As we head into Thanksgiving and the holiday season, it’s worth pausing to look at a piece of good news that doesn’t always make the headlines. As this week’s chart shows, real median household income in the U.S. climbed to $83,730 last year, the highest level on record after adjusting for inflation.
If we had to pick a single measure to capture the typical American family’s economic well-being, real (inflation-adjusted) household incomes would be pretty high up on the list.
Now, it hasn’t been a straight line up. We experienced four years of stalled progress and rising prices. And of course this is an average we’re talking about here. Many households will fall above and below this figure. But early estimates for 2025 point to more improvement in the average—somewhere around 2% year-over-year.
That’s at least some good news—a positive trend—and something to be thankful for.
This is intended for informational purposes only and should not be used as the primary basis for an investment decision. Consult an advisor for your personal situation.
Indices mentioned are unmanaged, do not incur fees, and cannot be invested into directly.
Past performance does not guarantee future results.