How much (more) money we're making – January 2019
Bottom Line: In today's third story breaking down the employment report we'll explore real incomes. The average hourly wage for all Americans is currently $27.48 and with an average work week of 34.5 hours the average income is now $49,299. That’s an increase of $323 over just a month ago!
Here are the details:
- +11 cents per hour (month over month)
- Real incomes have risen by $1,577 year over year
- +3.2% year over year increase in hourly earnings
Everything about making money was better in December. More average hours worked, bigger raises, bigger bonuses – you name it. Not only is the average person earning nearly $1,600 more than a year ago, by the time you factor in the benefit of the tax cuts net take home pay is up $3,377 year over year – that's about 7% more money in your pocket!
We enter 2019 having just had the biggest increase in net take home pay since the full effect of the Reagan tax cuts kicked during the 80’s. It’s not a surprise that we have the best economy in a generation, record low unemployment rates for many demographics of Americans and biggest increase in take home pay in well over 30 years. Meaningful tax cuts work and provably benefit all Americans – especially those most in need of opportunity.
We still have one of the best job markets in the history of our country and it didn’t happen by accident. This is a teachable moment. Think back a year ago. All who suggested we’d be worse off because of the tax cuts were wrong. They’ve been consistently wrong. Those people, those news sources and politicians who attempted to mislead us are not credible sources for information. The specific information I provided to you a year ago about the benefit to you and the likely impact on the economy was spot on – including when I told you we’d see a 7% increase in take home pay and a 3%+ economy (using the JFK and Reagan) tax cuts as models.
Entering 2019 it’s as important as ever that you consider the source for information. Seek truth and share it with others.