What is the average an american makes a year

The average numbers are higher because the distribution of workers by wage is highly skewed. In , there were 34 million people below the poverty line in the US. The poverty rate in the US decreased from Since , the poverty rate in America has declined every year. It decreased from When you look at the percentage points, it might not seem that big, but take a look at real numbers: in , America had 4.

As you can see, this is the main reason why fast food and restaurant workers are always at the center of higher living wage debates. Source: Go Banking Rates. According to the Bureau of Labor Statistics, jobs in the medical field have the highest hourly wage rates. The hourly wage is higher for some specialties and lower for others.

Source: Prospective Doctor. Anesthesiologists play a crucial role during surgical procedures and their medical training takes 12 to 13 years. Source: SeniorLiving. Source: Highland Solutions. According to Statista, about 9. A-list celebrities make tens of millions of dollars every year. Typical careers that make the most are, not surprisingly, from the medical field. Other highest paying jobs also belong to the medical fields.

Source: Credit Suisse. Income inequality is closely linked to the racial divide in the United States, according to national average pay stats. Poverty is most acute among black Americans and the Hispanic communities. In , about According to the Urban Institute projections as of June 30, , the COVID pandemic response policies may reduce the poverty rates amongst all ethnic groups.

Black Americans may have a poverty rate of Hispanics may show a Among white people, the estimated poverty rate may be 6. Source: Urban. Let me add some more numbers to emphasize income inequality in the US. Source: EPI. This fact further emphasizes the scenario of income inequality in the US.

Below, you will see more about the median household income for each US state, for , based on data compiled by the US Census Bureau:. The following chart, based on the data provided by Statista, helps paint a better picture of how income is distributed in the United States according to the percentage of households holding specific income brackets:.

The US has been dealing with an income inequality problem for years, given that the highest earners tend to have a considerably larger income when compared to most individuals.

Therefore, in practice, you can expect significant differences for all income categories, including the average retirement income, average white-collar income, and average blue-collar income.

Before anything else, it is important to point out the fact that the numbers that we are about to mention refer strictly to the income of one individual, thus completely disregarding the income of their family or the income of the household. Credit Cards.

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We may earn a commission from offers on this page. Terms may apply to offers listed on this page. When you look at your paycheck, are you happy with what you see?

Or do you wonder if you should make more? While your industry and position largely dictate your earnings, you may want to know how your income compares to that of your peers or the general population. After all, the more you make, the more you can usually save for an emergency or retirement.

Wonder no more. Here's a deep dive into Americans' earnings by factors such as occupation, age, gender, and location so you can get a sense of how your paycheck stacks up. As of , the average U. When the median is considerably lower than the average, it means that there are outliers on the top end. In short, a few people who make a lot of money boost the average. As you can see, By contrast, only Editor's note: we aren't reporting the median and average salary in the U.

The U. Census Bureau tracks earnings which are made up mostly of salary and wages and income, which includes all sources of money that people bring in. Asian Americans aren't only the fastest-growing racial group in the U. By contrast, black Americans continue to lag in education, which ties directly to earnings.

In fact, a study by the Equality of Opportunity Project reveals that black students are far less likely to obtain a high school diploma or college degree than white students whose family incomes are comparable. The extent to which your income goes far or not may depend on the number of people in your household. The more bodies you need to feed and clothe, the harder it is to keep up with your expenses. Here's how U. Median income increases as family size grows, but only to a point.

Past the four-person mark, household income tends to drop. These numbers explain why so many larger families struggle financially, and why some people may be hesitant to have more than a couple of children. Compounding the problem is the fact that 's Tax Cuts and Jobs Act did away with the personal exemption, which was formerly a saving grace for families with multiple dependents.

Despite a higher standard deduction and numerous tax credits available to families with children, households with multiple dependents still have a hard time keeping up. High living costs coupled with stagnant wages explain why so many households consist of multiple earners. The need for multiple incomes often poses challenges with regard to having children. Many families can't afford child care , but they also can't afford to slash their household income in half.

It's a tricky problem with no particularly good solution at present. It's no secret that men out-earn women, even in situations where both have similar roles and qualifications. And that's telling, since self-employed folks often get to dictate their own rates. The disparity exists among government workers, too. Here are the median earnings for men:. How does your salary compare? Here's the median amount Americans earn at every age, according to data from the Bureau of Labor Statistics for the second quarter of The numbers are drastically different when broken down by gender.

Here's how much men earn in every age group:. As evidenced above, the gender pay gap is still a reality for many women. Overall, women earn just April 2, marked Equal Pay Day this year, which represents how far into the new year women symbolically had to work to earn as much as men did in the previous year.