mrdirt said:
Latest Census figures from 2008 to 2012 show that a typical household earned $53,000. Per capita income in the last 12 months came in at $28,000. This tends to surprise people especially with the high cost of living that has been brought on by the slow process of inflation. One of the better ways for looking at average income is by going into Social Security figures since this looks at all income earned in the country. According to the latest Social Security figures the average salary in the US is $44,321. Yet Social Security income data comes with a cap at $117,000 for 2014, the maximum taxable earnings limit. The average income in the US according to the Census is $81,400 and this goes beyond the Social Security cap rates. That however is a big difference from the per capita income of $28,000 being reported by the Census. Why? Well the Social Security and Census data for averages also looks at high income earners that will certainly skew income figures to the higher end, much more so in Census figures. For the purposes of economic discussion, the most important income figures are per capita income and household median income. For a consumption based economy, what does it say when the average American is not seeing their income grow?