How does WA’s economy compare to other states? New ranking shows where we stand
AI-generated summary reviewed by our newsroom.
- WalletHub ranked Washington as the second-best state economy in the nation for 2026.
- Washington placed second for high-tech jobs share and R&D investment per capita.
- After cost-of-living adjustment, Washington had the fifth-highest median household income.
Washington is home to the second-best state economy in the nation, according to a new ranking.
Personal finance company WalletHub on Monday released the ranking of the best and worst state economies for 2026. Only Massachusetts fared better than the Evergreen State; Utah, California and Delaware had the third-, fourth- and fifth-best state economies, respectively.
As for the five purportedly worst state economies? WalletHub pegged West Virginia (No. 51), Kentucky (No. 50), Louisiana (No. 49), Maine (No. 48) and Rhode Island (No. 47).
To come up with the list, which helps show what states are best pushing the country’s economy forward, WalletHub looked at 28 indicators of economic strength and performance for all 50 states and the District of Columbia. The data touched on factors including unemployment rates, GDP growth, share of high-tech industry jobs and startup activity.
Washington enjoyed the second-highest share of professionals in the STEM field, which stands for science, technology, engineering and math, the ranking shows.
It also took home the silver medal for its percentage of high-tech industry jobs and earned second place again for the amount of industry research and development investment per capita, “which allows it to be at the forefront of new tech,” according to WalletHub.
After adjusting for the cost of living, Washington had the fifth-highest median household income, behind Utah, Virginia, Minnesota and Colorado — in that order, WalletHub found.
Washington has “the eighth-highest percentage of firms that are listed on the Technology Fast 500 list, and the third-highest number of invention patents per capita,” according to WalletHub.
“This business growth and new technology will expand the economy even more in the future,” WalletHub wrote.
WalletHub analyst Chip Lupo said in a post announcing the ranking that strong state economies make financial success more obtainable for residents. High average income and low unemployment rates help a state’s residents save for the future, pay down debt and buy up property, Lupo said.
“The best state economies also encourage growth by being friendly to new businesses and investing in new technology that will help the state deal with future challenges and become more efficient,” he continued.
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