Median household income rose to a record $87,460 in 2025, according to annual Census Bureau data. The poverty rate was 13.1 percent in 2025, the same as in 2024. Poverty for children and people over age 65 did not change, while poverty among those without a high school degree rose. The share of Americans without health insurance stayed level.

The poverty data does not capture many of the changes enacted in the sweeping Republican domestic policy bill passed in July 2025, including substantial cuts to Medicaid, the Supplemental Nutrition Assistance Program and other government aid. Analysts anticipate the effect of reductions to the social safety net will become more visible in reports covering 2026, 2027 and beyond. "In many ways, 2025 represents a base line from which we'll see bigger cuts in the years after," said Gideon Lukens, a senior fellow at the Center on Budget and Policy Priorities. "It's the calm before the storm."

Refundable tax credits shielded 6.1 million people from poverty in 2025. SNAP benefits lifted 3.1 million people out of poverty. Medical expenses drove 7.7 million people into poverty, a number that could increase as more Americans lose health coverage.

For Alicia Quirk, 30, federal programs including Medicaid and food stamps have been instrumental in keeping her family afloat. She recently learned she was losing food stamp benefits because her family's income exceeded the eligibility limit. Her husband's construction job is temporarily paused. "Everyone still has to eat, and everyone still needs all these things," she said.