The Census Bureau reported that Americans' real median household income rose 2.6% to $87,460 in 2025 and the poverty rate fell to 10.2%, data celebrated by Treasury Secretary Bessent as the Federal Reserve considers whether to raise interest rates. Democrats criticized the economic data during a hearing, citing high gas prices and mortgage rates above 7%, while the administration's tax law is expected to reduce food stamp eligibility by $211 billion through 2035.
US median household income reached a record $87,460 in 2025, up 2.6%, while poverty rates fell and women's earnings gains accelerated. However, Americans report feeling financially squeezed due to persistently high prices for essentials despite Trump's campaign promises to reduce inflation, with affordability concerns exacerbated by rising energy costs.