What is average household income in us?
“Good income is relative to the average household income in America, which is $78,000 right now.” Real median household income in the U.S. was $78,250 in 2019 and fell to $74,580 in 2022, according to the Census Bureau.
The national median household income is $74,580, according to the most recent U.S. Census Bureau Current Population Survey data for 2022. It's a 2.3% decline from 2021 estimates of $76,330.
With the annual inflation rate for 2023 at 3.4% for the year — up from 3.1% previously — salaries aren't keeping up. A Smart Asset report based on MIT's Living Wage data found that the average salary required to live comfortably in the U.S. is $68,499 after taxes.
Only 12.3% of Americans make in the $75,000 to $99,999 range. An additional 16.4% make between $100,000 and $149,000. However, a large portion of Americans (16.2%) earn in the $50,000 to $74,999 range.
In 2020, according to Pew Research Center analysis, the median for upper income households was around $220,000 and the median for middle income households was slightly above $90,000.
But data from the U.S. Census Bureau cites a different number as the average salary: just under $75,000. What does this all mean? By the Census data, it means that if you earn between $50,000 and $150,000 a year, you are considered middle class.
A majority, 65%, say they live paycheck to paycheck, according to CNBC and SurveyMonkey's recent Your Money International Financial Security Survey, which polled 498 U.S. adults. That's a slight increase from last year's results, which found that 58% of Americans considered themselves to be living paycheck to paycheck.
On average, an individual needs $96,500 for sustainable comfort in a major U.S. city. This includes being able to pay off debt and invest for the future.
California. Annual income needed to live comfortably: $113,651.
According to the US Census Bureau, the majority of Americans (54.98%) make $50,000 per year or less, while only 18% of individual Americans make $100,000 per year or more. This means that over 80% of Americans make less than $100,000 per year.
What salary is financially stable?
The median household income in the U.S. is just under $75,000, so it makes sense that the largest proportion of those surveyed (45%) said that it's possible to be financially stable by earning between $50,000 and $100,000 a year.
Based on that figure, an annual income of $500,000 or more would make you rich. The Economic Policy Institute uses a different baseline to determine who constitutes the top 1% and the top 5%. For 2021, you're in the top 1% if you earn $819,324 or more each year. The top 5% of income earners make $335,891 per year.
Out of all 99 cities SmartAsset examined, a family of four would need a median of $226,886 to live comfortably. In Houston, the income needed drops to $175,219 — the lowest of all cities examined.
- Lower class: less than or equal to $30,000.
- Lower-middle class: $30,001 – $58,020.
- Middle class: $58,021 – $94,000.
- Upper-middle class: $94,001 – $153,000.
- Upper class: greater than $153,000.
Age Range | 75th Percentile Net Worth |
---|---|
Under 35 | $153,000 |
35-44 | $415,000 |
45-54 | $800,000 |
55-64 | $1.122 million |
To answer your specific question about income, the answer is: about $20,000 (or a little less) in yearly income put you in the top 10% of income earners in the United States in 1970.
Annual Salary | Hourly Wage | |
---|---|---|
Top Earners | $86,000 | $41 |
75th Percentile | $68,500 | $33 |
Average | $44,910 | $22 |
25th Percentile | $24,500 | $12 |
As of Apr 13, 2024, the average hourly pay for an American in the United States is $28.16 an hour. While ZipRecruiter is seeing hourly wages as high as $66.11 and as low as $7.93, the majority of American wages currently range between $15.87 (25th percentile) to $32.93 (75th percentile) across the United States.
City | Annual Salary | Hourly Wage |
---|---|---|
Belgrade, MT | $68,521 | $32.94 |
Santa Clara, CA | $67,878 | $32.63 |
New Haven, CT | $67,633 | $32.52 |
San Diego, CA | $67,000 | $32.21 |
The average debt an American owes is $104,215 across mortgage loans, home equity lines of credit, auto loans, credit card debt, student loan debt, and other debts like personal loans. Data from Experian breaks down the average debt a consumer holds based on type, age, credit score, and state.
How many Americans have no savings?
As of May 2023, more than 1 in 5 Americans have no emergency savings.
Around 23% of Americans are debt free, according to the most recent data available from the Federal Reserve. That figure factors in every type of debt, from credit card balances and student loans to mortgages, car loans and more. The exact definition of debt free can vary, though, depending on whom you ask.
The national mean salary in the United States is $56,310 according to the National Compensation Survey. That works out to be $27 per hour. So in order to be above average, you have to earn more than $28 per hour. Why not be way above average and find a job that pays $30 more than the average hourly salary?
1 ADULT | 2 ADULTS (BOTH WORKING) | |
---|---|---|
0 Children | 2 Children | |
Living Wage | $27.32 | $33.26 |
Poverty Wage | $7.24 | $7.50 |
Minimum Wage | $16.00 | $16.00 |
The 50-30-20 rule recommends putting 50% of your money toward needs, 30% toward wants, and 20% toward savings. The savings category also includes money you will need to realize your future goals.
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