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As the economy sputters along, consumers are feeling the squeeze in their annual paychecks.That’s according to Sentier Research, whose latest report found household incomes have been declining ever since the recovery began in June 2009.
The numbers are striking: Yearly household income dwindled by 4.8 per cent between June 2009 and 2012 from $53,508 to $50,964, although several types of households fared much worse than that.
“Based on our data, almost every group is worse off now than it was three years ago, with the exception of households with householders 65-years-old and over,” said researcher Gordon Green.
We took a closer look at the report to see who’s falling behind:
Non-family households: This group saw its real median annual income decline by 7.5 per cent, from $33,002 to $30,512. Family households declined a little less than that by 4.7 per cent.
Single households: Men living alone saw their real median income drop by 9.4 per cent, while women’s dropped by 4.5 per cent.
Black households: Compared to white and Hispanic households, Black householders’ income declined the most by 11.1 per cent, from $35,567 to $32,498.
Householders without a college degree: People with some education but no degree saw their real median annual income slide by 9.3 per cent, from $50,948 to $46,200. Associates degree holders saw theirs taper off by 8.6 per cent, from $60,602 to $55,374.
Self-employed households: This group’s annual income fell 9.4 per cent, from $73,695 to $66,752. Private sector workers fared only a little bit better, with a decline of 4.5 per cent.
Households in the West: In contrast to households in the Midwest region which barely saw a decline, households in the West felt their yearly incomes decrease by 8.5 per cent, from $59,065 to $54,071.
Households with householders between 55 and 66: Compared to millennials who saw their real median household income drop 8.9 per cent, boomers’ declined by 9.7 per cent, from $61,716 to $55,748.
In a surprising twist, householders between 65 and 74-years-old got a boost in their income by 6.5 per cent.