Data & Research July 16, 2010

Elderly Median Income Hits Peak in 2008

The median income level of the elderly population in 2008 was $18,001, the highest the U.S. Census Bureau’s Current Population Survey has recorded in the series, a new Employee Benefit Research Institute (EBRI) report said.

Reported by

The data for those age 65 and older in 2008 is based on the latest information on the older population’s income from the Census Bureau’s March 2009 Current Population Survey, EBRI said.

The median income level of the elderly population increased from $13,264 (in constant 2009 dollars) in 1974 to $17,507 (in 2009 dollars) in 1999. By 2004, the median income of the elderly had declined to $17,085

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Meanwhile, the average income of the elderly increased from $18,715 in 1974 to $24,076 by 1989. Following 1989, average income of the elderly was up and down, being higher in 2008 than in 1989 by $4,702.

According to the study, Social Security was the largest source of income for those currently age 65 and older, accounting for 39.8% of their income on average in 2008. Pension and annuities income was 19.7%, income from assets 13%, and income from earnings was 25.6%.

The EBRI report is at http://www.ebri.org/pdf/FFE172.14July10.Inc.Eld.Final.pdf.

(Cont...)

Income of the Older Population, Selected Years, 1974–2008

(2009 $s)

Year Median Average

1974, $13,264, $18,715

1979, $13,617, $19,669

1984, $15,381, $22,973

1989, $16,526, $24,076

1994, $16,263, $22,970

1999, $17,507, $26,619

2004, $17,085, $24,673