Income Before Taxes: Wages and Salaries by Quintiles of Income Before Taxes: Lowest 20 Percent (1st to 20th Percentile)
CXU900000LB0102M • Economic Data from Federal Reserve Economic Data (FRED)
Latest Value
4,746.00
Year-over-Year Change
34.64%
Date Range
1/1/1984 - 1/1/2023
Summary
This economic trend measures the income before taxes for the lowest 20% of wage and salary earners in the United States. It provides insight into the economic well-being of low-income households.
Analysis & Context
This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.
Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.
About This Dataset
The Income Before Taxes: Wages and Salaries by Quintiles of Income Before Taxes: Lowest 20 Percent (1st to 20th Percentile) represents the average income, including wages and salaries, for individuals in the bottom 20% of the income distribution in the U.S. This data is used by policymakers and analysts to assess economic inequality and the financial condition of low-income Americans.
Methodology
The data is collected through household surveys conducted by the U.S. Census Bureau.
Historical Context
This trend is relevant for evaluating the economic policies and market conditions that impact low-income households.
Key Facts
- The lowest 20% of wage and salary earners had an average income before taxes of $12,704 in 2021.
- This quintile's income share has remained below 5% of total U.S. income since the 1970s.
- Low-income households spend a larger proportion of their income on necessities like housing and food.
FAQs
Q: What does this economic trend measure?
A: This trend measures the average income before taxes, including wages and salaries, for individuals in the bottom 20% of the income distribution in the United States.
Q: Why is this trend relevant for users or analysts?
A: This data provides important insights into the financial well-being of low-income households and is used to assess economic inequality and the impacts of policies on vulnerable populations.
Q: How is this data collected or calculated?
A: The data is collected through household surveys conducted by the U.S. Census Bureau.
Q: How is this trend used in economic policy?
A: This trend is relevant for evaluating the effectiveness of economic policies and market conditions in supporting the financial security of low-income Americans.
Q: Are there update delays or limitations?
A: The data is released annually with a lag, and may not fully capture short-term changes in low-income household finances.
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Citation
U.S. Federal Reserve, Income Before Taxes: Wages and Salaries by Quintiles of Income Before Taxes: Lowest 20 Percent (1st to 20th Percentile) (CXU900000LB0102M), retrieved from FRED.