U.S. poverty rate hits record low as median income reaches historic high

The U.S. Census Bureau reported that the official poverty rate fell to a record low of 10.2% in 2025, marking the second consecutive annual decline. This figure represents approximately 34.5 million people. Additionally, the official poverty rate for children reached a historic low of 13.4%.

Median household income reached a record high of $87,460, representing a 2.6% increase. The Supplemental Poverty Measure, which accounts for non-cash government benefits and taxes, placed the poverty rate at 13.1%.

While the data shows economic growth, analysts note that the official poverty rate only captures pre-tax cash income and does not include non-cash assistance such as SNAP, housing subsidies, or Medicaid. The uninsured rate also remained near historic lows, though 26.7 million people lacked health coverage at some point during the year.