Updated
Updated · CNBC · Sep 15
US Real Household Income Rises 2.6% to $87,460 as 2025 Poverty Falls to 10.2%
Updated
Updated · CNBC · Sep 15

US Real Household Income Rises 2.6% to $87,460 as 2025 Poverty Falls to 10.2%

3 articles · Updated · CNBC · Sep 15

Summary

  • $87,460 was the median U.S. household income in 2025 after inflation, up 2.6% from a year earlier, while the poverty rate fell nearly half a point to 10.2%, Census Bureau data showed.
  • An improving labor market appears to have driven the gains, with poverty declines concentrated among families with children and working-age households rather than retirees.
  • The release lands just before the Federal Reserve's rate decision, with inflation still running at 3.4% in August and the average new 30-year mortgage rate back above 7% last week.
  • The data cover 2025 and do not reflect economic shifts since the Iran war began, while a separate poverty measure that includes safety-net benefits was unchanged.
  • That broader measure could face pressure as Republicans' 2025 tax-and-policy law tightens aid eligibility; the CBO projects SNAP spending will drop by $211 billion through 2035.

Insights

With 2025 showing record income gains, why are millions suddenly losing their food assistance and healthcare coverage this year?
Will the recent expiration of healthcare subsidies and stricter food aid rules completely erase the historic economic gains of 2025?