Money and Earnings

Money and Earnings

The Great Recession was hard on all American families. But even as the economic recovery has begun to mend asset prices, not all households have benefited alike, and wealth inequality has widened along racial and ethnic lines.

Money and Earnings

The median wealth of white households was 13 times the wealth of black households and 10 times that of Hispanic households in 2013, compared with eight and nine times the wealth in 2010, respectively.

Racial, Ethnic Wealth Gaps Since Great Recession (Median HH Net Worth in $xThousands; 2013$)
Group

1983

2007

2013

White

$100.0

$192.5

$141.9

Black

10.0

19.2

11.0

Hispanic

10.0

23.6

13.7

Source: PEW Research Center, January 2015

 

The earnings gap between young adults with a bachelor’s degree or higher and those without has never been greater in the modern era, despite soaring student debt and high youth unemployment.

In 1979, when the first wave of Baby Boomers were the same age that Millennials are today, the typical high school graduate earned about three-quarters (77%) of what a college graduate made.

Today, Millennials with only a high school diploma earn 62% of what the typical college graduate earns.

Median Annual Earnings Among Full Time Workers Age 25 to 32 ($ in Thousands; 2012 Dollars)
 

Annual Earnings

Age Cohort Measured In Bachelor’s Degree 2 Year Degree College High School Grad
Silents

1965

$38.8

$33.7

28.0

Early Boomers

1979

42.0

36.5

32.3

Late Boomers

1986

44.8

34.6

30.5

Gen Xers

1995

43.7

32.2

27.9

Millennials

2013

45.5

30.0

28.0

Source: PEW Research Center, January 2015

 

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