Income, Poverty, and Health Insurance Coverage in the U.S. Key Findings

Published on September 13, 2024

health insurance

On September 10, 2024, the U.S. Census Bureau released its latest findings on income, poverty, and health insurance coverage for the year 2023. The report highlights notable improvements in household income and a slight reduction in poverty, while health insurance coverage rates remained largely unchanged. These findings provide important insights into the economic well-being of Americans and the impacts of various government assistance programs.

Real Median Household Income Sees Significant Growth

For the first time since 2019, real median household income saw a statistically significant annual increase, rising by 4.0% from 2022 to 2023. The median household income was $80,610 in 2023, up from $77,540 in 2022. Notably, White and non-Hispanic White households experienced significant increases in income, while income levels for Black, Asian, and Hispanic households remained unchanged.

Earnings for full-time workers also increased, with men seeing a 3.0% rise in median earnings and women seeing a 1.5% increase. However, the gender pay gap widened, with the female-to-male earnings ratio falling from 84.0% in 2022 to 82.7% in 2023.

Poverty Rates Show Slight Decrease

The official poverty rate in the United States fell by 0.4 percentage points in 2023, reaching 11.1%. This translates to 36.8 million people living in poverty, which is not significantly different from 2022. Some demographic groups saw a reduction in poverty, including White individuals, non-Hispanic White individuals, women, and those aged 18 to 64. However, the poverty rate increased for individuals identifying as Two or More Races.

The Supplemental Poverty Measure (SPM), which accounts for government assistance and geographic cost-of-living variations, rose to 12.9%, up by 0.5 percentage points from the previous year. Child poverty under the SPM also saw a concerning increase of 1.3 percentage points, bringing the child poverty rate to 13.7%.

Health Insurance Coverage Remains Steady

Health insurance coverage in 2023 remained consistent with the previous year, with 92.0% of the population—approximately 305.2 million people—having some form of coverage. Private insurance continued to dominate, covering 65.4% of the population, while 36.3% of individuals had public coverage. Employment-based insurance was the most common form of coverage, insuring 53.7% of the population.

The rate of Medicare coverage increased slightly, reflecting the growing population of individuals aged 65 and older. However, the uninsured rate for children under 19 years old saw a slight uptick, increasing by 0.5 percentage points to 5.8% in 2023.

Conclusion

The 2023 findings from the U.S. Census Bureau paint a picture of gradual economic recovery, with notable increases in household income and a slight decrease in poverty. However, the widening gender pay gap and increased child poverty under the Supplemental Poverty Measure are areas of concern. Meanwhile, health insurance coverage remains stable, with private and employment-based insurance remaining the most common forms of coverage.

For a deeper dive into these statistics, the U.S. Census Bureau’s full reports on income, poverty, and health insurance coverage are available, providing a more detailed look at the economic landscape in the United States.