The latest Census Bureau Current Population Survey data now show that middle-class incomes, after adjusting for inflation, have surged by $5,003 since 2017. Median household income has now reached $65,976 – an all-time high and up more than 8% in 2019 dollars.
These numbers contrast sharply with the 16 years prior to 2017 in a period of not real tax reform. From 2001 to 2017 incomes rose by about $1,500 while in less than three years middle incomes have risen three times faster!
The Heritage Foundation estimates that the average household has saved $1,400 a year on their federal taxes from the 2017 Trump tax cut. This means many working-class families now have a $6,000 higher after-tax, and after-inflation paycheck today.
The TCJA is in place for exactly this reason – to help the middle class and give people a better quality of life all around. These rises in income have been one of the biggest middle-class success stories in modern times, and it is a testament to the success of the 2017 TCJA and its lasting effects!