to a four-year college education.
Closing Thoughts
While a college degree can open doors to higher earnings, this study highlights that in certain states, a high school diploma alone can still provide a level of financial stability. With rising wages for diploma holders and smaller income gaps between high school and college graduates in select regions, economic mobility remains attainable without a four-year degree. However, disparities persist, underscoring the importance of alternative pathways like associate degrees, apprenticeships, and skilled trades—options that offer additional opportunities for ALICE households.
By focusing on states where a high school diploma can still provide financial stability, this study aligns with United Way NCA’s mission to promote pathways to economic mobility and equitable access to well-paying jobs for underserved communities. Through education programs and Financial Empowerment Centers, United Way of the National Capital Area equips individuals with the skills and financial resources needed to thrive.
Methodology
To find out where a high school diploma pays off the most, we analyzed median wages for jobs requiring only a high school diploma across all industries in each state and in the District of Columbia, using the most recent data from the Bureau of Labor Statistics (BLS). We then incorporated state-level cost of living indices from the Bureau of Economic Analysis (BEA). By combining these metrics, we calculated an adjusted median annual wage for each state, accounting for the cost of living. States with higher adjusted median wages represent those where a high school diploma stretches the furthest.
To supplement our analysis, we compared the median wages for jobs requiring only a high school diploma in 2023 to those in 2022, calculating the percentage increase state by state to identify where high school diploma wages are growing the fastest. Additionally, we compared the median wages for jobs requiring only a high school diploma to those requiring a bachelor’s degree in each state. This allowed us to determine high school diploma wages as a percentage of bachelor’s degree wages, highlighting states where high school graduates earn the most relative to college graduates.
We applied the same methodology to associate’s degrees, examining both wage growth and how earnings stack up against those with a bachelor’s degree.
