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How Much Does the Average American Make? The Average Salary in The U.S.

angelawatson
Angela Mae Updated: February 22, 2024 • 6 min read
How Much Does the Average American Make

According to the Federal Reserve Bank of St. Louis, adults' median annual income is $40,480. Meanwhile, the median salary per household is $74,580 (in 2022)

The U.S. Census Bureau gathered data over the past 12 months from anyone aged 15 and older to get the median. It then lines up all income values in numerical order to find the middle value, the median. Half of all households make either more or less than this value.

Knowing the median income is helpful for those who want a salary comparison with their peers. It’s also a good way of telling if they’re getting paid a fair amount in their industry.

So, how much does the average American make? It depends on factors such as gender, age range, education level, and geographic location. With that in mind, here are some recent statistics to understand where your annual net income stacks up.

Key Statistics - Summary of Average U.S. Income in 2024

  • The median U.S. household income in 2022 was $71,737, a slight decrease from the 2021 median of $76,330.
  • The average U.S. salary in 2024 is estimated at around $59,384, reflecting a 5.4% increase compared to 2022.
  • US Average Salary: The average salary in the United States is $56,940 annually.
  • Top-Paying Jobs in America: The top-paying jobs in America are in the healthcare, finance, and technology industries.

U.S. average salaries by sector

Average American Income In Healthcare

    • Surgeon: $250,000+
    • Dentist: $150,000+
    • Nurse Practitioner: $100,000+
    • Pharmacist: $120,000+
    • Physical Therapist: $80,000+

Healthcare salary 

Average US Finance Salary

    • Investment Banker: $200,000+
    • Financial Analyst: $100,000+
    • Accountant: $70,000+
    • Insurance Agent: $60,000+
    • Financial Advisor: $90,000+

Average Salary Finance

US Average Technology Salary

    • Software Engineer: $120,000+
    • Data Scientist: $110,000+
    • Web Developer: $90,000+
    • Network Engineer: $80,000+
    • Cybersecurity Analyst: $100,000+

Technology Salary

3. Monthly Average American Salary: The average monthly salary in the United States is $4,745.

4. US Salary by State: The average salary in the United States varies by state. The states with the highest average salaries are California ($75,276), New York ($71,628), and Massachusetts ($69,939). The states with the lowest average salaries are Mississippi ($41,776), West Virginia ($43,480), and Arkansas ($44,352).

5. US Median Family Income: The median family income in the United States is $71,000 per year. 

6. Average US Salary by Age: Individuals aged 56-64 earned the highest median income of $83,812.

7. US Income by Race: In 2021, Asian Americans had the highest median income of $100,572, while white Americans earned $74,932.

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Median U.S. Annual Income by Year

The median U.S. household income was $71,737 in 2022. This is about a 1% ($67,521) decrease from the median household income in 2021. For the most part, the average annual income has gone up in the past few decades.

Here is data on the median income:

Year Median household income (by year) Median individual income (by year)
2022 $74,580 $40,480
2021 $76,330 $40,460
2020 $76,660 $40,420
2019 $78,250 $40,980
2018 $73,030 $38,960
2017 $72,090

$37,690

2016 $70,840 $37,310
2015 $68,410 $36,610
2014 $64,900 $34,780
2013 $65,740 $33,950
2012 $63,350 $33,510
2011 $63,350 $33,650
2010 $64,300 $34,160

According to the U.S. Bureau of Labor Statistics, the average annual income for full-time workers (households) in 2021 was $51,480. In the second quarter of 2022, it was around $54,132.

One thing to note is that the information from the Bureau of Labor Statistics may differ from that of the Census Bureau. This is because they use different methods to collect and analyze data.

Demographics Stats

When determining the median or average income, gender and age play a major role. The median and potential lifetime earnings can vary quite a bit based on these factors. Additionally, the income data for these demographics show interesting patterns in the median U.S. salary. They also make it easier to make more accurate salary comparisons.

Median Annual Income by Gender

As of 2022, female employees who worked full-time year-round still earned less than their male counterparts. There has been some progress towards achieving equal pay and bridging the annual income.

However, there is still a significant gap in earnings based on gender. The data shows that female workers earn $6,544 to $14,521 less than their male peers. Several factors may contribute to why female workers tend to make a lower annual net income than their male peers. These may include:

  • The need to work fewer hours due to raising children or taking care of elderly parents
  • Men working at jobs or in industries that traditionally pay higher
  • Certain demographics receive more discrimination when it comes to annual U.S. salary

Here’s an overview of earnings based on gender for the past decade or so. The data pertains to those who work year-round at full-time civilian jobs.

Median American Income Male vs. Female

Year Median U.S. income (male) Median U.S. income (female)
2022 $69,636 $63,092
2021 $49,378 $36,273
2020 $49,389 $35,838
2019 $49,378 $36,273
2018 $48,182 $33,661
2017 $47,589 $33,671
2016 $ 45,541 $33,311
2015 $ 45,468 $33,046
2014 $ 44,477 $31,076
2013 $ 44,775 $30,485
2012 $ 42,825 $30,363
2011 $ 43,069 $30,623
2010 $ 43,764 $31,532

Average American Salary

The median annual income for both males and females generally increased from 2014 to 2020. In 2020, the female-to-male earnings ratio was 0.830. This is not a significant change from the previous year. However, it is an improvement over previous years.

The Average American make by Age

Age is another notable factor in terms of average income and median earnings. Historically, people make the highest amount in their 40s to 60s. This may be because they are more established and/or experienced in their career. On the other hand, younger workers tend to make less money.

Here’s the average income by age:

Age Average income
65 years old and up $78,320
55 to 64 years old $84,744
45 to 54 years old $79,840
35 to 44 years old $63,472
25 to 34 years old $45,632
15 to 24 years old $26,136

Annual Earnings by Education Level

The educational attainment level often makes a difference in how much an individual earns each year throughout their career. Here are some other quick statistics on the annual earnings based on education level:

  • People who’ve attended college typically earn more money than those with only a high school diploma.
  • On average, people with a bachelor’s degree make more than twice as much money as people without one.
  • Those with a bachelor’s degree make around 34.3% more than the median income when compared to those without a college education.

Here’s the most recent census data on the median income by education level.

Year 2019 2019 2020 2021 2022
Bachelor’s degree or higher $73,064 $73,817 $74,564 $75,305 $75,940
Some colleges (no degree) $45,682 $46,335 $46,583 $46,831 $47,079
High school diploma only $37,934 $38,487 $38,642 $38,797 $38,952
No high school diploma $22,580 $22,817 $22,917 $22,967 $23,017

For the most part, people made around $2,000 more per year in 2019 than they did in 2020. This is regardless of educational attainment level.

Keep in mind that the data does not necessarily account for the type of degree obtained nor how desirable it is in the job market. Higher degrees and certain majors tend to yield a higher salary than others.

 

Highest Earning Starting Salaries

Positions in the STEM industries (science, technology, engineering, and math) tend to have the highest starting salaries for new graduates. These fields have been in high demand for years, and they continue to be so now.

Other positions with a high starting salary include finance, construction, architecture, and business. Here’s a comparison table for the top 15 starting jobs by salary:

  Job title Median income (base salary)
1 Software Engineer / Systems Engineer $70,000
2 Engineer (Electrical or Mechanical) $68,000
3 Programmer Analyst $64,008
4 Civil Engineer $61,500
5 Economist $60,000
6 Construction Positions $60,000
7 Statistician / Data Scientist / Data Analyst $60,000
8 Financial Analyst / Investment Banking Analyst $60,000
9 Registered Nurse $58,928
10 Business Analyst / Network Administrator $58,000
11 Physicist / Computer Programmer $55,000
12 Mathematician $54,018
13 Accountant $52,000
14 Laboratory Technician $50,000
15 Architect / Project Designer $50,000

Median Income By State

State Median household income Median female income Median male income
District of Columbia $101,027 $75,051 $92,206
New Jersey $96,346 $47,965 $64,161
Maryland $94,991 $52,005 $64,352
Massachusetts $94,488 $50,993 $63,228
Hawaii $92,458 $46,268 $60,340
California $91,551 $51,894 $66,918
Washington $91,306 $50,641 $65,952
New Hampshire $89,992 $44,387 $60,988
Colorado $89,302 $50,896 $64,384
Utah $89,168 $44,745 $59,132
Connecticut $88,429 $43,759 $59,352
Alaska $88,121 $55,513 $61,089
Virginia $85,873 $45,154 $59,681
Minnesota $82,338 $42,108 $54,636
Delaware $82,174 $41,015 $57,015
Rhode Island $81,854 $41,054 $55,762
New York $79,557 $44,122 $56,787
Illinois $76,708 $40,803 $53,212
Oregon $75,657 $43,267 $52,860
Arizona $74,568 $43,134 $52,588
Vermont $73,991 $41,366 $50,314
Georgia $72,837 $37,560 $52,290
Idaho $72,785 $37,338 $47,760
Nevada $72,333 $41,458 $51,728
Texas $72,284 $39,615 $52,823
North Dakota $71,970 $36,360 $49,687
Pennsylvania $71,798 $37,129 $49,823
Wisconsin $70,996 $37,729 $49,696
Wyoming $70,042 $35,491 $46,466
South Dakota $69,728 $39,667 $46,097
Nebraska $69,597 $36,125 $45,713
Iowa $69,588 $37,539 $46,554
Maine $69,543 $38,133 $43,511
Florida $69,303 $37,868 $51,225
Kansas $68,925 $35,281 $44,145
Montana $67,631 $36,916 $44,047
North Carolina $67,481 $37,445 $46,497
Michigan $66,986 $35,523 $45,613
Indiana $66,785 $33,881 $46,426
Ohio $65,720 $35,194 $45,901
Tennessee $65,254 $35,565 $45,792
Missouri $64,811 $34,068 $43,546
South Carolina $64,115 $34,515 $43,017
New Mexico $59,726 $32,409 $42,040
Alabama $59,674 $28,708 $37,760
Oklahoma $59,673 $31,917 $39,797
Kentucky $59,341 $29,963 $40,002
Arkansas $55,432 $27,689 $36,159
Louisiana $55,416 $27,628 $40,651
West Virginia $54,329 $27,810 $34,293
Mississippi $52,719 $24,804 $32,424
Puerto Rico $24,112 $13,532 $17,250

Conclusion

Anyone who wants to make a salary comparison for their annual net income should start with the median U.S. salary for their demographic. Although the numbers may vary, this is a great way of determining whether they’re making a competitive salary or not. It’s also helpful for those who want to know how much the average American makes.

Remember, census data can provide an estimate, but many factors play into what the median U.S. salary is. This includes employment type, age, gender, and industry.

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FAQs

What is a good average salary in the US?

A good average salary is $67,521, the annual median income in the U.S. For some people, a lower or higher annual salary may be required. This depends on factors like short-term and long-term goals, lifestyle preferences, and specific circumstances. For example, someone with high amounts of student debt or medical bills may need to make more money. On the other hand, someone living in an inexpensive neighborhood with minimal debt may be comfortable with a lower salary.

What percentage of Americans make over $100k?

Around 24% of Americans make at least $100,000, according to census data.

What percentage of Americans have a net worth of over $1M?

According to CNBC, around 8% of Americans have a net worth of at least $1 million. Other research puts that number at closer to 10%.

angelawatson
Written by Angela Mae

Angela Mae is a personal finance writer specializing in loans, debt management, investing, retirement planning, and financial literacy. She comes from a journalistic background and pulls from hands-on experience and deep-dive research to breathe life into her stories. Her goal is to help others achieve financial stability and independence. When not writing, she can be found traveling, honing her yoga skills, hiking, or exploring new means of healthy, sustainable living.