Visualizing Net Annual Income in America

Visualizing Net Annual Income in America

July 31, 2020
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In 2019, economic inequality in the U.S. reached its highest level in more than half a century. However, the World Economic Forum recently warned that income inequality could worsen as a result of the coronavirus crisis. Here’s what we found:

How Much Americans Make In Wages

  • There were 168 million wage earners in the U.S. in 2018.
  • The amount of wages paid in 2018 was $8.4 trillion.
  • The “raw average” wage paid out to workers in 2018 was $50,000.44.
  • In the U.S., 67.43% of workers earned less than $50,000.

Distribution of Annual Income in America

Less than $30,000: 46.51%
$30,000 – $49,999: 20.93%
$50,000 – $99,999: 22.27%
$100,000 – $250,000: 8.89%
$250,000 – $1,000,000: 1.39%
More than $1,000,000: 0.09%

The coronavirus crisis is taking an even greater toll on Americans’ wages. Last week, more than 6 million Americans filed for unemployment benefits, since many nonessential businesses were forced to temporarily close their doors to promote social distancing.

However, some help is on the way. The government recently passed a $2 trillion stimulus package to jump start the economy, support small businesses, and provide temporary relief for individuals. As the coronavirus outbreak continues to rattle the economy, the long-term effects on economic equality remain to be seen.

How do you think wage inequality will change in the wake of the coronavirus? Do you think the stimulus package will help low-income workers?

Credits:

HowMuch.net, a financial literacy website

https://cdn.howmuch.net