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Download Income of Families and Persons in the United States: 1962 Series P-60, No. 41 October 21, 1963 INCOME OF FAMILIES AND PERSONS IN THE UNITED STATES: 1962 (Advance data on the 1962 income of .families and persons were issued in June 1963 in Current ~ophationReports, Series P-60, No. 40) For the country as a whole, 'the average and amounted to 16 million families, or jy per- (median) income of families in 1962 was about cent, of all families. In the intermediate $6,000, according to estimates released today ranges, about 9 million families, or19 percent, by the Bureau of the Census, Department of received incomes betbeen $3,000 and $5,000; and Commerce. This average was about $220, or 103 million, or 22 percent, had incomes between 4 percent, higher than in 1961, reflecting the $5,000 and $7,000. improvement in the economy throughout 1962. Since consumer prices rose approximately 1 per- Table A.--WER OF FAMILIES BY 1962 FAMILY INCW, cent during this period, not all of the in- FOR THE UNITED STATES crease in the average family income represented Number of a net gain in real income.' Family income families Average family income in current dollars has doubled in the postwar period (from $3,000 Total............................. 46,998,000 in 1947 to $6,000 in 1962). However, consumer Under 81,000.. .......................... 1,950,000 prices have risen substantially during this $1,000 to $1,999 ........................ 3,469,000 period so that only about three-fifths of the $2,000 to $2,999.. ...................... 3,901,000 4,325,000 increase in current-dollar incomes represented $3,000 to $3,999.. ...................... $4,000 to $4,999........................ 4,669,000 an increase in real income. In terms of con- $5,000 to $5,999.. ...................... 5,424,000 stant (1962) dollars, average family income $6,000 to $6,999.. ...................... 5,100,000 $7,999........................ 4,023,000 increased from $4,100 in 1947 to about $6,000 $7,000 to $8,000 to $9,999 ........................ 5,804,000 in 1962, a rise that averaged approximately $10,000 to $14,999 ...................... 6,019,000 $120 a year over this period. $15,000 and over........................ 2,314,000 The distribution of families (groups of two or more related persons residing together) by their money income in 1962 is summarized in Average family income in 1962 varied by table A (derived from table 1). About 94 mil- regions, ranging from $4,600 in the South to lion families, or 20 percent of the 47 million $6,700 in the West; with the Northeast and families in the Nation, received money incomes North Central Regions averaging $6,600 and below $3,000 in 1962. The number of families $6,300, respectively. Regional differences in in this income range declined by approximately average income were relatively greater among one-half million from the preceding year. The nonwhite than among white families. Median in- number of families with incomes of $7,000 or comes of nonwhite families ranged from $2,500 more in 1962 rose by about 1 million over 1961, in the South to $5,000 in the West (where Ne- groes represent only about one-half of the non- See -MonnLy Labor Review, March 1963, Vol. 86, white population), with the Northern regions No. 3, table D-1, page 358. averaging about $4,300. For white families, For sale by the Bureau of trhc Gem, Washingtan, D.C., 20233,50 cents. Amwl subscription (Series P-60 and P-65, combim4, $1.25. 2 A. I' b ,"*.*.b,f i - the median family income was $5,200 in the South, the male income recipients. However, even among as compared with $6,900 for the West, and $6,700 year-round full-time workers, the average incme and $6,400 for the Northeast and North Ceritral of women was substantially less than that of men, Regions, respectively. For the United States as a $3,500 as compared with $5,800. The proportion of whole, nonwhite families averaged $3,300 in 1962, women receiving income continued its marked post- as compared with $6,200 for white families. war rise in 1962, reaching 58 percent in that year Average family income in 1962 ranged from a as compared with only 39 percent in 1947. The pro- low of $1,700 for families headedbyprivate house- portion of nale income recipients,at91 percent in hold workers to $9,100 for those headed by profes- 1962, remained substantially the same as in 1947. sional workers. Families headed by self -employed These are some of the highlights from the professional workers reported the highest average inquiry on consumer income in 1962 made in Much income ($13,300), considerably higher than that 1963 in connection with the Eureau's Current Popu- received by families headed by salaried profes- lation Survey. The survey covered the civilian sional workers ($8,800). One-third of the 37 mil- noninstitutional population and members of the lion families with head an employed civilian were Armed Forces living off postorwith their families headed by persons who were engaged in one of three on post in the United States. occupation groups (sales workers, clerical work- Data on consumer income collected by the ers, or craftsmen) in which the average income Bureau of the Census cover money income only, ranged from $6,500 to $7,100. The 7 million fam- prior to deductions for taxes. The fact that many ilies headed by operatives (largely semiskilled fan families receive part of their income in the workers in manufacturing and related industries) form of rent-free housing and goods produced and had a median income of $6,000. consumed on the farm rather than in money should For men, the 1962 median income advanced to a be taken into consideration in comparing the in- high of $4,400, up $180, or 4 percent, f~omthe come of farm and nonfarm residents. preceding year. The median income of white males Since the estimates in this report are based was about $4,700 in 1962, up $230, or 5 percent, on a sample, they are subject to sampling varia- from 1961. At $2,300, the median income of non- bility. Particular care should be exercised in white lnales remained the same as in 1961. Approx- the interpretation of figures based on relatively imately 58 percent of all male income recipients small numbers of cases as well as small differences reported that they worked 50 weeks or more at between figures. Moreover, as in all field sur- full-time jobs during 1962. This was about the veys of income, the figures are subject to errors same proportion as in the preceding four years but of response and nonreporting. well below the 61 percent reported in 1957. The median income of year-round full-time male workers INCOME OF FAMILIES was $5,800 in 1962, up $160, or 3 percent, from 1961. All other male workers had an average in- Average family incomes continued upward in come of $2,200, about the same as it had been in 1962, increasing by $220, or 4 percent, to a new the preceding year. The average income of men who high of $6,000. Between 1960 and 1961, average did not work at all but depended entirely upon family income rose by only $120, or 2 percent. pensions, dividends, public assistance, or other Figure 1 illustrates the marked upward trend in such sources was about $1,400 in 1962, an increase current-dollar average family income that charac- of $160 over the previous year. The average income terized the postwar period and the interruptions in 1962 of men who were unemployed in March 1963 that took place in years of cyclical decline of was estimated at about $2,300. This was about the economic activity. The average (median) family same as the income for 1961 reported by men who income doubled during this whole period, from were unemployed in March 1962. $3,000 in 1947 to $6,000 in 1962, a rise that Women's incomes which averaged $1,300 in1962, averaged $200 a year. remained substantially the same as in the pre- The rise in average family income was accom- ceding two years, but were up $120, or 10 percent, panied by a major shift of families upward along from 1959. This relatively low median income re- the entire income scale. The proportion of fam- sults in part from the sizable proportion of fe- ilies with current-dollar incomes of less than males who worked only part time or intermittently $5,000 was cut in half (from 80 percent to 39 per- during the year, or whose income was limited to cent), whereas the proportion of families with small amounts from sources other than earnings. incomes of $10,000 and over has risen from 3 per- About one-fourth of all female income recipients cent to 18 percent over the same period. Despite in 1962 reported only the receipt of nonearned in- the marked rise in incomes that has taken place, come (pensions, rent, dividends, interest, public about one in every five families reported less assistance, etc.) as compared with one-tenth of than $3,000 in money income in 1962 (table B). Fi- 1.-INDEX OF MEDIAN FAYILY u(aQyE IN CURRDCT.AND current-dollar income adjusted for price changes. CONSTANT DOLLARS, FOR THE UNITED STATES warn The adjustment for price change in table C was l962 made by converting the income distribution for families and unrelated individuals for each year (1947 through 1x1) into 1962 dollars on the basis of the change in the Consumer Price Index.
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