Considering a career move to the Hawkeye State? Iowa presents a compelling proposition: a thriving job market in key sectors, a welcoming community, and a cost of living that is significantly lower than the national average. But what can you actually expect to earn?
Understanding the average salary is a critical first step in planning your career journey. While the statewide average provides a useful benchmark, your personal earning potential is influenced by a combination of your industry, experience, location, and education. In Iowa, the average salary typically ranges from $55,000 to $68,000 per year, but this figure is just the beginning of the story.
This guide will break down salary expectations in Iowa, explore the key factors that drive income, and provide a data-driven look at where the best opportunities lie.
Understanding Iowa's Economic Landscape
Before diving into the numbers, it's helpful to understand the state's economic backbone. Iowa's economy is a dynamic mix of traditional strengths and modern innovation. While agriculture and food processing remain vital, the state has cultivated a robust and diverse job market in several key areas:
- Advanced Manufacturing: Home to industry giants like John Deere and Rockwell Collins, Iowa is a leader in heavy machinery, electronics, and fabricated metals.
- Finance and Insurance: The Des Moines metro area is a major national hub for the insurance industry, hosting the headquarters for Principal Financial Group, EMC Insurance, and other key players.
- Biosciences and Healthcare: With world-class research institutions like the University of Iowa, the state is a center for biotechnology, healthcare delivery, and medical research.
This diverse economic base creates a wide array of professional roles, from engineering and finance to healthcare and information technology.
Average Salary in Iowa: The Numbers
When analyzing salary data, it's important to look at multiple sources to get a complete picture. Here’s how the numbers break down from the most authoritative sources.
According to the U.S. Bureau of Labor Statistics (BLS) Occupational Employment and Wage Statistics survey from May 2023, the most recent comprehensive data available:
- The mean (or average) annual wage for all occupations in Iowa is $58,190.
- The median annual wage is $48,010. The median represents the true midpoint of all salaries, meaning half of all Iowa workers earn less than this amount and half earn more. This figure is often considered a more accurate representation as it is not skewed by a small number of very high earners.
Reputable salary aggregators, which rely on user-submitted data and job postings, often report slightly higher averages.
- Salary.com reports the average salary in Iowa as of May 2024 is $68,143.
- Glassdoor states the average salary is $59,000 per year.
- Payscale lists the average base salary as $66,000 per year.
The key takeaway: A reasonable salary expectation for a professional in Iowa falls between $58,000 and $68,000, with the potential to earn significantly more depending on the factors below. Crucially, Iowa's cost of living is approximately 12% lower than the U.S. average, meaning your paycheck goes much further here than in more expensive coastal states.
Key Factors That Influence Salary
Your specific salary will be determined by a variety of personal and market-driven factors. Understanding these levers is key to maximizing your earning potential.
### Level of Education
Education is a primary driver of income. In Iowa, as elsewhere, higher educational attainment directly correlates with higher earning potential.
- High School Diploma/Equivalent: Provides access to entry-level roles, often in retail, food service, or general labor, with salaries typically clustering around the lower end of the state's pay scale.
- Associate's Degree/Trade Certification: Opens doors to skilled technical roles in areas like healthcare (e.g., nursing, radiological technicians), manufacturing (e.g., welders, machinists), and IT support, which command higher-than-average wages.
- Bachelor's Degree: This is the standard requirement for most professional roles in business, finance, engineering, marketing, and education. Graduates can expect to start at or above the state's median salary and see significant growth.
- Master's, Doctoral, or Professional Degree: Advanced degrees are essential for the highest-paying professions, including physicians, lawyers, university professors, and senior corporate executives.
### Years of Experience
Experience is arguably the most significant factor in salary growth throughout a career.
- Entry-Level (0-2 years): Professionals just starting their careers can expect to earn on the lower end of the scale for their profession, typically in the $40,000 to $55,000 range for degree-holders.
- Mid-Career (5-9 years): With a proven track record, professionals can expect a significant jump in salary, often moving well above the state average into the $65,000 to $90,000 range, depending on the field.
- Senior/Experienced (10+ years): Senior-level professionals, managers, and executives with extensive experience can command six-figure salaries, particularly in high-demand industries.
### Geographic Location
Where you work within Iowa matters. Metropolitan areas with a higher concentration of corporate headquarters and a higher cost of living typically offer higher salaries.
- Des Moines-West Des Moines Metro: As the state's capital and largest economic hub, this area generally offers the highest salaries, particularly in finance, insurance, and government sectors.
- Cedar Rapids: A major center for manufacturing and technology, Cedar Rapids also offers competitive professional salaries.
- Iowa City: As the home of the University of Iowa, this area is a hub for healthcare, research, and education, with salaries reflecting the specialized nature of those fields.
- Davenport-Moline-Rock Island (Quad Cities): This bi-state metro area has a strong manufacturing and logistics base with corresponding salary levels.
- Rural Areas: While the cost of living is lowest in rural Iowa, salaries are also generally lower to match the local economy.
### Industry and Company Size
The industry you work in and the size of your employer have a direct impact on your pay.
- High-Paying Industries: Based on BLS data, the highest-paying major industries in Iowa are Management, Healthcare Practitioners, Computer and Mathematical, and Architecture and Engineering.
- Company Size: Large, national or multinational corporations (e.g., John Deere, Principal, Collins Aerospace) typically offer higher pay scales, more robust benefits packages, and more structured salary growth than smaller, local businesses.
### Area of Specialization
Your specific job title is a critical factor. Niche skills and high-demand roles command a premium. According to the BLS, some of the highest-paying occupations in Iowa include:
- Anesthesiologists: >$239,200
- Surgeons: >$239,200
- Chief Executives: $236,150
- Family Medicine Physicians: $227,690
- Airline Pilots, Copilots, and Flight Engineers: $209,790
- Computer and Information Systems Managers: $157,110
Job Outlook
The future looks bright for Iowa's workforce. According to Iowa Workforce Development projections, total employment in the state is expected to grow steadily. The sectors projected to see the most significant growth include Health Care and Social Assistance, Construction, and Professional and Business Services.
This indicates strong, sustained demand for skilled professionals, nurses, technicians, and business leaders, suggesting that wage growth will remain competitive for those with the right skills.
Conclusion
Iowa offers a landscape of opportunity for professionals seeking a rewarding career and an exceptional quality of life. While the statewide average salary provides a helpful starting point, your potential earnings are far from average.
Key Takeaways:
- The average salary in Iowa is a solid foundation, typically between $58,000 and $68,000.
- This salary is amplified by a low cost of living, giving you greater purchasing power.
- Your earning potential is maximized by focusing on high-demand industries like healthcare, finance, and advanced manufacturing.
- Gaining experience, pursuing higher education, and targeting jobs in metropolitan areas like Des Moines are proven strategies for increasing your income.
For those willing to build their skills and pursue opportunities in the state's thriving sectors, a career in Iowa is not just a job—it's a path to financial stability and a high-quality life.