In 2022, the median family income for ages 45–54 was $91,880, the highest of any age group. Families aged 35–44 earned a median of $86,470, while those 75 and older earned just $49,070, mostly from retirement income like Social Security and pensions.
The Fed defines a family as a single main person or couple and their dependents. Income includes all sources—wages, business profits, investments, retirement money, and government benefits. People in their mid-40s to mid-50s are usually in their highest-paying jobs after years of experience and career growth, as per the report by Investopedia. The Fed uses median income instead of averages because it gives a clearer picture by cutting out the impact of a few very high or very low earners.
Income and savings go hand in hand
Your income and net worth depend on factors like education, homeownership, and spending habits. Earning more helps, but saving wisely and avoiding overspending have a bigger long-term effect. Across all age groups, the overall median U.S. household income was $70,260, showing how the 45–54 group performs much better than the national midpoint.
Families without a high school diploma earn a median of $32,430, while college graduates make $117,820. High school graduates earn $52,960, and those with some college earn $60,530. “A college degree helps get your foot in the door and signals both subject knowledge and a capacity for learning, but industry choice and skillsets are becoming increasingly important,” said Tyler Gilley, CFP, of Halbert Hargrove. He added that in fields reshaped by AI, specialized skills often matter more than broad degrees.
Homeownership builds long-term wealth
Families that own homes earn a median of $94,040, more than twice as much as renters, who earn $42,160. “Homeownership—especially with a fixed-rate mortgage—offers predictable payments, which is a major advantage for budgeting,” said Gilley. Gilley explained that rent can rise with inflation, which can outpace income growth and cause financial stress, as per the report by Investopedia.As Gilley said, paying down your mortgage principal builds equity—a form of long-term savings. But he also warned that staying disciplined, keeping liquid assets, and maintaining an emergency fund are just as important. Gilley added there’s no one-size-fits-all choice. For some people, renting can be smarter depending on their lifestyle and goals.
Net worth shows the real picture
Income only shows what comes in, but net worth shows what you keep. The median net worth for those 45–54 was $246,700, according to the Fed.
The Fed defines net worth as everything you own (like homes, vehicles, savings, investments, and businesses) minus what you owe (like mortgages, credit card debt, and loans). “Two households may earn similar incomes, but their financial security can differ dramatically based on how they manage spending,” said Gilley.
Gilley compared income to water flowing into a bucket:
- One household has lots of leaks from overspending.
- Another has fewer leaks due to smart budgeting.
The second household ends up with more savings and stability.
“The key isn’t just how much you earn, but how much you keep,” said Gilley, summing up the idea that saving wisely beats just earning more.
FAQs
Q1. What is the average income for people aged 45–54 in the U.S.?
The median family income for people aged 45–54 is $91,880, the highest among all age groups, according to the Federal Reserve.
Q2. Why do incomes peak between ages 45 and 54?
Incomes peak during these years because most people reach top career positions after decades of experience and growth.