econintersect.com
       
  

FREE NEWSLETTER: Econintersect sends a nightly newsletter highlighting news events of the day, and providing a summary of new articles posted on the website. Econintersect will not sell or pass your email address to others per our privacy policy. You can cancel this subscription at any time by selecting the unsubscribing link in the footer of each email.



posted on 27 March 2015

Median Household Income Up Slightly in February 2015

from Sentier Research

According to new data derived from the monthly Current Population Survey (CPS), median annual household income in February 2015 was $54,510, not significantly different than the January 2015 median of $54,450. (The apparent month-to-month increase of $60 was not statistically significant.

The Sentier Household Income Index for February 2015 was 96.2 (January 2000 = 100).

Real median annual household income has shown some improvement since the low point in our household income series that occurred in August 2011. Median income in February 2015 ($54,510) was 2.7 percent higher than in February 2014 ($53,063), and 6.4 percent higher than in August 2011 ($51,237). The period since August 2011 has been marked by an uneven, but generally upward trend in the level of real median annual household income. Many of the month-to-month changes in median income during this period have not been statistically significant. However, the cumulative effect of the various month-tomonth changes since August 2011 resulted in the income improvement noted above. (See Figure 1 - full report here)

[click on image to enlarge]

According to Gordon Green of Sentier Research:

Even though there was not a statistically significant increase in median income between January and February, there has been a general upward trend in median income since the low-point reached in August 2011. Our time series charts clearly illustrate that although the economic recovery officially began in June 2009, the recovery in household income did not begin to emerge until after August 2011.

Highlights

The February reading on the labor market from the U.S. Bureau of Labor Statistics showed some improvement compared to January:

  • The official unemployment rate in February 2015 was 5.5 percent, down from 5.7 percent in January 2015.
  • The median duration of unemployment was 13.1 weeks in February 2015, down from 13.4 weeks in January 2015.
  • The broader measure of employment hardship, which includes the unemployed, marginally attached workers (of which discouraged workers are a subset), and persons working part-time for economic reasons, was 11.0 percent in February 2015, down from 11.3 percent in January 2015.

Real median annual household income in February 2015 can be put into broader perspective by comparisons with previous levels of household income since the recession began and dating back to the start of the last decade:

  • The February 2015 median income of $54,510 was 0.9 percent lower than the median of $54,992 in June 2009, the end of the recent recession and beginning of the "economic recovery."
  • The February 2015 median was 2.7 percent lower than the median of $56,018 in December 2007, the beginning month of the recession that occurred more than seven years ago.
  • The February 2015 median was 3.8 percent lower than the median of $56,683 in January 2000, the beginning of this statistical series.

The Sentier Household Income Index (HII) shows the value of real median annual household income in any given month as a percent of the base value at the beginning of the last decade (January 2000 = 100.0 percent):

  • The Sentier HII for February 2015 stood at 96.2 compared to 98.8 in December 2007, when the "great recession" began, and 97.0 in June 2009, when the "economic recovery" subsequently began.
  • The Sentier HII in August 2011 was 90.4 compared to 96.2 in February 2015.

Notes:

Income amounts in this report are before-tax money income and have been adjusted for inflation; income amounts have been seasonally adjusted, unless otherwise noted.

Estimates of median annual household income and the Household Income Index (HII) provide the only measures of change in household income during 2013 and 2014. The U.S. Census Bureau issued its official estimates of income and poverty for calendar year 2012 in a report released on September 17, 2013.

The estimates in this report are based on the Current Population Survey (CPS), the monthly household survey that provides official estimates of the unemployment rate. The CPS samples approximately 50,000 households and 135,000 household members each month. As is the case with all surveys, the estimates are subject to sampling and nonsampling errors. All comparisons made in the report have been tested and found to be statistically significant at the 90-percent confidence level, unless otherwise noted.

Household income is defined as the sum of the incomes of all household members. Income refers to all sources of money income including earnings from work, Social Security, interest, dividends, cash welfare, retirement pensions, unemployment compensation, veterans' benefits, etc. Income excludes capital gains and losses, and lump-sum, one-time amounts. Household income is measured before the payment of federal and state income taxes and Social Security payroll taxes.


>>>>> Scroll down to view and make comments <<<<<<




Permanent link to most recent post on this topic

Click here for Historical Releases Listing










Make a Comment

Econintersect wants your comments, data and opinion on the articles posted. You can also comment using Facebook directly using he comment block below.






Econintersect Economic Releases


search_box

Print this page or create a PDF file of this page
Print Friendly and PDF


The growing use of ad blocking software is creating a shortfall in covering our fixed expenses. Please consider a donation to Econintersect to allow continuing output of quality and balanced financial and economic news and analysis.


Take a look at what is going on inside of Econintersect.com
Main Home
Analysis Blog
Angst in America, Part 5: The Crisis We Can’t Muddle Through
Was Marx Right?
News Blog
Research Check: Are Aussie Women Ageing Up To 20 Years Faster Than US Women?
UFO Sightings Are At Record Heights
What We Read Today 28 April 2017
Kim Jong Un Pretends To Fly An Airplane
21 April 2017: ECRI's WLI Growth Index Continues to Slow
Final April 2017 Michigan Consumer Sentiment Continues Positive Trend
April 2017 Chicago Purchasing Managers Barometer New Orders Close To Three-Year High
Advance Estimate 1Q2017 GDP Quarter-over-Quarter Growth at 0.7 Percent.
Rail Week Ending 22 April 2017: Marginally Slower Week
March 2017 Median Household Income Not Significantly Different
Infographic Of The Day: The Largest Company Headquartered In Each State
Early Headlines: Asia Stocks Down, Dollar, Oil, And Gold All Up, Trump Will Pay ACA $, State Dept To Cut 9%, Trump Tax Plan, UK House Prices Drop, France GDP Growth Slows, And More
What Americans Shop For With Coupons Online
Investing Blog
Investing.com Weekly Wrap-Up 28 April 2017
Think Differently For Better Trading Results
Opinion Blog
Blockchain: A Technology Whose Time Has Come
Trump's Tax Plan Is Brilliant Politics And Even Better Economics
Precious Metals Blog
A New Age For Gold
Live Markets
28Apr2017 Market Close: Wall Street Closed Mostly Down On News The U.S. Economy Grew At Its Weakest Pace In Three Years, WTI Crude Settles In The Low 49 Handle
Amazon Books & More






.... and keep up with economic news using our dynamic economic newspapers with the largest international coverage on the internet
Asia / Pacific
Europe
Middle East / Africa
Americas
USA Government































 navigate econintersect.com

Blogs

Analysis Blog
News Blog
Investing Blog
Opinion Blog
Precious Metals Blog
Markets Blog
Video of the Day
Weather

Newspapers

Asia / Pacific
Europe
Middle East / Africa
Americas
USA Government
     

RSS Feeds / Social Media

Combined Econintersect Feed
Google+
Facebook
Twitter
Digg

Free Newsletter

Marketplace - Books & More

Economic Forecast

Content Contribution

Contact

About

  Top Economics Site

Investing.com Contributor TalkMarkets Contributor Finance Blogs Free PageRank Checker Active Search Results Google+

This Web Page by Steven Hansen ---- Copyright 2010 - 2017 Econintersect LLC - all rights reserved