Americans' Incomes Rose and Poverty Fell in 2025, Census Bureau Says
The data comes as the Federal Reserve is considering interest-rate increases that could slow economic growth.
TL;DR
- Real median household income increased by 2.6% to $87,460 in 2025.
- The poverty rate fell by nearly half a point to 10.2%.
- The decline in poverty was concentrated among families with children and working-age families.
- A broader poverty measure, accounting for social safety net gains, remained unchanged.
- The "Big, Beautiful Bill" enacted in 2025 may reduce federal outlays for low-income programs.
- The Federal Reserve is considering raising interest rates to fight inflation, a move that could slow economic growth.