Are You Really Earning Enough at 45-54? See How Your Income Compares Today

Key Takeaways Households ages 45-54 earn a median income of $91,880-the highest of any group-reflecting peak career years, greater experience, and often two full-time earners. Income levels vary widely across groups, with homeowners and college graduates earning substantially more than renters and those without a college degree. Income is just one piece of the puzzle-tracking your net worth offers a fuller picture of long-term financial health and overall stability. Household income-and wealth-shift significantly with age. Data from the Federal Reserve’s Survey of Consumer Finances show that families typically see earnings and assets rise through midlife-reaching a peak at ages 45-54. Understanding how your household compares with others your age can provide perspective on your financial health-and how to improve it. Boris_Zec / Getty Images How Much the Average 45-54-Year-Old Earns-and How That Compares to Other Age Groups The median family income for ages 45-54 was $91,880 in 2022, according to the Fed's latest survey. That figure represents the highest median income of any age group, marking the peak of most Americans’ earning years . By comparison, households ages 35-44 reported a median income of $86,470, while those 75 and older earned just $49,070, reflecting retirement income sources such as Social Security , pensions , and withdrawals from savings. In the Fed’s survey, a "family" refers to a single economically dominant person or couple and their dependents, and "income" includes all sources-from wages and business income to investments, retirement withdrawals, and government benefits. At the mid-40s to mid-50s stage of life, many households are at their peak earning years as workers reach higher-paying positions, often after decades of experience and career advancement. ( Medians are used instead of averages to reduce the influence of unusually high or low incomes.) Why This Matters to You Household income and net worth vary widely by age, education, and homeownership. Homeowners and college graduates tend to earn more, but careful spending and saving habits can have a bigger impact on financial security than income alone. What the Fed’s Data Reveal About America’s Income Gaps Although the Fed’s survey doesn’t break out income data by education level or homeownership for individual age groups, the results across U.S. households overall reveal clear patterns that likely hold for 45-54-year-olds as well. Across all households, the median U.S. income was $70,260. Education Creates the Widest Income Gaps The survey highlights especially wide income gaps tied to education. All families without a high school diploma have a median income of $32,430, compared with $117,820 for those with a college degree. In the middle are high school graduates earning a median of $52,960, and those with some college earning a median of $60,530. While a college degree "helps get your foot in the door and signals both subject knowledge and a capacity for learning, industry choice and skillsets are becoming increasingly important,” said Tyler Gilley, CFP, a wealth advisor at Halbert Hargrove in Long Beach, Calif. He noted that specialized abilities often matter more than a broad degree in fields reshaped...

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