The economy of the United States recorded an improvement in the main indicators of income and poverty during 2025. According to the latest report from the U.S. Census Bureau, the real median household income reached US$87,460, the highest value since this measurement began in 1967.
This figure represents a 2.6% increase compared to 2024, when the median income was US$85,210. The calculation is adjusted for inflation and allows for comparison of the evolution of households' purchasing power over time.
The Census Bureau highlighted that the median income for 2025 also surpassed the levels recorded both in 2019, before the coronavirus pandemic, and in 2024.
Additionally, the median household income after taxes increased by 3.1%, rising from US$73,760 in 2024 to US$76,060 in 2025.
The poverty rate fell to 10.2%
At the same time, the official report showed a reduction in poverty in the United States. The official poverty rate fell by 0.5 percentage points, from 10.6% recorded in 2024 to 10.2% in 2025.
In absolute terms, this represents approximately 34.5 million people below the official poverty threshold during 2025.
The indicator also showed a particularly significant evolution among minors. The child poverty rate dropped to 13.4%, a historic low for that measurement. Among the Hispanic population, the rate also reached a historic low, standing at 13.9%.
What the data says about the U.S. economy
The results published by the Census Bureau simultaneously show an increase in median household income and a reduction in the official poverty rate during 2025.
However, the agency uses different methodologies to measure poverty. The so-called Supplemental Poverty Measure (SPM), which incorporates elements such as taxes, medical expenses, labor costs, housing, and certain assistance programs, stood at 13.1% in 2025, a result that was not statistically different from that of 2024.
The report also noted that income inequality, measured by the Gini index, did not register a statistically significant change between 2024 and 2025.
The data corresponds to the calendar year 2025 and was prepared based on the Current Population Survey Annual Social and Economic Supplement (CPS ASEC), one of the main sources used by the U.S. government to measure income and poverty.
Thus, the new official report records two central data points: the real median household income of American households reached a historic record and the official poverty rate fell to 10.2%.
