Texas cashes in among 10 best U.S. state economies in 2026 report

State Economics

Texas boasts the 8th strongest state economy in 2026. Photo via Getty Images

A new study gauging the success or decline in economic performance in every state has revealed Texas' economy remains stable in 2026 after it dropped out of the top five to No. 8 last year.

Texas boasts the No. 8 best state economy in the U.S. this year, according to WalletHub's annual "Best & Worst State Economies" report. The personal finance website's analysts ranked all 50 states and the District of Columbia across 28 relevant metrics to measure each state's economic activity and health status, and its "innovation potential."

Notably, Texas leads the nation for the most exports per capita in the U.S. in a five-way tie with Louisiana, Kentucky, North Dakota, and Indiana. Across the study's three main categories, Texas ranked highly for its economic activity (No. 7) and economic health (No. 11), and the state's "innovation potential" rank is the 24th best in the nation.

This is how WalletHub ranked Texas' economic performance, where No. 1 is considered the best and No. 25 is considered average:
  • No. 6 – Change in non-farm payrolls
  • No. 8 – Change in GDP
  • No. 8 – Startup activity
  • No. 11 – Annual median household income
  • No. 18 – Government surplus/deficit per capita
  • No. 21 – Percentage of jobs in high-tech industries
  • No. 30 – Unemployment rate
WalletHub previously ranked Texas one of the top three states to start a business in 2026, with Houston earning its own entrepreneurial acclaim in separate rankings of the best big cities for new businesses and for starting a career.

"U.S. economic growth depends heavily on the performance of individual states, and some contribute more than others," the report's author wrote. "For example, California, Texas, New York and Florida have economies so large that if they were countries, they would rank in the top 20 in the world."

The five states with the worst state economies in 2026 are Rhode Island (No. 47), Maine (No. 48), Louisana (No. 49), Kentucky (No. 50), and West Virginia (No. 51).

The top 10 best state economies for 2026 are:

  • No. 1 – Massachusetts
  • No. 2 – Washington
  • No. 3 – Utah
  • No. 4 – California
  • No. 5 – Delaware
  • No. 6 – North Carolina
  • No. 7 – New York
  • No. 8 – Texas
  • No. 9 – Colorado
  • No. 10 – Florida

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This article originally appeared on CultureMap.com.

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The 10-county Houston metro added 126,720 residents from July 1, 2024, to July 1, 2025. Photo via Getty Images

Here's how Houston ranks among the best U.S. cities to start a career

New Horizons

College graduates staying in Houston are in the right place to be, according to a new WalletHub study. Houston has emerged on a new list of the 100 best places in America for starting a career.

Houston ranked 51st out of 182 U.S. cities based on its quality of life and vast opportunities for new college graduates transitioning into the workforce. The study compared each city based on 25 relevant metrics, like the availability of entry-level jobs, each city's annual job growth rate, workforce diversity, median annual income, housing affordability, and others.

Atlanta, Orlando, and Austin respectively comprised the top three best places to start a career.

Houston ranked 48th overall for its quality of life, and appeared No. 51 for its professional opportunities for new college graduates. Whether its starting a new business or entering a high-earning job field, Houston has many more opportunities than the vast majority of other cities on the list.

"The best cities for starting a career not only have a lot of job opportunities but also provide substantial income growth potential and satisfying work conditions," said WalletHub analyst Chip Lupo. "It’s also important to consider factors such as how fun a city is to live in or how good of a place it is for raising a family, to ensure life satisfaction outside of your career."

Other Texas hotspots for early career professionals
Austin boasts the best quality of life out of all 182 cities in the report, and the 10th best professional opportunities. The state capital also outperformed all other U.S. cities with the highest monthly average starting salaries for early career workers after being adjusted for the city's cost of living. Austin also offers the 15th highest number of entry level jobs per capita, the report said.

In a separate comparison of the cities with the largest share of residents aged 25 to 34, Austin ranked No. 5 nationally.

"In addition, Austin’s median annual household income is the 10th-highest in the nation, providing strong earning potential for those starting a career or a business," the report said. "Austin is also the sixth best city for singles, offering a vibrant social scene alongside strong career opportunities for young professionals."

Elsewhere in Texas, Dallas ranked as the second-best city in Texas for new grads to start a career and 12th nationally. Additional cities that made it into the top 100 best U.S. cities for early career professionals include Plano (No. 32), Irving (No. 42), Fort Worth (No. 64), Amarillo (No. 73), and San Antonio (No. 85).

The top 10 best cities for starting a career are:

  • No. 1 – Atlanta, Georgia
  • No. 2 – Orlando, Florida
  • No. 3 – Austin, Texas
  • No. 4 – Tampa, Florida
  • No. 5 – Miami, Florida
  • No. 6 – Charleston, South Carolina
  • No. 7 – Pittsburgh
  • No. 8 – Knoxville, Tennessee
  • No. 9 – Salt Lake City, Utah
  • No. 10 – Columbia, South Carolina
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This article first appeared on CultureMap.com.

Houston jumped eight spots in the 2026 report. Sky Noir Photography by Bill Dickinson/Getty Images

Houston rises in 2026 ranking of best U.S. cities to start a business

Best for Biz

Houston has reaffirmed its commitment to a business-friendly environment and now ranks as the 26th best large U.S. city for starting a business in 2026. The city jumped up eight places after ranking 34th last year.

WalletHub's annual report compared 100 U.S. cities based on 19 relevant metrics across three key dimensions: business environment, access to resources, and costs. Factors that were analyzed include five-year business survival rates, job growth comparisons from 2020 and 2024, population growth of working-age individuals aged 16-64, office space affordability, and more.

Florida cities locked out the top five best places in America for starting a new business: Tampa, Orlando, Jacksonville, Hialeah, and St. Petersburg.

Houston's business environment ranked as the 19th best in the country, and the city ranked 51st in the "business costs" category. However, the city lagged behind in the "access to resources" ranking, coming in at No. 72 overall. This category examined metrics such as Houston's working-age population growth, the share of college-educated individuals, financing accessibility, the prevalence of investors, venture investment amounts per capita, and more.

"From the Gold Rush and the Industrial Revolution to the Internet Age, periods of innovation have shaped our economy and driven major societal progress," the report's author wrote. "However, the past few years have been particularly challenging for business owners in the U.S., due to factors such as the COVID-19 pandemic, the Great Resignation and high inflation."

Earlier this year, WalletHub declared Texas the third-best state for starting a business in 2026, and several Houston-area cities have seen robust growth after being recognized among the best career hotspots in the U.S. Entrepreneurial praise has also been extended to five local companies that were named the most innovative companies in the world, and six powerhouse female innovators that made Inc. Magazine's 2026 Female Founders 500 list.

Texas cities with strong environments for new businesses
Multiple cities in the Dallas-Fort Worth Metroplex can claim bragging rights as the best Texas locales for starting a new business. Dallas ranked highest overall — appearing 11th nationally — and Irving landed a few spots behind in the 16th spot. Arlington (No. 23), Fort Worth (No. 30), Plano, (No. 35), and Garland (No. 65) followed behind.

Only six other Texas cities earned spots in the report: Austin (No. 24), Lubbock (No. 36), Corpus Christi (No. 39), San Antonio (No. 64), El Paso (No. 67), and Laredo (No. 76).

Austin tied with Boise, Idaho and Fresno, California for the highest average growth in the number of small businesses nationally, while Corpus Christi and Laredo topped a separate list of the U.S. cities with the most accessible financing.

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This article originally appeared on CultureMap.com.

WalletHub assigns Texas a No. 13 ranking for innovation among the states. Photo via Getty Images

Texas ranks as the No. 13 most innovative state in 2026 study

innovative states

During a SXSW reception March 12 at the Governor’s Mansion in Austin, Gov. Greg Abbott hailed Texas as the No. 1 state for innovation. Personal finance website WalletHub doesn’t see it that way, though.

A new study from WalletHub assigns Texas a No. 13 ranking for innovation among the states and the District of Columbia. D.C. comes out on top, followed by Massachusetts, California, Colorado and Washington. Mississippi appears at the bottom of the list.

Texas earns an innovation score of 49.56, compared with 69.13 for top-ranked D.C. In two broad categories, Texas ranks 12th for human capital and 13th for innovation environment.

To identify the top places for innovation, WalletHub evaluated the 50 states and D.C. by reviewing 25 key indicators of innovation friendliness. The indicators include:

  • Share of STEM professionals.
  • Forecast for Share of STEM professionals
  • Forecast for STEM jobs
  • Eighth-grade math and science performance
  • Concentration of tech companies
  • R&D spending per capita
  • Share of science and engineering graduates age 25 and over
  • Average internet speed
  • Venture capital funding per capita

“The most innovative states are especially attractive to people who have majored in science, technology, engineering and math, or STEM, as they offer abundant career opportunities and investment dollars, both for jobs at existing companies and for startups,” WalletHub analyst Chip Lupo said in the report.

“These states also instill young students with the skills they need to succeed in the current workforce, skills which are useful whether or not they pursue a STEM career,” he added.

Texas zeroes in on semiconductor industry

On the innovation front, Abbott and other state leaders have focused intently on growing the state’s semiconductor industry, which generates roughly $30 billion to $60 billion in economic activity per year. Texas ranks among the top states for semiconductor manufacturing, with major operations in North Texas and Central Texas.

To bolster the industry, Abbott signed the Texas CHIPS Act into law in 2023. The law established the Texas Semiconductor Innovation Fund, which issues grants for semiconductor research, design and manufacturing, and the Texas Semiconductor Innovation Consortium, which advises the governor and state legislators on matters related to the semiconductor sector.

Among the consortium’s appointed representatives are:

  • Joe Elabd, vice chancellor for research at the Texas A&M University System
  • David Staack, deputy vice chancellor for research at the Texas A&M University System
  • Ramanan Krishnamoorti, vice president for energy and innovation at the University of Houston
  • Magesh Rajan, vice president for research and innovation at Prairie View A&M University

Semiconductor companies with a presence in the Houston area include chip manufacturer NVIDIA, which is building an AI supercomputer factory in Houston; Labtopia, a tech staffing firm that does business in the semiconductor sector; Microchip USA, a distributor of semiconductors and other electronic components that opened an office in Kingwood last year; and Infineon Technologies, which designs, develops, and manufactures semiconductors.

The Greater Houston Partnership touts the Houston area’s track record as an innovation hub.

“As a home to world-changing innovations and a talented labor pool, Houston has been an attractive region for innovation and startups across all key industries for years,” the partnership says, “and as a major player as a center of activity for the next generation of innovators and entrepreneurs.”

Houston fuels energy innovation

As for energy innovation in the Houston area, Abbott last month announced a 455-megawatt, $617 million natural gas plant that Houston-based NRG Energy is building at its Greens Bayou facility in north Harris County is now a designated project under the Texas Jobs, Energy, Technology, and Innovation (JETI) program. JETI offers economic incentives for qualifying projects.

The NRG plant is expected to begin generating power for the Electric Reliability Council of Texas (ERCOT) in 2028.

Other energy innovators in the Houston area include Chevron, ExxonMobil, Occidental’s 1PointFive subsidiary, Schneider Electric, Shell, AB Energy USA, Fervo Energy, Solugen and Syzygy Plasmonics.

One promising area for energy innovation in Houston is carbon capture, utilization, and sequestration (CCUS). A new study from the Houston Energy Transition Initiative (HETI) and Deloitte Consulting says the Houston area is positioned to take a leading role in the development of CCUS, thanks to the region’s chemical and refining industries, energy infrastructure, energy-heavy workforce and access to global markets.

“With supportive policy, continued innovation, and strong industry partnerships, we can accelerate [CCUS] deployment, create new low-carbon value chains, and ensure Houston remains at the forefront of the global energy transition,” said Jane Stricker, HETI’s executive director and senior vice president of energy transition.

Houston is home to hard workers. Photo via Getty Images

Houston clocks in as one of the hardest working cities in America

Ranking It

Houston and its residents are proving their tenacity as some of the hardest working Americans in 2026, so says a new study.

WalletHub's annual "Hardest-Working Cities in America (2026)" report ranked Houston the 37th most hardworking city nationwide. H-town last appeared as the 28th most industrious American city in 2025, but it still remains among the top 50.

The personal finance website evaluated 116 U.S. cities based on 11 key indicators across "direct" and "indirect" work factors, such as an individual's average workweek hours, average commute times, employment rates, and more.

The U.S. cities that comprised the top five include Cheyenne, Wyoming (No. 1); Anchorage, Alaska (No. 2); Washington, D.C. (No. 2); Sioux Falls, South Dakota (No. 4); and Irving, Texas (No. 5). Dallas and Austin also earned a spot among the top 10, landing as No. 7 and No. 10, respectively.

Based on the report's findings, Houston has the No. 31-best "direct work factors" ranking in the nation, which analyzed residents' average workweek hours, employment rates, the share of households where no adults work, the share of workers leaving vacation time unused, the share of "engaged" workers, and the rate of "idle youth" (residents aged 16-24 that are not in school nor have a job).

However, Houston lagged behind in the "indirect work factors" ranking, landing at No. 77 out of all 116 cities in the report. "Indirect" work factors that were considered include residents' average commute times, the share of workers with multiple jobs, the share of residents who participate in local groups or organizations, annual volunteer hours, and residents' average leisure time spent per day.

Based on data from The Organisation for Economic Co-operation and Development (OECD), WalletHub said the average American employee works hundreds of more hours than workers residing in "several other industrialized nations."

"The typical American puts in 1,796 hours per year – 179 more than in Japan, 284 more than in the U.K., and 465 more than in Germany," the report's author wrote. "In recent years, the rise of remote work has, in some cases, extended work hours even further."

WalletHub also tracked the nation's lowest and highest employment rates based on the largest city in each state from 2009 to 2024.

ranking

Source: WalletHub

Other Texas cities that earned spots on the list include Fort Worth (No. 13), Corpus Christi (No. 14), Arlington (No. 15), Plano (No. 17), Laredo (No. 22), Garland (No. 24), El Paso (No. 43), Lubbock (No. 46), and San Antonio (No. 61).

Data for this study was sourced from the U.S. Census Bureau, Bureau of Labor Statistics, U.S. Travel Association, Gallup, Social Science Research Council, and the Corporation for National & Community Service as of January 29, 2026.

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This article originally appeared on CultureMap.com.

Texas has claimed a top spot on Wallethub's Best & Worst States for Jobs report. Photo via Unsplash.

Texas ranks among 10 best states to find a job, says new report

jobs report

If you’re hunting for a job in Texas amid a tough employment market, you stand a better chance of landing it here than you might in other states.

A new ranking by personal finance website WalletHub of the best states for jobs puts Texas at No. 7. The Lone Star State lands at No. 2 in the economic environment category and No. 18 in the job market category.

Massachusetts tops the list, and West Virginia appears at the bottom.

To determine the most attractive states for employment, WalletHub compared the 50 states across 34 key indicators of economic health and job market strength. Ranking factors included employment growth, median annual income, and average commute time.

“Living in one of the best states for jobs can provide stable conditions for the long term, helping you ride out the fluctuations that the economy will experience in the future,” WalletHub analyst Chip Lupo says.

In September, Gov. Greg Abbott announced Texas led the U.S. in job creation with the addition of 195,600 jobs over the past 12 months.

“Texas is America’s jobs leader,” Abbott says. “With the best business climate in the nation and a skilled and growing labor force, Texas is where businesses invest, jobs grow, and families thrive. Texas will continue to cut red tape and invest in businesses large and small to spur the economic growth of communities across our great state.”

While Abbott proclaims Texas is “America’s jobs leader,” the state’s level of job creation has recently slowed. In June, the Federal Reserve Bank of Dallas noted that the state’s year-to-date job growth rate had dipped to 1.8 percent, and that even slower job growth was expected in the second half of this year.

The August unemployment rate in Texas stood at 4.1 percent, according to the Texas Workforce Commission. Throughout 2025, the monthly rate in Texas has been either four percent or 4.1 percent.

By comparison, the U.S. unemployment rate in August was 4.3 percent, according to the U.S. Bureau of Labor Statistics. In 2025, the monthly rate for the U.S. has ranged from 4 percent to 4.3 percent.

Here’s a rundown of the August unemployment rates in Texas’ four biggest metro areas:

  • Austin — 3.9 percent
  • Dallas-Fort Worth — 4.4 percent
  • Houston — 5 percent
  • San Antonio — 4.4 percent

Unemployment rates have remained steady this year despite layoffs and hiring freezes driven by economic uncertainty. However, the number of U.S. workers who’ve been without a job for at least 27 weeks has risen by 385,000 this year, the Bureau of Labor Statistics reported in August. That month, long-term unemployed workers accounted for about one-fourth of all unemployed workers.

An August survey by the Federal Reserve Bank of New York showed a record-low 44.9 percent of Americans were confident about finding a job if they lost their current one.
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Houston scientist wins prestigious Pew Scholar award for brain cancer research

standout scholar

Christina Tringides, an assistant professor of materials science and nanoengineering at Rice University, is one of 21 scientists to win a prestigious Pew Biomedical Scholar award.

She is the first faculty member from Rice to win the distinction, which provides $300,000 over four years for advances in biomedicine, according to the university. The awards are granted to researchers who are in the first few years at the assistant professor level.

In Tringides’ case, the funding will support her innovative new method of modeling glioblastoma, a common and extremely aggressive form of brain cancer. Thanks to producing its own blood supply, glioblastoma spreads quickly, weaving tendrils of blighted tissue throughout the brain. Because of this, surgery is difficult and conventional therapies ineffective.

Understanding the way glioblastoma spreads is crucial to the search for a cure. Tringides is using hydrogels that mimic the brain’s extracellular matrix. Using cultures and a microscopic labyrinth, her team can see how the cancer spreads, bonds with neurons and changes cell wall activity. Essentially, Tringides has devised an intelligence test for tumors in hopes of learning how to outsmart them.

“As cancer crawls through the maze, we can look at how it is interacting with the neurons more and more, and measure how electrical activity is changing as a result,” she said in a news release from Rice.

Examining how cancer cells grow can reveal which conditional changes slow them down. Finding ways to alter the structure of brain matter in a way that makes it inhospitable to the cancer could lead to therapies that would impede growth or even reverse it. Using her custom-made ersatz brain maze makes it easier to observe changes than it would be in a patient’s brain.

“Imaging synapses is time-intensive ⎯ it can involve large data files that are hard to visualize, but if we know that the only place where we might have a synapse is this tiny 1-by-4-by-10 micron channel, it makes it much faster and reliable to image them,” Tringides said.

Born in Ames, Iowa, Tringides received her doctorate in biophysics from Harvard before joining Rice in 2024 through a Cancer Prevention and Research Institute of Texas (CPRIT) recruitment award.

Her research was also one of the first four projects to receive research awards through the Rice Brain Institute and TMC Neuro Collaboration Seed Grant Program.

Texas residents earn 11th highest income in U.S., says 2026 study

Money Matters

A new WalletHub study comparing income disparities across America has ranked Texas residents No. 11 on the list of states with the highest earning residents in the nation.

The report, "States Where People Have the Highest Income (2026)," analyzed U.S. Census Bureau income data in all 50 states and the District of Columbia. The report evaluated the average annual income of the top five percent, the median annual household income, and the average annual income of the bottom 20 percent of residents in every state, all adjusted for the cost of living.

The report's data revealed the top five percent of Texans, the highest earners, make $520,378 on average yearly after adjusting for the cost of living. That's the seventh-highest income among the top five percent of earners nationwide.

Meanwhile, the median annual income of a Texas household is just under $76,000. The bottom 20 percent of Texas residents make $17,651 a year, the report found.

For additional context, the latest data from the Federal Reserve shows an American household's median yearly income is about $83,700. WalletHub analyst Chip Lupo also found that the highest earning 10 percent of individuals in the U.S. earn over 12 times more than those in the lowest-earning 10 percent, based on the latest Census data.

"By measuring the income of various percentiles against a state's median income, we can better identify where income disparities are more prevalent, which could help us better understand why residents of certain states struggle more to make ends meet," said Lupo.

Virginia is the state where residents earn the highest income in the U.S., WalletHub said. Based on the report's findings, the top five percent of Virginians make $545,097 on average per year after adjusting for the cost of living. The median annual income of a Virginia household comes out to $95,339, and the bottom 20 percent of residents make $19,671 annually on average.

Conversely, West Virginia is the state where people have the lowest income in the U.S. A West Virginia household makes a median annual income of $56,610, the third-lowest nationally, and the bottom 20 percent of residents make $13,260 on average per year, which is the fifth-lowest in the nation. The top five percent of West Virginians make $372,218 on average per year.

The top 10 states where residents have the highest income are:

  • No. 1 – Virginia
  • No. 2 – New York
  • No. 3 – New Jersey
  • No. 4 – Washington
  • No. 5 – Connecticut
  • No. 6 – Utah
  • No. 7 – Colorado
  • No. 8 – Minnesota
  • No. 9 – Illinois
  • No. 10 – Massachusetts

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This article originally appeared on CultureMap.com.

23 Houston companies rank among America’s most future-ready businesses

future focused

By one measure, Spring-based tech giant Hewlett Packard Enterprises reigns as the most future-ready Houston-area company on the S&P 500 stock index.

HPE sits at No. 72 in a first-time ranking of the best S&P 500 companies for the future. Including HPE, 23 Houston-area companies appear on the list.

Published by The Wall Street Journal, the ranking was created by Bendable Labs for the WSJ Leadership Institute. It evaluates how S&P 500 companies stack up in six areas: AI readiness, innovation, talent readiness, financial fitness, resilience and agility. To be ranked, a company had to be part of the S&P 500 as of Dec. 31.

Among the six categories, HPE ranked highest for innovation (No. 30) among local companies. The WSJ didn’t say why HPE scored so well for innovation. However, the company stands out in this category thanks to:

  • Creation of the El Capitan and Frontier supercomputing systems
  • Research into photonic computing and quantum networking
  • Last year’s $14 billion acquisition of Juniper Networks, giving HPE an edge in AI-native networking
  • Establishment of the everything-as-a-service GreenLake hybrid cloud platform for data centers, colocation facilities and edge computing environments

In an interview with the Six Five podcast at HPE Discover 2025 in Las Vegas, CEO Antonio Neri said the company’s strategy is “basically founded on innovation, and that innovation drives shareholder value over the long term.”

While HPE fared well in the innovation category, it ranked toward the bottom for financial fitness. What’s behind the No. 430 ranking in the financial category? HPE’s low score likely reflects a debt-heavy acquisition strategy coupled with a historically low-margin hardware business.

Here’s the full list of the 23 Houston-area companies included in the ranking of the best companies for the future:

  • No. 72 Hewlett Packard Enterprise
  • No. 105 SLB
  • No. 120 Baker Hughes
  • No. 125 ConocoPhillips
  • No. 158 NRG Energy
  • No. 176 Targa Resources
  • No. 185 Chevron
  • No. 195 Halliburton
  • No. 223 Coterra Energy
  • No. 229 Waste Management
  • No. 235 Exxon Mobil
  • No. 250 Kinder Morgan
  • No. 257 Quanta Services
  • No. 276 CenterPoint Energy
  • No. 285 Sysco
  • No. 313 Occidental Petroleum
  • No. 318 Camden Property Trust
  • No. 333 EOG Resources
  • No. 365 LyondellBasell Industries
  • No. 373 Comfort Systems USA
  • No. 401 Crown Castle
  • No. 408 Phillips 66
  • No. 500 APA
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