Cottonwood is a medium-sized city located in the state of Arizona. With a population of 12,939 people and six associated neighborhoods, Cottonwood is the 50th largest community in Arizona.

A relatively large number of people in Cottonwood telecommute to their jobs. Overall, about 8.36% of the workforce works from home. While this may seem like a small number, as a fraction of the total workforce it ranks among the highest in the country. These workers are often telecommuters who work in knowledge-based, white-collar professions. For example, Silicon Valley has large numbers of people who telecommute. Other at-home workers may be self-employed people who operate small businesses out of their homes.

In terms of college education, Cottonwood is somewhat better educated than the 21.84% who have a 4-year degree or higher in the typical US community: 27.46% of adults 25 and older in the city have at least a bachelor's degree.

The per capita income in Cottonwood in 2022 was $33,999, which is middle income relative to Arizona and the nation. This equates to an annual income of $135,996 for a family of four. However, Cottonwood contains both very wealthy and poor people as well.

Cottonwood is a very ethnically-diverse city. The people who call Cottonwood home describe themselves as belonging to a variety of racial and ethnic groups. The greatest number of Cottonwood residents report their race to be White, followed by Native American. Cottonwood also has a sizeable Hispanic population (people of Hispanic origin can be of any race). People of Hispanic or Latino origin account for 23.38% of the city’s residents. Important ancestries of people in Cottonwood include German, English, Irish, Italian, and French.

Cottonwood also has a high percentage of its population that was born in another country: 15.33%.

The most common language spoken in Cottonwood is English. Other important languages spoken here include Spanish and Polish.