Illinois Salaries 2025
Chicago-powered economy with global city opportunities
Median Household Income
Illinois Salary Overview 2025
Illinois offers a unique value proposition: a genuine global city (Chicago) with salaries approaching coastal levels but significantly lower costs. The state's median household income of $72,200 approaches the national median, driven by Chicago's concentration of Fortune 500 headquarters, financial services, technology, and professional services.
Chicago hosts 36 Fortune 500 company headquarters—third most of any U.S. metro—including Boeing, United Airlines, Abbott, Walgreens Boots Alliance, and Caterpillar. The city has emerged as a legitimate tech hub, with strong fintech (trading firms), enterprise software, and growing startup ecosystem. The financial district includes the CME Group (derivatives) and numerous trading operations.
Illinois's flat 4.95% income tax is moderate, though high property taxes (particularly in suburbs) and Chicago's additional taxes add to the burden. The state has experienced population loss to lower-tax states, but Chicago's urban amenities, cultural offerings, and career opportunities continue attracting ambitious professionals. For comprehensive salary data, see salary trends 2025.
Illinois Salary Snapshot
| Metric | Illinois | National Average |
|---|---|---|
| Median Household Income | $72,200 | $74,580 |
| Mean Household Income | $98,500 | $97,300 |
| Per Capita Income | $41,000 | $37,638 |
| Minimum Wage (2025) | $14.00/hr | $7.25/hr (federal) |
| Cost of Living Index | 94 (6% below avg) | 100 |
| State Income Tax | 4.95% flat | Varies |
Salaries by Illinois Region
Chicago – Global City
Median Household Income: $65,000 (city) / $85,000+ (North suburbs)
Chicago is America's third-largest city and a genuine global financial and business center. The Loop financial district houses trading firms, investment banks, and corporate headquarters. Software engineers earn $100,000-$170,000, quantitative traders $150,000-$500,000+, finance professionals $70,000-$300,000+ depending on role. Healthcare at Northwestern, Rush, and University of Chicago employs thousands.
Chicago neighborhoods vary dramatically: Gold Coast and Lincoln Park are expensive ($600,000+ condos), while many neighborhoods offer urban living at $300,000-$450,000. The L train enables car-free living.
Chicago North Suburbs (Evanston, Skokie, Northbrook)
Median Household Income: $90,000
North suburbs host corporate headquarters (Walgreens, Allstate, Takeda) and house professionals working in the city. Northwestern University anchors Evanston. Excellent schools drive family migration. Housing ranges from $400,000 in modest areas to $1M+ in affluent North Shore communities. Property taxes are high (2.5-3.5%).
Chicago West Suburbs (Oak Brook, Naperville, Schaumburg)
Median Household Income: $95,000
West suburbs house numerous corporate campuses and headquarters. McDonald's (Chicago), Motorola Solutions, and numerous tech companies operate here. Naperville consistently ranks among best places to live. Family-oriented with excellent schools. Housing $400,000-$700,000 typically.
Champaign-Urbana – University Hub
Median Household Income: $50,000
University of Illinois flagship campus creates education and research employment. Strong computer science program feeds tech pipelines. Faculty $75,000-$180,000, research positions $55,000-$120,000. Very affordable housing ($200,000 median). Growing startup scene in Research Park.
Springfield – State Capital
Median Household Income: $55,000
State government and healthcare dominate. Very affordable ($150,000 median home). Limited private sector opportunities but stable government employment.
| Region | Median Income | Median Home | Key Industries |
|---|---|---|---|
| Chicago (city) | $65,000 | $350,000 | Finance, Tech, Healthcare |
| North Suburbs | $90,000 | $550,000 | Corporate HQs, Pharma |
| West Suburbs | $95,000 | $450,000 | Tech, Corporate Campuses |
| Champaign-Urbana | $50,000 | $200,000 | Education, Research, Startups |
| Springfield | $55,000 | $150,000 | Government, Healthcare |
Top Paying Industries in Illinois
Finance & Trading
Chicago is America's derivatives capital, home to CME Group, Cboe, and numerous proprietary trading firms (Citadel, Jump Trading, DRW, IMC). Quantitative traders $150,000-$500,000+, quantitative developers $130,000-$350,000, risk analysts $80,000-$150,000. Traditional finance (investment banking, asset management) pays competitively with NYC for similar roles.
Technology
Chicago's tech scene has matured significantly. Major employers include Salesforce, Google, and Microsoft offices plus homegrown companies (Grubhub, Groupon legacy, G2, Tempus). Software engineers $95,000-$170,000, product managers $100,000-$175,000, data scientists $100,000-$160,000. Fintech particularly strong.
Healthcare & Life Sciences
Northwestern Memorial, Rush, University of Chicago, and Advocate Aurora provide world-class healthcare employment. Abbott (devices), AbbVie (pharma, nearby), Baxter, and Takeda add life sciences. Physicians $270,000-$500,000+, nurses $65,000-$95,000, pharma/biotech scientists $90,000-$160,000.
Consulting & Professional Services
McKinsey, BCG, Bain, and Big Four maintain significant Chicago practices. Strategy consultants $90,000-$250,000, management consultants $80,000-$200,000. Legal services at major firms pay $200,000+ for associates.
| Industry | Entry Level | Mid-Career | Senior Level |
|---|---|---|---|
| Quantitative Trading | $150,000 | $300,000 | $500,000+ |
| Software Engineering | $85,000 | $125,000 | $175,000+ |
| Investment Banking | $120,000 | $200,000 | $400,000+ |
| Healthcare (Physicians) | $270,000 | $350,000 | $500,000+ |
| Consulting | $90,000 | $160,000 | $300,000+ |
Illinois Tax Analysis
Flat 4.95% Income Tax
Illinois's flat rate applies to all income levels:
| Salary | IL Tax (4.95%) | CA Tax | NY Tax |
|---|---|---|---|
| $75,000 | $3,710 | $4,800 | $4,200 |
| $100,000 | $4,950 | $7,100 | $6,000 |
| $150,000 | $7,425 | $12,500 | $10,000 |
| $300,000 | $14,850 | $29,000 | $22,000 |
Illinois income tax is moderate, particularly favorable for high earners compared to NY/CA.
Property Tax Reality
Illinois has among the nation's highest property taxes—averaging 2.23%, with many suburbs exceeding 2.5-3%. On a $500,000 home, expect $11,000-$15,000+ annually. This significantly impacts total cost of living.
Chicago-Specific Taxes
Chicago adds various taxes: higher sales tax (10.25%), restaurant tax, entertainment tax, and others. The cumulative tax burden in Chicago is higher than the state average.
Illinois Cost of Living Analysis
| Expense | Illinois | National Avg |
|---|---|---|
| Housing Index | 85 | 100 |
| Median Home Price | $270,000 | $420,000 |
| Median Rent (2BR) | $1,350 | $1,400 |
| Groceries Index | 98 | 100 |
| Utilities Index | 95 | 100 |
| Transportation Index | 105 | 100 |
Chicago Housing by Neighborhood
| Area | Median Home/Condo | Rent (2BR) |
|---|---|---|
| Gold Coast/Streeterville | $550,000 | $3,200 |
| Lincoln Park | $600,000 | $2,800 |
| Wicker Park/Bucktown | $500,000 | $2,400 |
| Lakeview | $400,000 | $2,200 |
| Logan Square | $420,000 | $2,000 |
| South Loop | $350,000 | $2,400 |
Chicago offers remarkable value for a global city—housing costs are 40-60% below NYC or San Francisco for comparable quality.
Highest Paying Jobs in Illinois 2025
| Occupation | Average Salary | Top 10% Earn |
|---|---|---|
| Quantitative Traders | $300,000 | $1,000,000+ |
| Physicians/Surgeons | $310,000 | $500,000+ |
| Investment Bankers | $200,000 | $500,000+ |
| IT Directors | $165,000 | $220,000+ |
| Software Architects | $160,000 | $210,000+ |
| Dentists | $185,000 | $290,000+ |
| Pharmacists | $125,000 | $150,000+ |
| Attorneys (BigLaw) | $200,000 | $400,000+ |
Frequently Asked Questions
Is Chicago a good value compared to NYC?
Excellent value. Chicago salaries in finance and tech are 10-20% below NYC, but housing costs are 50-60% lower. A $150,000 Chicago salary provides better lifestyle than $200,000 in NYC for most people. Similar cultural amenities, restaurants, and career opportunities.
How bad are Illinois taxes really?
Income tax (4.95%) is moderate. Property taxes are genuinely high (2.2-3%+). Chicago sales tax (10.25%) is among nation's highest. Total burden is significant but offset by lower housing costs. Compare total cost of living, not just taxes.
Is Chicago good for tech careers?
Yes, and improving. Trading firms offer top-tier compensation for quantitative roles. Enterprise software, fintech, and healthcare tech are strong. Startup scene has matured. Not Bay Area scale, but legitimate and growing with better value.
What about Chicago winters?
Cold and long. January averages 25°F with frequent subzero wind chills. Snow is common November-March. Lake effect adds to winter intensity. Those from warm climates should visit in January before committing. That said, the city functions well in winter with indoor amenities.
Are people really leaving Illinois?
Yes, Illinois has experienced population loss, primarily to Florida, Texas, and Arizona (taxes, weather). However, Chicago continues attracting young professionals for career opportunities. The state's challenges are real but shouldn't overshadow Chicago's genuine strengths.