Income inequality dips, fewer people move

Income inequality dipped, more people had college degrees, fewer people moved to a different home and the share of Asian and Hispanic residents increased in the United States last year, according to figures released Thursday by the U.S. Census Bureau. These year-to-year changes, big and small, from 2023 to 2024 were captured in the bureau's data from the American Community Survey, the largest annual audit of American life. The survey of 3.5 million households asks about more than 40 topics, including income, housing costs, veterans status, computer use, commuting, and education. Here's a look at how the United States changed last year. Income inequality dips Income inequality — or the gap between the highest and lowest earners — in the United States fell nationwide by nearly a half percent from 2023 to 2024, as median household income rose slightly, from $80,002 to $81,604. Five Midwestern states — Iowa, Nebraska, Ohio, South Dakota and Wisconsin — had statistically significant dips, along with Georgia, Massachusetts, New Jersey, Oregon and Puerto Rico. North Carolina was the only state to see a statistically significant rise in inequality. North Carolina State economist Michael Walden said it reflected the state generating high-paying jobs in tech and other professional sectors, while the post-pandemic labor shortage which raised wages in lower-paying service jobs had ended. In South Dakota, which had a leading 4% drop, the inequality dip "could reflect stronger growth in the household income among lower and middle income households (or smaller growth in the income of the highest brackets)," state demographer Weiwei Zhang said Wednesday in an email. In Nebraska, it could be high employment rates across all demographic groups since "high employment leads to income, thus less income inequality," said Josie Schafer, director of the Center for Public Affairs Research at the University of Nebraska Omaha. In Massachusetts, one of the traditional strengths of the state's economy — high-paying jobs in life science, high tech and research — has been sluggish in the past two years, said Mark Melnik, director of economic and public policy research at a University of Massachusetts Amherst institute. "The typical jobs in this industry are the kind of thing that helps Massachusetts have the highest per capita (income) in the country but also exacerbates some elements of income inequality," Melnik said. Greater diversity and fewer people married The United States became more demographically diverse, and fewer people were married from 2023 to 2024. The non-Hispanic white population, who identify with only a single race, dropped from 57.1% to 56.3%, while the share of the nation's Asian population rose from 6% to 6.3% and the Hispanic population rose from 19.4% to 20%. The rate of the Black population stayed the same at 12.1%, as did the American Indian Alaska Native alone population at 1%. In the marriage department, the share of men who have never married increased from 37.2% to 37.6%, and it rose from 31.6% to 32.1% for women. Fewer people moved, as costs of renting and owning homes rose Last year, only 11% of U.S. residents moved to another home, compared to 11.3% in the previous year. The decline of people moving this decade has been part of a continuous slide as home prices have skyrocketed in some metros and interest rates have gone up. In 2019, by comparison, 13.7% of U.S. residents moved. The monthly costs for U.S. homeowners with a mortgage rose to $2,035 from $1,960. Homeowners with a mortgage in California ($3,001), Hawaii ($2,937), New Jersey ($2,797), Massachusetts ($2,755), and the District of Columbia ($3,181) had the highest median monthly costs. Costs for renters also increased as the median rent with utilities went from $1,448 to $1,487.