Friday, June 24, 2016

Household Income Falls in May 2016

We're backtracking. Median household income in May 2016 fell below the median of December 2007 (the start of the Great Recession) after having surpassed it since November 2015, according to Sentier Research. The May 2016 median of $56,853 was slightly below the $57,024 median of December 2007, after adjusting for inflation. We've fallen behind again. 

There is some good news in Sentier's latest monthly update, however. The May 2016 median was 1.8 percent higher than the May 2015 median, and 8.9 percent above the $52,229 median of August 2011—the low point in Sentier's household income series. Sentier's household income estimates are derived from the Census Bureau's monthly Current Population Survey.

Median household income in May 2016 was 1.6 percent higher than the median of June 2009, which marked the end of the Great Recession. But it was 0.3 percent below the median of December 2007, the start of the Great Recession. It was 1.5 percent below the median of January 2000. The Household Income Index for May 2016 was 98.5 (January 2000 = 100.0).

Source: Sentier ResearchHousehold Income Trends: May 2016

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