Rhode Island Salaries 2025
Compact state with healthcare excellence and Boston access
Median Household Income
Rhode Island Salary Overview 2025
Rhode Island, the smallest U.S. state by area, offers a unique value proposition: Northeast coastal living with access to Boston's job market while maintaining lower costs than Massachusetts. The state's median household income of $71,200 approaches the national median, with healthcare, education, and defense providing stable, well-compensated employment.
The state's compact size means the entire state functions essentially as one metro area centered on Providence. Workers can live in coastal Newport, suburban Warwick, or rural western towns while accessing jobs throughout the state within a reasonable commute. Many residents commute to Boston (1 hour via Amtrak or car), accessing the larger job market while enjoying Rhode Island's beaches, restaurants, and lower housing costs.
Rhode Island's economy has evolved from its manufacturing heritage into healthcare (anchored by major hospital systems), education (Brown University, URI, RISD), defense (Naval Station Newport, Electric Boat's Rhode Island operations), and a growing technology sector. For comprehensive salary data, see salary trends 2025 and average US salary.
Rhode Island Salary Snapshot
| Metric | Rhode Island | National Average |
|---|---|---|
| Median Household Income | $71,200 | $74,580 |
| Mean Household Income | $95,500 | $97,300 |
| Per Capita Income | $39,400 | $37,638 |
| Minimum Wage (2025) | $14.00/hr | $7.25/hr (federal) |
| Cost of Living Index | 106 (6% above avg) | 100 |
| Top Income Tax Rate | 5.99% | Varies by state |
Salaries by Rhode Island Region
Providence Metro – State's Economic Core
Median Household Income: $68,000
Providence anchors Rhode Island's economy with healthcare, education, and professional services. Lifespan (Rhode Island Hospital, Miriam Hospital) and Care New England health systems employ thousands, with RN salaries of $70,000-$95,000 and physician salaries of $250,000-$450,000+. Brown University and Brown's medical school create research and academic opportunities ($60,000-$180,000+ for faculty).
Downtown Providence has attracted technology startups and creative agencies, with software engineers earning $85,000-$130,000. The city's restaurant scene, arts community (RISD influence), and waterfront development have transformed formerly declining neighborhoods into desirable areas.
East Bay (Bristol, Warren, Barrington)
Median Household Income: $85,000
The East Bay offers affluent suburban living with coastal access. Many residents commute to Providence or Boston. Roger Williams University provides education employment. The area features higher home prices ($500,000+) but excellent schools and quality of life. Professional households predominate, with incomes reflecting dual-earner families in healthcare, finance, and technology.
Newport County – Historic & Naval
Median Household Income: $72,000
Newport combines historic tourism with Naval Station Newport and the Naval War College. Military and defense contractor positions follow federal pay scales plus locality adjustments. Tourism and hospitality provide seasonal employment at varying wages. The yachting and sailing industry offers specialized marine trades positions ($50,000-$90,000). Newport's high housing costs and seasonal economy create challenges for year-round workers in hospitality.
Northern Rhode Island (Woonsocket, Cumberland)
Median Household Income: $65,000
Northern Rhode Island offers Rhode Island's most affordable housing with good access to both Providence and Boston suburbs. CVS Health's headquarters in Woonsocket anchors employment, with corporate positions paying $55,000-$150,000+. The area attracts families seeking value while accessing regional opportunities.
South County (Washington County)
Median Household Income: $78,000
South County features the University of Rhode Island, beautiful beaches, and a mix of coastal affluence and college-town economy. URI faculty earn $65,000-$160,000+. The area attracts retirees, remote workers, and families seeking beach access. Housing costs vary widely from affordable inland areas to expensive beachfront properties.
| Region | Median Income | Median Home Price | Key Industries |
|---|---|---|---|
| Providence | $68,000 | $385,000 | Healthcare, Education, Tech |
| East Bay | $85,000 | $525,000 | Professional Services |
| Newport County | $72,000 | $620,000 | Defense, Tourism, Marine |
| Northern RI | $65,000 | $340,000 | Retail HQ, Manufacturing |
| South County | $78,000 | $480,000 | Education, Tourism, Research |
Top Paying Industries in Rhode Island
Healthcare
Healthcare is Rhode Island's largest employer. Lifespan and Care New England health systems compete for talent with competitive wages. Physicians earn $240,000-$450,000+ depending on specialty. RNs earn $70,000-$95,000—above national average reflecting Northeast cost of living. The Brown Medical School connection creates research and academic medicine opportunities. Travel nurses command $2,200-$3,500/week during high-demand periods.
Defense & Naval
Naval Station Newport houses the Naval War College, Officer Candidate School, and numerous commands. Electric Boat (General Dynamics) submarine construction includes Rhode Island operations. Defense contractors (Raytheon, BAE Systems, others) maintain offices near the naval base. Engineers earn $85,000-$150,000+; civilian Navy positions follow GS scales with locality adjustments; contractors pay competitively.
Higher Education
Brown University, Rhode Island School of Design (RISD), University of Rhode Island, Providence College, and smaller institutions create significant education employment. Faculty salaries: Brown $100,000-$250,000+ for senior positions; URI $70,000-$160,000+; smaller schools $55,000-$120,000. Administrative and research positions add thousands more jobs at $45,000-$120,000+.
Technology
Rhode Island's tech sector, while smaller than Boston's, has grown with Providence's startup scene and remote work adoption. Software engineers $80,000-$130,000, data analysts $65,000-$95,000, IT managers $95,000-$140,000. Many tech workers split time between Rhode Island and Boston employers.
| Industry | Entry Level | Mid-Career | Senior Level |
|---|---|---|---|
| Healthcare (Physicians) | $240,000 | $320,000 | $450,000+ |
| Defense Engineering | $75,000 | $105,000 | $145,000+ |
| Higher Ed (Faculty) | $65,000 | $95,000 | $150,000+ |
| Nursing (RN) | $65,000 | $80,000 | $95,000+ |
| Software Engineering | $70,000 | $100,000 | $130,000+ |
Rhode Island Tax Analysis
State Income Tax Brackets (2025)
| Taxable Income | Tax Rate |
|---|---|
| $0 – $68,200 | 3.75% |
| $68,201 – $155,050 | 4.75% |
| $155,051+ | 5.99% |
Rhode Island's income tax is moderate by Northeast standards—lower than Massachusetts (flat 5%) for most income levels and significantly lower than New York or California for high earners.
Tax Comparison
| Annual Salary | RI Tax | MA Tax | Difference |
|---|---|---|---|
| $75,000 | ~$2,950 | ~$3,750 | RI saves $800 |
| $100,000 | ~$4,150 | ~$5,000 | RI saves $850 |
| $150,000 | ~$6,500 | ~$7,500 | RI saves $1,000 |
| $200,000 | ~$9,500 | ~$10,000 | Similar |
Property Tax: Rhode Island property taxes average 1.53% of home value—among the highest nationally. This somewhat offsets lower income taxes.
Sales Tax: 7% statewide, with some exemptions for clothing and groceries.
Rhode Island Cost of Living Analysis
| Expense Category | Rhode Island | National Average |
|---|---|---|
| Housing Index | 115 | 100 |
| Median Home Price | $430,000 | $420,000 |
| Median Rent (2BR) | $1,600 | $1,400 |
| Groceries Index | 102 | 100 |
| Utilities Index | 115 | 100 |
| Transportation Index | 100 | 100 |
| Healthcare Index | 105 | 100 |
Housing Comparison
| Location | Median Home | vs. Boston |
|---|---|---|
| Boston Metro | $750,000 | Baseline |
| Providence | $385,000 | 49% less |
| Northern RI | $340,000 | 55% less |
| South County | $480,000 | 36% less |
| Newport | $620,000 | 17% less |
Rhode Island's primary value proposition is housing: significantly cheaper than Boston while remaining accessible via Amtrak (Providence-Boston: 35-50 minutes) or I-95 (50-75 minutes depending on traffic).
Highest Paying Jobs in Rhode Island 2025
| Occupation | Average Salary | Top 10% Earn |
|---|---|---|
| Physicians/Surgeons | $285,000 | $450,000+ |
| Dentists | $180,000 | $280,000+ |
| Pharmacists | $128,000 | $155,000+ |
| IT Directors | $140,000 | $185,000+ |
| Defense Engineers | $115,000 | $155,000+ |
| University Professors (Senior) | $130,000 | $200,000+ |
| Financial Managers | $125,000 | $175,000+ |
| Attorneys | $110,000 | $190,000+ |
| Nurse Practitioners | $115,000 | $140,000+ |
| Software Engineers | $105,000 | $140,000+ |
Boston Commuter Strategy
Many Rhode Island residents work in Boston while enjoying Rhode Island's lifestyle and lower housing costs:
Commute Options
Amtrak/MBTA: Providence to Boston Back Bay: 35-50 minutes. Monthly unlimited: ~$400. Reliable, productive work time. Best for downtown Boston jobs.
Driving: 50-75 minutes depending on traffic. Parking in Boston: $400-$600/month. More flexible but stressful and expensive.
Hybrid: Many workers commute 2-3 days, work remotely 2-3 days—the sweet spot for many families.
Financial Math
| Category | Boston | Providence + Commute |
|---|---|---|
| Housing (mortgage/rent) | $4,000/mo | $2,400/mo |
| Commute Cost | $0 | $400/mo (train) |
| Income Tax (at $150K) | $7,500/yr | $6,500/yr |
| Net Monthly Savings | — | ~$1,500 |
Rhode Island offers meaningful savings for Boston workers willing to commute, particularly those with hybrid schedules or train-accessible jobs.
Frequently Asked Questions
Is Rhode Island worth it vs. Massachusetts?
For housing costs and beach access, yes. Providence and suburban Rhode Island offer significant savings over Boston while maintaining access to Boston jobs. The trade-off: smaller local job market, so you may need to commute or work remotely for Boston employers.
What's the job market like in Rhode Island?
Concentrated in healthcare, education, defense, and professional services. The small state means limited options in some specialized fields. Many professionals maintain Boston job connections. Remote work has expanded options significantly.
How's quality of life in Rhode Island?
Excellent for coastal lifestyle enthusiasts. Beautiful beaches, historic towns, excellent restaurants (Providence has a nationally recognized food scene), and proximity to Boston and New York. Winters are cold but milder than northern New England. Small-state politics can be frustrating.
Is Newport affordable?
Newport housing is expensive ($620,000 median home). Workers at the Naval Station or in tourism often live in more affordable nearby towns (Middletown, Portsmouth) or commute from other parts of the state. Newport's beauty and amenities come at a premium.
What industries are growing in Rhode Island?
Healthcare continues expanding, particularly at Brown-affiliated institutions. Defense (submarine construction, naval research) remains stable. Technology and life sciences are growing but still small. Offshore wind industry development may create new opportunities in coming years.