Motio Research's initial estimate of U.S. median household income in February 2025 is $82,651. This figure is $278 (0.3%) higher than the firm's initial estimate of median household income of $82,373 in January 2025.
Motio Research's estimates are based on income data collected by the U.S. Census Bureau through its monthly Current Population Survey, which are conducted in the month following the month in question during the week containing the 12th day of the month. The firm adjusts its monthly estimates to account for the effects of seasonality and inflation in its data, presenting its results in the form of an index with the median household income of January 2010 assigned a value of 100. The initial value of the firm's U.S. Real Median Household Income Index for February 2025 is 116.7.
The following screenshot of Motio Research's interactive chart shows how this index has changed from January 2010 through February 2025:
The firm's U.S. Real Median Household Income Index last peaked in September 2024 and has been in a flat-to-lower trend in the months since.
Motio Research also generates household income estimates for the 25th and 75th percentiles in addition to its 50th percentile (median) estimate. The firm reports the households at these positions in the income distribution saw mixed outcomes from their January 2025 levels. Here is what they reported in their 18 March 2025 press release:
The real 25th percentile household income index edged up 0.1% in January, rising to 116.0 (or $41,380). However, lower-quartile incomes have declined by 0.8% over the past three months and remain 0.5% lower than a year ago. The index also remains below its pre-Covid peak of 117.7, underscoring continued challenges in income recovery for lower-income households.
At the upper quartile, the real 75th percentile household income index dipped slightly by 0.1%, settling at 121.0 (or $148,162). Over the past three months, upper-quartile household income has increased by 0.3% and is now 1.4% higher than a year ago. Despite February's small decline, higher-income households continue to maintain a strong position well above their pre-pandemic peak of 117.6.
Motio's press release indicates their estimates suggest "ongoing softness in income growth" for lower-income households during the second month of 2025.
Analyst's Notes
Political Calculations produces estimates of median household income that complement the monthly survey-based estimates produced by Motio Research, which we derive from aggregate income data produced by the Bureau of Economic Analysis. Our initial estimate of median household income in February 2025 based upon our alternate methodology is $82,886, which is $89 (or 0.1%) higher than our initial January 2025 estimate of $82,797. Our median household income estimate is $235 (0.3%) higher than Motio Research's January 2025 estimate.
The latest update to Political Calculations' chart tracking Median Household Income in the 21st Century shows the nominal (red) and inflation-adjusted (blue) trends for median household income in the United States from January 2000 through February 2025. The inflation-adjusted figures are presented in terms of constant February 2025 U.S. dollars and are not seasonally adjusted, unlike the data used to produce Motio Research's Household Income index:
Political Calculations' monthly median household income estimates are derived from the Bureau of Economic Analysis' monthly aggregate wage and salary estimates for the U.S. population. For February 2025, this data includes very small downward revisions for November (-0.005%) and December 2024 (-0.066%). The revisions also include a larger downward revision to the aggregate income estimate for January 2025 (-0.223%).
For the latest in our coverage of median household income in the United States, follow this link!
References
U.S. Bureau of Economic Analysis. Table 2.6. Personal Income and Its Disposition, Monthly, Personal Income and Outlays, Not Seasonally Adjusted, Monthly, Middle of Month. Population. [Online Database (via Federal Reserve Economic Data)]. Last Updated: 28 March 2025. Accessed: 28 March 2025.
U.S. Bureau of Economic Analysis. Table 2.6. Personal Income and Its Disposition, Monthly, Personal Income and Outlays, Not Seasonally Adjusted, Monthly, Middle of Month. Compensation of Employees, Received: Wage and Salary Disbursements. [Online Database (via Federal Reserve Economic Data)]. Last Updated: 28 March 2025. Accessed: 28 March 2025.
U.S. Department of Labor Bureau of Labor Statistics. Consumer Price Index, All Urban Consumers - (CPI-U), U.S. City Average, All Items, 1982-84=100. Not seasonally adjusted. [Online Database (via Federal Reserve Economic Data)]. Last Updated: 12 March 2025. Accessed: 12 March 2025.
Image credit: U.S. Census Bureau. We modified the public domain image to make it more generally applicable beyond reporting the median household income from 2022.
Labels: median household income
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