How much you need to be in the top 5% in every state

By Personal FinanceFOXBusiness

Require a financial literacy class in order to graduate high school?

State Sen. Luke Rankin, R-S.C., on a bill he introduced in South Carolina that would require high school students in the state to take a course in personal finance in order to graduate.

While the gap between the rich and poor has been widening for decades, the U.S. economy has seen improvements over the years.

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According to figures from the U.S. Census Bureau's 2017 American Community Survey released last October, the median household income increased by more than $1,500 from 2016 to 2017 with both unemployment and poverty levels also dropping during that time.

While this is good news, the effects weren't felt equally across all 50 states, with much of the gain going to households that were already wealthy.

But just how wide is the income gap by state?

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Using data from the Census Bureau's 2017 report along with statistics from the left-leaning Economic Policy Institute's income inequality report on the top 1 percent of households, GoBankingRates figured out how much a household needs to make "pre-tax" to be considered in their state's top 5 percent.

According to the report, the top five most expensive states to be considered in the top 5 percent are in the Northeast and California. However, on that same note, Maine came in as the 10th "cheapest" state to enter that elite group, which came as a surprise to the group's researchers.

On the other end of the spectrum, states with the cheapest entrance into the highest-earners group were mostly from the South with the exception of Maine, New Mexico and Idaho.

Below are the full results from the GoBankingRates' report.

10 STATES WITH THE CHEAPEST ENTRANCE TO THE TOP 5 PERCENT:

1. Mississippi

How much you need to be in the top 5 percent (lower end): $154,295

Top 5 percent mean annual household income: $255,454

2. West Virginia

How much you need to be in the top 5 percent (lower end):$155,823

Top 5 percent mean annual household income: $249,200

3. Arkansas

How much you need to be in the top 5 percent (lower end): $160,675

Top 5 percent mean annual household income: $277,187

4. Idaho

How much you need to be in the top 5 percent (lower end): $167,204

Top 5 percent mean annual household income: $286,974

5. Kentucky

How much you need to be in the top 5 percent (lower end): $167,532

Top 5 percent mean annual household income:  $289,587

6. Alabama

How much you need to be in the top 5 percent (lower end): $170,906

Top 5 percent mean annual household income:  $284,361

7. Indiana

How much you need to be in the top 5 percent (lower end):  $173,021

Top 5 percent mean annual household income: $294,162

8. New Mexico

How much you need to be in the top 5 percent (lower end): $173,396

Top 5 percent mean annual household income: $280,094

9. South Carolina

How much you need to be in the top 5 percent (lower end):  $174,555

Top 5 percent mean annual household income: $296,503

10. Oklahoma

How much you need to be in the top 5 percent (lower end): $175,805

Top 5 percent mean annual household income: $300,382

10 STATES WITH THE MOST EXPENSIVE ENTRANCE TO THE TOP 5 PERCENT:

1. Connecticut

How much you need to be in the top 5 percent (lower end):  $250,000

Top 5 percent mean annual household income: $529,367

2. New York

How much you need to be in the top 5 percent (lower end): $250,000

Top 5 percent mean annual household income: $480,780

3. New Jersey

How much you need to be in the top 5 percent (lower end): $250,000

Top 5 percent mean annual household income: $475,827

4. Massachusetts

How much you need to be in the top 5 percent (lower end):  $250,000

Top 5 percent mean annual household income: $460,251

5. California

How much you need to be in the top 5 percent (lower end): $250,000

Top 5 percent mean annual household income: $447,207

6. Maryland

How much you need to be in the top 5 percent (lower end): $250,000

Top 5 percent mean annual household income: $431,491

7. Virginia

How much you need to be in the top 5 percent (lower end): $250,000

Top 5 percent mean annual household income: $403,190

8. Hawaii

How much you need to be in the top 5 percent (lower end): $238,820

Top 5 percent mean annual household income: $378,854

9. New Hampshire

How much you need to be in the top 5 percent (lower end):$229,425

Top 5 percent mean annual household income: $364,454

10. Washington

How much you need to be in the top 5 percent (lower end):$229,199

Top 5 percent mean annual household income: $378,374

How much you need to be in the top 5 percent in every state (minimum amount)

Mississippi          $154,295

West Virginia     $155,823

Arkansas              $160,675

Idaho                   $167,204

Kentucky             $167,532

Alabama              $170,906

Indiana                $173,021

New Mexico      $173,396

South Carolina   $174,555

Oklahoma           $175,805

Montana             $176,370

South Dakota     $176,511

Maine                 $178,516

Tennessee          $179,962

Iowa                    $180,304

Missouri               $181,527

Wyoming             $182,268

Louisiana             $182,288

Wisconsin            $182,897

Ohio                    $183,823

Nevada               $184,901

Nebraska             $185,422

Michigan              $187,384

North Carolina   $188,470

Kansas                 $189,252

Vermont              $192,323

Arizona               $195,113

Florida                  $196,433

Oregon                 $199,256

Georgia                $202,025

Utah                    $202,202

North Dakota     $203,744

Pennsylvania     $206,534

Delaware             $211,732

Rhode Island      $214,529

Texas                   $218,061

Minnesota          $218,790

Alaska                  $223,728

Illinois                  $227,304

Colorado              $228,672

Washington        $229,199

New Hampshire   $229,425

Hawaii                  $238,820

California             $250,000

Connecticut        $250,000

Maryland             $250,000

Massachusetts  $250,000

New Jersey        $250,000

New York            $250,000

Virginia               $250,000