Median household income increased by $4,440 or 6.8 percent in 2019 – the largest one-year wage growth in history.
In addition, the poverty rate declined from 11.8 percent to 10.5 percent, hitting a 50-year low, according to recently released Census Bureau data.
The 6.8 percent wage growth in 2019 exceeds the wage growth experienced during the entire Obama Administration. In 2008, median income was $59,877. By 2016, it had grown to just $62,898 – an increase of just $3,021 or just 5 percent.
Since 2016, real median household income has increased by almost 10 percent and was $68,703 in 2019. While this is benefiting Americans at every income level, lower wage workers are seeing their incomes grow faster than higher wage workers according to the Federal Reserve Bank of Atlanta.
According to the Census data, real median income increased at record levels in key demographics. African-Americans saw 7.9 percent wage growth, Hispanic Americans saw 7.1 percent wage growth, and Asian Americans saw 10.6 percent wage growth.
This strong wage growth lifted 4 million Americans out of poverty in 2018 and 2019.
This good news again demonstrates that the Trump-GOP policies of tax cuts and deregulation work.
While the Coronavirus pandemic interrupted the strong American economy, there are already signs that we are recovering quickly.
Moving forward, we need to ensure that pro-growth policies remain in law so that workers and businesses can continue recovering and thriving. While President Trump and Republicans are promising to push policies that allow the economy to regrow and have pledged to create another 10 million jobs, Democrats and Joe Biden are pushing for at least $4 trillion in tax increases.
Biden has repeatedly promised to repeal the Tax Cuts and Jobs Act which would raise taxes on businesses and Americans at every income level.