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Have inflation-adjusted wages increased in the past decades?

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Wisconsin Watch partners withΒ GigafactΒ to produce fact briefs β€” bite-sized fact checks of trending claims. Read our methodology to learn how we check claims.

Yes.

Real median wages, or the inflation-adjusted amount of money the middle earner makes, have risen in the U.S. since the 1980s.

Real median weekly wages were 19% higher in Q1 2025 than in Q1 1985, according to the Bureau of Labor Statistics. A similar pattern can be seen across other measures of earnings: Real median household income rose from $58,930 in 1984 (in 2023 inflation-adjusted dollars) to $80,610 in 2023, an increase of 37%. Both real median weekly wages and household income faced their greatest increases in the 2010s. The former peaked in Q2 2020 at $1,195, and the latter peaked in 2019 at $81,210.

β€œReal” means the actual purchasing power of wages accounting for increases in the price of goods over time.

β€œMedian” is the middle value, meaning large income increases for top earners do not affect it.

This fact brief is responsive to conversations such asΒ this one.

Sources

Federal Reserve Bank of St. Louis:Β Employed full time: Median usual weekly real earnings: Wage and salary workers: 16 years and over

Federal Reserve Bank of St. Louis:Β Real Median Household Income in the United States

Federal Reserve Bank of Minneapolis:Β Inflation Calculator

EconoFact is a nonpartisan publication designed to bring key facts and incisive analysis to the national debate on economic and social policies. Launched in January 2017, it is written by leading academic economists from across the country who belong to the EconoFact Network.

Have inflation-adjusted wages increased in the past decades? is a post from Wisconsin Watch, a non-profit investigative news site covering Wisconsin since 2009. Please consider making a contribution to support our journalism.

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