Where Americans earn the most from investments
Where Americans earn the most from investments
Net capital gains, the profits from selling assets like stocks, real estate, or businesses, are a key measure of investment success and regional wealth. These gains are realized only upon sale and are taxable at preferential rates when held for a year or longer: 0%, 15% or 20%. Other investment incomes, such as ordinary dividends and taxable interest, which are taxed at generally higher income tax rates, or tax-exempt interest (often from municipal bonds), may offer other advantages for a diversified portfolio or retirement account withdrawal strategies. Overall, high net capital gains can signal robust markets and affluent populations, with realized gains potentially boosting local economies through tax revenues and spending.
With this in mind, SmartAsset ranked U.S. counties and states by the average net capital gains reported on the latest tax return data per the IRS. Other types of investment gains were also considered.
Key findings
Teton County, Wyoming investment gains lead all counties by wide margin. Teton County reported the highest average net capital gain per return at $515,267, far surpassing other counties. With a relatively small number of returns (6,010 reporting gains out of 15,180 total), this affluent area also showed significant ordinary dividends ($196,121 average 6,150 returns) and qualified dividends ($167,921 average on 5,940 returns), signaling a concentration of high-net-worth individuals and diversified investment activity.Florida ekes past Wyoming for highest state-level investment gains. Florida topped the state rankings with an average net capital gain per return of $84,911. The state's 2,136,380 returns reporting gains amounted to $181.4 billion, bolstered by high activity in counties like Palm Beach ($40.4 billion in gains) and Miami-Dade ($37.4 billion). Wyoming comes in a close second place for average net capital gains of $84,246 across nearly 60,000 tax returns.These Georgia counties report the lowest capital gains. At the opposite end, Chattahoochee, Quitman and Taliaferro counties in Georgia have the lowest net capital gains in the contiguous states with an average of $2,400 or less each. Few returns reported net capital gains at all, as they were reported on less than 10% of tax returns across these counties.West Virginia lags in state-level investment returns. West Virginia reported the lowest average net capital gain per return at $14,612, with only 91,930 returns reporting $1.34 billion in gains. Wisconsin has the second lowest average net capital gains reported at $19,590.
Top 20 counties where Americans made the most in investments
Counties are ranked based on the average net capital gains for applicable tax returns according to the latest IRS data.
Teton County, Wyoming
Avg. net capital gains: $515,267 (6,010 returns)Avg. taxable interest: $40,033 (7,100 returns)Avg. tax-exempt interest: $39,659 (2,020 returns)Avg. ordinary dividends: $196,121 (6,150 returns)Avg. qualified dividends: $167,921 (5,940 returns)Total returns: 15,180
Clinch County, Georgia
Avg. net capital gains: $317,793 (150)Avg. taxable interest: $977 (430)Avg. tax-exempt interest: $1,600 (20)Avg. ordinary dividends: $6,336 (110)Avg. qualified dividends: $4,055 (110)Total returns: 2,390
Pitkin County, Colorado
Avg. net capital gains: $312,592 (4,170)Avg. taxable interest: $30,111 (4,600)Avg. tax-exempt interest: $28,688 (1,280)Avg. ordinary dividends: $67,047 (4,280)Avg. qualified dividends: $53,044 (4,080)Total returns: 10,480
Shackelford County, Texas
Avg. net capital gains: $233,680 (300)Avg. taxable interest: $6,082 (510)Avg. tax-exempt interest: $13,317 (120)Avg. ordinary dividends: $16,190 (300)Avg. qualified dividends: $11,627 (300)Total returns: 1,480
Summit County, Utah
Avg. net capital gains: $219,262 (9,370)Avg. taxable interest: $9,425 (11,110)Avg. tax-exempt interest: $22,022 (2,870)Avg. ordinary dividends: $47,348 (9,530)Avg. qualified dividends: $36,713 (9,050)Total returns: 24,870
Monroe County, Florida
Avg. net capital gains: $191,886 (12,220)Avg. taxable interest: $13,432 (15,760)Avg. tax-exempt interest: $29,645 (3,310)Avg. ordinary dividends: $75,201 (11,770)Avg. qualified dividends: $66,673 (10,980)Total returns: 45,760
Palm Beach County, Florida
Avg. net capital gains: $186,281 (216,920)Avg. taxable interest: $16,155 (249,310)Avg. tax-exempt interest: $29,882 (63,780)Avg. ordinary dividends: $50,783 (220,150)Avg. qualified dividends: $42,043 (205,200)Total returns: 784,220
Miami-Dade County
Avg. net capital gains: $184,899 (202,220)Avg. taxable interest: $13,127 (261,490)Avg. tax-exempt interest: $23,350 (33,130)Avg. ordinary dividends: $38,036 (177,420)Avg. qualified dividends: $29,924 (160,110)Total returns: 1,436,490
Collier County, Florida
Avg. net capital gains: $184,017 (73,450)Avg. taxable interest: $12,151 (88,560)Avg. tax-exempt interest: $29,690 (26,040)Avg. ordinary dividends: $57,951 (74,510)Avg. qualified dividends: $47,507 (70,210)Total returns: 213,630
San Miguel County, Colorado
Avg. net capital gains: $183,621 (1,560)Avg. taxable interest: $9,440 (1,850)Avg. tax-exempt interest: $17,268 (470)Avg. ordinary dividends: $37,121 (1,560)Avg. qualified dividends: $25,636 (1,490)Total returns: 4,500
Blaine County, Idaho
Avg. net capital gains: $176,812 (4,910 returns)Avg. taxable interest: $10,555 (5,970 returns)Avg. tax-exempt interest: $19,372 (1,610 returns)Avg. ordinary dividends: $48,990 (5,020 returns)Avg. qualified dividends: $38,999 (4,790 returns)Total returns: 13,540
Randolph County, Missouri
Avg. net capital gains: $150,127 (1,720)Avg. taxable interest: $1,262 (2,930)Avg. tax-exempt interest: $4,845 (310)Avg. ordinary dividends: $5,540 (1,720)Avg. qualified dividends: $3,916 (1,620)Total returns: 10,580
New York County, New York
Avg. net capital gains: $149,273 (302,610)Avg. taxable interest: $19,397 (349,610)Avg. tax-exempt interest: $18,965 (99,390)Avg. ordinary dividends: $42,540 (334,330)Avg. qualified dividends: $32,211 (320,550)Total returns: 846,440
Walton County, Florida
Avg. net capital gains: $140,537 (10,470)Avg. taxable interest: $8,426 (14,280)Avg. tax-exempt interest: $17,430 (2,510)Avg. ordinary dividends: $27,814 (9,870)Avg. qualified dividends: $21,624 (9,210)Total returns: 40,310
Martin County, Florida
Avg. net capital gains: $130,146 (28,290)Avg. taxable interest: $10,613 (33,350)Avg. tax-exempt interest: $19,398 (8,070)Avg. ordinary dividends: $39,381 (29,640)Avg. qualified dividends: $32,712 (27,770)Total returns: 84,420
Indian River County, Florida
Avg. net capital gains: $126,594 (25,510)Avg. taxable interest: $9,009 (32,130)Avg. tax-exempt interest: $23,468 (7,530)Avg. ordinary dividends: $42,487 (27,010)Avg. qualified dividends: $35,483 (25,230)Total returns: 85,800
Wasatch County, Utah
Avg. net capital gains: $113,429 (4,520)Avg. taxable interest: $5,083 (6,350)Avg. tax-exempt interest: $10,513 (1,030)Avg. ordinary dividends: $17,528 (4,290)Avg. qualified dividends: $13,262 (3,950)Total returns: 16,800
Nemaha County, Kansas
Avg. net capital gains: $111,880 (1,480)Avg. taxable interest: $1,936 (2,700)Avg. tax-exempt interest: $10,200 (290)Avg. ordinary dividends: $18,627 (1,260)Avg. qualified dividends: $17,662 (1,180)Total returns: 4,920
Dallas County, Texas
Avg. net capital gains: $110,534 (188,570)Avg. taxable interest: $7,393 (243,770)Avg. tax-exempt interest: $14,890 (43,870)Avg. ordinary dividends: $24,441 (192,290)Avg. qualified dividends: $20,200 (179,610)Total returns: 1,213,090
Travis County, Texas
Avg. net capital gains: $109,439 (172,730)Avg. taxable interest: $5,131 (206,890)Avg. tax-exempt interest: $9,958 (40,820)Avg. ordinary dividends: $16,792 (178,910)Avg. qualified dividends: $12,869 (169,300)Total returns: 636,070
Top 10 states where Americans made the most in investments
States and the District of Columbia are ranked based on the average net capital gains for applicable tax returns according to the latest IRS data.
Florida
Avg. net capital gains: $84,911 (2,136,380 returns)Avg. taxable interest: $5,552 (2,956,740 returns)Avg. tax-exempt interest: $15,226 (472,050 returns)Avg. ordinary dividends: $21,724 (2,201,800 returns)Avg. qualified dividends: $17,828 (36,100,028 returns)Total returns: 11,050,580
Wyoming
Avg. net capital gains: $84,246 (59,890)Avg. taxable interest: $4,804 (100,040)Avg. tax-exempt interest: $12,016 (14,120)Avg. ordinary dividends: $30,728 (60,010)Avg. qualified dividends: $26,119 (1,466,868)Total returns: 279,330
Nevada
Avg. net capital gains: $77,491 (251,070)Avg. taxable interest: $4,395 (375,360)Avg. tax-exempt interest: $12,978 (47,730)Avg. ordinary dividends: $17,308 (239,070)Avg. qualified dividends: $13,756 (3,032,876)Total returns: 1,541,730
District of Columbia
Avg. net capital gains: $58,733 (86,250)Avg. taxable interest: $3,284 (114,880)Avg. tax-exempt interest: $7,804 (23,820)Avg. ordinary dividends: $15,743 (99,870)Avg. qualified dividends: $12,546 (1,196,872)Total returns: 346,460
Texas
Avg. net capital gains: $52,926 (2,151,560)Avg. taxable interest: $3,231 (3,239,600)Avg. tax-exempt interest: $9,046 (462,640)Avg. ordinary dividends: $13,420 (2,195,330)Avg. qualified dividends: $10,928 (22,353,519)Total returns: 13,542,000
Utah
Avg. net capital gains: $51,745 (262,790)Avg. taxable interest: $2,725 (439,680)Avg. tax-exempt interest: $7,213 (45,330)Avg. ordinary dividends: $10,015 (258,460)Avg. qualified dividends: $7,776 (1,852,455)Total returns: 1,506,540
Connecticut
Avg. net capital gains: $49,914 (425,050)Avg. taxable interest: $4,568 (616,860)Avg. tax-exempt interest: $9,708 (104,560)Avg. ordinary dividends: $18,385 (484,440)Avg. qualified dividends: $15,312 (7,025,689)Total returns: 1,812,680
New York
Avg. net capital gains: $48,271 (2,015,350)Avg. taxable interest: $4,110 (3,530,740)Avg. tax-exempt interest: $10,084 (507,120)Avg. ordinary dividends: $14,987 (2,224,750)Avg. qualified dividends: $11,626 (24,429,547)Total returns: 9,690,950
Massachusetts
Avg. net capital gains: $47,346 (834,390)Avg. taxable interest: $2,485 (1,403,790)Avg. tax-exempt interest: $7,575 (215,670)Avg. ordinary dividends: $13,507 (946,230)Avg. qualified dividends: $10,726 (9,551,537)Total returns: 3,550,000
California
Avg. net capital gains: $45,490 (3,852,310)Avg. taxable interest: $2,537 (6,852,810)Avg. tax-exempt interest: $9,879 (866,810)Avg. ordinary dividends: $13,724 (3,899,070)Avg. qualified dividends: $10,751 (39,305,988)Total returns: 18,355,830
Data and methodology
Data in this SmartAsset study is from the latest tax return release (2022 tax year) from the Internal Revenue Service (IRS). The rankings include 3,022 U.S. counties, as well as a separate ranking for the 50 states and the District of Columbia, based on the average net capital gains reported for applicable returns. Line-items for other investment gains, such as taxable interest, ordinary dividends and qualified dividends are also reported.
This story was produced by SmartAsset and reviewed and distributed by Stacker.
© Stacker Media, LLC.
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