Generational Income Growth Is Slowing

Using a posttax, posttransfer income series from 1963–2023 based on the CPS Annual Social and Economic Supplement, researchers compare five U.S. generations at ages 36–40 and find Millennials’ median household income is about 20% higher than the prior generation — a clear slowdown from mid‑20th century gains. The study attributes much of the recent slowdown to stalled growth in women's work hours and notes that younger adults' apparent progress often relies on greater parental support. — If true, the pattern reframes debates about intergenerational justice, education policy (returns to college), labor‑market policy for women, and demographic forecasts tied to economic prospects.