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American Household Income Reaches Highest Level On Record

According to new Census Bureau data, inflation-adjusted median household income increased 2.6% to $87,460

Photo by Alexander Mils / Unsplash

The U.S. median household income climbed to a record high in 2025, even as Americans continued facing elevated costs for housing, food and other essentials.

According to new Census Bureau data, inflation-adjusted median household income increased 2.6% to $87,460. The agency said it was the highest level recorded since it began tracking the measure in 1967.

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The poverty rate also improved, falling 0.5 percentage point to 10.2%. Child poverty dropped one percentage point to 13.4%, its lowest recorded level. The uninsured rate was largely unchanged at 7.9%.

Median earnings for full-time, year-round workers showed little overall movement, although women’s earnings increased 3.2%.

The report said income growth comes as affordability remains a major concern for households, with grocery, utility and housing costs still high. Median income had been largely stagnant during the Biden administration before recovering to its pre-pandemic inflation-adjusted peak in 2023.

The Census measure excludes capital gains, meaning it does not fully capture wealth gains from rising stock markets.

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