Wages are stagnant we are told. Looking at these data says incomes are not stagnant.
Much is made of the low income for seniors, but at least at age 65 there is little difference among age groups.
We might think of the 1% as only the super wealthy billionaires, but that’s not true.
Public opinion and policy are often based on perceptions and sometimes on misleading or selective data.
The most important – or, at least, most closely watched – income statistics are: Median household income Average household income Top 1% household income
Of these, median household income is the most important statistic. Medians are more resistant to outliers and better represent a “typical” household. Average income is influenced by very high earners, although it is also a decent estimate.
Median means the midpoint of household income: half of US households made more and half less.
The numbers in this section are nominal – they are not adjusted for inflation.
In 2020, $68,400.00 was the median household income in the United States. This is up from $63,030.00 in 2019.
The average household income was $97,973.61 in 2020. It was $89,930.70 in 2019.
To be top 1% in 2020, a household needed to earn $531,020.00. $475,116.00 was the threshold last year.