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Americans' incomes rose and poverty fell in 2025, Census Bureau says
CNBC • • nation
Key Points:
- In 2025, real median household income in the U.S. increased by 2.6% to $87,460, while the poverty rate declined to 10.2%, according to new Census Bureau data.
- The poverty reduction was mainly seen among families with children and working-age adults, with no significant change in poverty levels among retirees.
- Treasury Secretary Scott Bessent highlighted the positive data during testimony before a House committee, despite criticism from Democrats over high gas prices and rising mortgage rates.
- The data do not reflect recent economic changes following the Iran war and do not specify causes for income gains, though an improving labor market likely contributed.
- The Federal Reserve is expected to announce a decision on raising interest rates amid inflation concerns, balancing the need to control price increases against potential economic slowdown.
