Median Household Income in August 2025

Motio Research‘s initial estimate of U.S. median household income in August 2025 is $86,030. This figure is $1,770 (2.1%) higher than the firm’s initial estimate of median household income of $84,260 in July 2025.

The firm develops its estimates using income data collected by the U.S. Census Bureau through its monthly Current Population Survey. This survey is conducted during the week containing the 12th day of the month following the month in which its data applies. Motio Research analyzes the survey data and accounts for the effects of seasonality and inflation, 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 August 2025 is 118.7.

The following screenshot of Motio Research’s interactive chart shows how this index has changed from January 2010 through August 2025:

August 2025′s increase in Motio Research’s U.S. Real Median Household Income Index based on survey data represents a significant increase over the preceding month. Prior to June 2025, the index had been in a slowly falling trend.

The U.S. Census Bureau reported its annual median household income estimate for 2024 on 9 September 2025, finding a household at the exact middle of the U.S. spectrum of income earned $83,730. That’s roughly 2.2% above Motio Research’s estimate of $81,910 for 2024, which they projected in April 2025.

Analyst’s Notes

We find Motio’s estimate of 2024′s median household income for the U.S. is reasonably close to the official figure given the differences in survey data used to produce the U.S. Census Bureau’s annual estimate, which is collected during March each year, and Motio Research’s monthly estimates. The Census Bureau’s annual estimate is based on a much larger sampling of the U.S. population than participates in the monthly surveys Motio uses to create its monthly estimates. Coming within a three percent margin of error with respect to the “official” annual figure given the differences in data is a good outcome for Motio Research’s methodology.

Political Calculations initial estimate of median household income in June 2025 based upon our alternate methodology is $84,466, which is $723 (or 0.9%) higher than our initial July 2025 estimate of $83,743. Our median household income estimate is $1,564 (or about 1.8%) below Motio Research’s August 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 August 2025. The inflation-adjusted figures are presented in terms of constant August 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. Given that Motio Research’s estimates have increased so much in the last several months, the survey data on which they’re based may be picking up on a new rising trend that the aggregate earned income data we use to create our complementary estimate is not yet capturing.

That said, the aggregate wage and salary data underwent a significant revision in September 2025, affecting previously reported data going back to January 2020. The next pair of charts show how that data changed from what was reported in August 2025.

Revisions were typically small, less than 0.1%, in the period from January 2020 through June 2023. Much larger revisions were recorded from July 2023 through July 2025.

Those larger revisions were generally positive in the period from July 2023 through December 2023, ranging between 0% and 0.2%. The period from January 2024 through June 2024 was revised substantially downward with March 2024 seeing the biggest change, a negative adjustment of 1.07%. The period since June 2024 was revised upward, with changes ranging from 0.01% to September 2024′s biggest positive adjustment of 0.56%. Revisions since December 2024 were typically around or under 0.2%.

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)]. 26 September 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: 26 September 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)]. 11 September 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.