The Income and Wealth Gap

The United States continues to experience economic inequality and sees large gaps in wealth and income by race, gender, and many other slices of the population. Understanding the breadth and extent of these gaps is key to formulating strategies to create positive impact. 

WAGE GAP

Black Men Earn Less on the Dollar than Males of other Races

Source: Payscale

Black Men
$
Native American Men
$
Hispanic Men
$
White Men
$
Asian Men
$

Median Black income is more than $2,000 below where it was in 2000.

Source: Economic Policy Institute

On average, black men earn 98 cents for every dollar earned by men of other races with the same experience and education doing the same job in the same location, and the racial wage gap widens as black men move up the corporate ladder.

Source: Payscale

US has lost around $16 trillion dollars since 2000 due to racial inequality.

Source: World Economic Forum

Unemployment plays a major role in income disparity. The employed share of Black workers between Nov. 2018 and Oct. 2019 was 75.7%. The figure for White workers during the same period was 80.8%.

Source: Center for American Progress

Women on average earned 82 cents for every $1 earned on average by men in 2018. Working women overall earned approximately $545.7 billion less than male workers in 2019. If the wage gap didn't exist, working women would've received an additional $9,613.13 per person.

Source: Center for American Progress and Investopedia

Number of days women have to work into the next year to earn as much as white men

Source: Business Insidera

Asian Women
White Women
Black Women
Hispanic Women

The economic impact of the coronavirus pandemic is hitting women and people of color particularly hard, adding to the income gap:

Latino households with children reported serious financial problems during the outbreak, including depleting savings, trouble paying credit card bills and other debt, and affording medical care.

Source: Harvard School of Public Health

Black households with children reported serious financial problems during the outbreak, including depleting savings, trouble paying credit card bills and other debt, and affording medical care.

Source: Harvard School of Public Health

Native American households with children reported serious financial problems during the outbreak, including depleting savings, trouble paying credit card bills and other debt, and affording medical care.

Source: Harvard School of Public Health

White households with children reported serious financial problems during the outbreak, including depleting savings, trouble paying credit card bills and other debt, and affording medical care.

Source: Harvard School of Public Health

A third of the working women 25 to 44 years old who are unemployed said the reason was child care demands. Only 12 percent of unemployed men cited those demands. There are 4.5 million fewer women employed in October than there were a year ago.

Source: Census Bureau 

INCOME AND FAMILY WEALTH

1 in 50 black families have a worth of more than $1 million opposed to 1 in 7 white families

Source: Urban Institute

A large factor in family wealth is home ownership

A study found that over the life of a home loan Black Americans pay more per year in mortgage interest, mortgage insurance premiums, and property taxes than white families.

Source: MIT and Business Insider

The difference between the average home value in a predominantly white neighborhood and a predominantly Black neighborhood was $164,000. This gap has almost doubled since 1980.

Source: Oxford and Business Insider

Scroll to Top