Household Income In The United States

Household Income in the United States

Household income in the United States is a measure of the combined incomes of all people sharing a particular household or place of residence. It includes every form of income, e.g., salaries and wages, retirement income, near cash government transfers like food stamps, and investment gains.

Average Household Income

As of 2020, the median household income in the United States was $68,703. The median income is the amount which divides the income distribution into two equal groups, half having income above that amount, and half having income below that amount.

Factors Affecting Household Income

Several factors can affect household income in the United States. These include education, race, age, geographical location, and gender. For instance, households headed by individuals with higher levels of education tend to have higher incomes.

Education

Education plays a significant role in determining household income. Households headed by individuals with a bachelor's degree or higher have a median income significantly higher than that of households headed by individuals with less education.

Race

Race also plays a role in household income. According to the U.S. Census Bureau, Asian households have the highest median income, followed by white, Hispanic, and black households.

Age

Age is another factor that affects household income. Households headed by individuals aged 45-64 have the highest median income.

Geographical Location

Geographical location can also significantly impact household income. Households in the Northeast and West regions of the United States tend to have higher median incomes than those in the South and Midwest.

Gender

Gender is another factor that can affect household income. Male-headed households tend to have a higher median income than female-headed households.

See Also

• Poverty in the United States
• Income inequality in the United States
• Wealth in the United States
• Economy of the United States

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