Total Money Income

The demographic composition of the elderly changes with age. Aged units 65 to 69 are the most likely to be married couples (48.8%), while aged units 80 or older are most likely to be nonmarried women (54.1%). The younger age groups also have a greater proportion of minorities than the older cohorts.

Percentage distribution of aged units 65 or older, 2010
	65 or older	65–69	70–74	75–79	80 or older
Marital status and sex
Married couples	41.0	48.8	47.6	42.6	28.2
Nonmarried men	17.0	18.1	16.2	14.8	17.8
Nonmarried women	42.0	33.2	36.2	42.6	54.1
Race
White alone	85.2	83.0	84.6	85.7	87.5
Black alone	9.7	11.0	10.3	9.3	8.2
Asian alone	3.5	3.9	3.8	3.5	3.0
Hispanic origin	7.6	8.4	8.5	7.3	6.4
Total number of aged units (thousands)	29,640	8,468	6,676	5,354	9,142
NOTE: Totals do not necessarily equal the sum of the rounded components.

The aged are an economically diverse group. The median income for units aged 65 or older is $25,757, but there are wide differences within the total group. Approximately 13% have an income of under $10,000, and roughly 25% have an income of $50,000 or more.

Percentage with various levels of income, 2010

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Table equivalent for chart. Percentage with various levels of income, 2010
Income (dollars)	Percentage of aged units
Less than 5,000	4.7
5,000 to 9,999	8.3
10,000 to 14,999	14.0
15,000 to 19,999	12.6
20,000 to 24,999	8.8
25,000 to 29,999	8.3
30,000 to 34,999	6.0
35,000 to 39,999	5.1
40,000 to 44,999	4.0
45,000 to 49,999	3.5
50,000 to 74,999	11.4
75,000 to 99,999	5.3
100,000 or more	8.0

NOTE: Totals do not necessarily equal the sum of the rounded components.

Income differences by age are associated with differences in marital status. Median income is generally lower in older age groups. The striking differences by age are due in part to the disproportionate number of nonmarried women in older age groups.

Median income, by age and marital status, 2010

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Table equivalent for chart. Median income, by age and marital status, 2010
Age	All units	Married couples	Nonmarried persons
65 to 69	37,200	58,768	20,403
70 to 74	28,820	46,412	17,497
75 to 79	24,357	37,114	16,927
80 or older	19,457	34,826	16,097

Demographic differences are associated with different levels of median income for units aged 65 or older. Income is highest for married couples, who have a median income more than 2½ times that of nonmarried persons. Median income of white aged units is greater than that of Asian aged units and black aged units by 57 and 65 percent, respectively.

Median income, by marital status, race, and Hispanic origin, 2010

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Table equivalent for chart. Median income, by marital status, race, and Hispanic origin, 2010
	Income (dollars)
Marital status
Married couples	44,718
Nonmarried persons	17,261
Race
White alone	27,214
Black alone	16,463
Asian alone	17,977
Hispanic origin	14,400

Median real income has risen substantially over the years. Between 1962 and 2010, the income of units aged 65 or older increased even when adjusted for inflation. The increase was 115.4% for married couples and 111.6% for nonmarried persons. There were disproportionate increases by race. Between 1967 and 2010, the income of whites increased by 119.2%; that of blacks increased by 88.6%.

Change in median income, by marital status and race, selected years

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Table equivalent for chart. Constant (2010) dollar median income, by marital status and race, selected years
Year	Married couples	Nonmarried persons	White	Black
1962	20,759	8,159	--	--
1967	22,021	8,526	12,417	8,774
1971	28,848	11,032	17,477	10,192
1976	30,237	12,876	18,931	11,458
1978	31,638	13,077	19,933	10,869
1980	31,809	12,649	19,636	10,744
1982	34,188	13,287	21,354	10,801
1984	36,203	14,040	23,002	11,480
1986	37,583	14,285	23,437	11,838
1988	37,427	14,613	24,178	11,618
1990	38,960	15,261	24,261	11,657
1992	37,017	14,849	23,350	11,599
1994	36,850	15,310	23,470	12,908
1996	38,836	15,707	23,562	13,410
1998	40,368	16,073	25,357	12,594
2000	39,493	16,101	25,060	15,617
2002	39,345	15,988	24,368	14,545
2004	40,287	16,160	25,048	14,433
2006	41,431	17,228	26,671	15,575
2008	43,638	16,971	26,512	16,769
2010	44,718	17,261	27,214	16,463
NOTE: -- = not available.

Income Sources

Social Security is the most common source of income for units aged 65 or older. Nearly 9 out of 10 aged units receive Social Security benefits. Asset income is the next most common source of income, received by more than half of the aged. Two-fifths receive retirement benefits other than Social Security, and more than one-quarter have earnings. Public assistance and veterans' benefits are each received by less than 4%. Noncash benefits, including food stamps and housing and energy assistance, are received by almost 12%.

Percentage receiving income from specified source, 2010

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Table equivalent for chart. Percentage receiving income from specified source, 2010
Source of income	Percent
Social Security	86.3
Asset income	51.9
Retirement benefits other than Social Security	39.7
Public and private	2.3
Public only	13.0
Private only	24.4
Earnings	26.3
Veterans' benefits	3.7
Cash public assistance	3.7
Noncash benefits	11.8

Social Security provides at least half of total income for a majority of beneficiary aged units. In 2010, 87.8% of married couples and 85.3% of nonmarried persons aged 65 or older received Social Security benefits. Social Security was the major source of income (providing at least 50% of total income) for 53.1% of aged beneficiary couples and 74.1% of aged nonmarried beneficiaries. It was 90% or more of income for 22.5% of aged beneficiary couples and 46.1% of aged nonmarried beneficiaries. Total income excludes withdrawals from savings and lump-sum payments from IRAs or 401(k)s; it also excludes in-kind support, such as food stamps and housing and energy assistance.

Percentage of aged beneficiary units receiving Social Security benefits, by relative importance of benefits to total income, 2010

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Table equivalent for chart. Percentage of aged beneficiary units receiving Social Security benefits, by relative importance of benefits to total income, 2010
	All beneficiary units	Beneficiary married couples	Nonmarried beneficiaries
50% or more of income	65.3	53.1	74.1
90% or more of income	36.3	22.5	46.1

Aged groups differ in their likelihood of receiving earnings, but not pensions. Earnings are received by a greater percentage of aged units in the youngest group than in the oldest group—48.6% compared with 7.5%. In all age groups, there is little difference in the likelihood of having a public or private pension.

Percentage receiving income from earnings and pensions, by age, 2010

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Table equivalent for chart. Percentage receiving income from earnings and pensions, by age, 2010
Age	Earnings	Private pensions	Public pensions
65 to 69	48.6	22.8	15.3
70 to 74	30.2	27.3	16.0
75 to 79	18.5	29.3	16.7
80 or older	7.5	28.1	14.2

Receipt of income from major sources varies by race and Hispanic origin. Among units aged 65 or older, whites are more likely than Asians, blacks, or Hispanics to receive Social Security, pensions, and income from assets. Receipt of earnings varies little by race and Hispanic origin. Minority aged units are more likely to receive Supplemental Security Income (SSI) than are whites.

Percentage receiving income from major sources, by race and Hispanic origin, 2010

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Table equivalent for chart. Percentage receiving income from major sources, by race and Hispanic origin, 2010
Major source of income	White alone	Black alone	Asian alone	Hispanic
Social Security	87.8	81.2	63.7	72.7
Asset income	55.9	24.9	34.5	24.4
Pensions	41.6	29.9	24.0	18.5
Earnings	26.8	22.5	24.2	25.7
SSI	2.6	7.5	10.6	8.7

Receipt of Social Security has become nearly universal. In 1962, 69% of units aged 65 or older received Social Security benefits; in 2010, 86% of them did. Most of that increase occurred in the 1960s. Receipt of other pension income, which more than doubled from 1962 to 1992, has decreased slightly since then. The proportion of aged units with asset income, which had been about two-thirds since 1980, has dropped since 1990 and leveled off since 2000. The proportion with earnings has declined since 1971 and has been between 20% and 25% since 1980. The proportion receiving public assistance has also declined and is now about a third of its 1962 level.

Change in percentage receiving income from major sources, selected years

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Table equivalent for chart. Percentage receiving income from major sources, selected years
Year	Social Security	Pensions	Asset income	Earnings	Cash public assistance
1962	69	18	54	36	13
1967	86	22	50	27	12
1971	87	23	49	31	10
1976	89	31	56	25	11
1978	90	32	62	25	10
1980	90	34	66	23	10
1982	90	35	68	22	8
1984	91	38	68	21	9
1986	91	40	67	20	7
1988	92	42	68	22	7
1990	92	44	69	22	7
1992	92	45	67	20	7
1994	91	42	67	21	6
1996	91	41	63	21	6
1998	90	43	63	21	5
2000	90	41	59	22	5
2002	90	41	55	22	5
2004	89	41	55	24	4
2006	88.5	41.3	54.9	24.6	3.7
2008	87.2	40.7	54.4	26.4	3.9
2010	86.3	39.7	51.9	26.3	3.7

Receipt of asset income is associated with relatively high median income. The median income of units aged 65 or older with asset income is more than twice that of those with no asset income ($38,059 compared with $16,800). Aged units with no asset income are concentrated in the lowest income categories—one-fourth have a total income below $10,000, and approximately one-fifth have an income of $30,000 or more. Among aged units with asset income, 4% have a total income of less than $10,000, and over half have an income of $30,000 or more.

Percentage with various levels of income, by receipt of asset income, 2010

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Table equivalent for chart. Percentage with various levels of income, by receipt of asset income, 2010
Income (dollars)	With asset income	Without asset income
Less than 10,000	4.1	22.3
10,000 to 19,999	17.3	36.4
20,000 to 29,999	17.1	17.1
30,000 or more	61.5	23.8

Receipt of earnings and retirement benefits also affects total income. About 10.0% of units aged 65 or older have no retirement benefits. Of those, 53.1% have earnings, and their median income is $52,000; 46.9% have no earnings, and their median income is $0. In the absence of earnings, median income rises markedly with the number of retirement benefit types received, from $15,434 with one retirement benefit type to $33,557 with two. For units with both earnings and retirement benefits, median income is $50,363 for those with one retirement benefit type and $67,254 for those with two.

Median income, by receipt of earnings and retirement benefits, 2010

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Table equivalent for chart. Median income, by receipt of earnings and retirement benefits, 2010
Receipt of retirement benefits	With earnings	With no earnings
No retirement benefits	52,000	0
One retirement benefit type	50,363	15,434
Two retirement benefit types	67,254	33,557

NOTE: Retirement benefit types are Social Security, Railroad Retirement, government pension, and private pension or annuity.

Shares of Aggregate Income

Social Security provides the largest share of aggregate income for units aged 65 or older. Aggregate income for the aged population comes largely from four sources. Social Security accounts for 36.7%, earnings for 30.2%, pensions for 18.6%, and asset income for 11.4%. Only 3.1% comes from other sources.

Shares of aggregate income, by source, 2010

Pie chart described in previous paragraph.

NOTE: Totals do not necessarily equal the sum of the rounded components.

Shares of aggregate income from each source differ greatly by income level. Units aged 65 or older are ranked by total money income and divided into five groups of equal size called quintiles. The largest share of income for units in the lowest quintile comes from Social Security benefits (84.3%), and cash public assistance provides the second largest share (7.0%). For units in the highest income quintile, earnings provide the largest share of income (44.9%). Pensions, Social Security, and asset income (19.1%, 17.3%, and 16.1%) are similar in importance.

Shares of aggregate income for the lowest and highest income quintiles, by source, 2010

Two pie charts with tabular version below.

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Table equivalent for chart. Shares of aggregate income for the lowest and highest income quintiles, by source, 2010
Source of aggregate income	Percentage of aggregate income for lowest quintile	Percentage of aggregate income for highest quintile
Social Security	84.3	17.3
Earnings	2.4	44.9
Pensions	2.9	19.1
Asset income	1.8	16.1
Cash public assistance	7.0	0.1
Other	1.6	2.4

NOTES: The quintile limits for aged units for 2010 are $12,554, $20,145, $32,602, and $57,957.

Totals do not necessarily equal the sum of the rounded components.

Over time, Social Security has provided the largest share of aggregate income for units aged 65 or older. In 1962, it provided the largest share, followed closely by earnings. In 2010, Social Security continued to provide the largest share, but by a wider margin compared with the other major sources of income. The share from asset income increased for over 20 years but has generally declined since the mid-1980s. The share from earnings has had the opposite pattern—declining until the mid-1980s and generally increasing since then. The share from pensions had doubled by the early 1990s but has since leveled off.

Shares of aggregate income, by source, selected years

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Table equivalent for chart. Shares of aggregate income, by source, selected years (in percent)
Year	Social Security	Pensions	Asset income	Earnings	Other
1962	31.0	9.0	16.0	29.0	15.0
1967	34.0	12.0	15.0	29.0	10.0
1976	39.0	16.0	18.0	23.0	4.0
1978	38.0	16.0	19.0	23.0	4.0
1980	39.0	16.0	22.0	19.0	4.0
1982	39.0	15.0	25.0	18.0	3.0
1984	38.0	15.0	28.0	16.0	3.0
1986	38.0	16.0	26.0	17.0	3.0
1988	37.9	17.5	24.8	17.0	2.8
1990	36.4	18.3	24.5	17.7	3.1
1992	39.5	19.6	20.6	17.1	3.2
1994	42.1	18.7	17.6	18.0	3.6
1996	40.3	18.5	18.0	20.0	3.2
1998	37.6	18.7	19.9	20.7	3.1
2000	38.4	18.0	17.5	23.1	3.0
2002	39.4	19.0	13.6	24.9	3.1
2004	38.6	19.7	12.6	26.3	2.7
2006	36.7	17.9	14.9	27.8	2.7
2008	36.5	18.5	12.7	29.7	2.7
2010	36.7	18.6	11.4	30.2	3.1
Statistic was not produced in 1971.

NOTES: Totals do not necessarily equal the sum of the rounded components.

Family Income of Persons 65 or Older

The demographic composition of the elderly varies across age groups. The proportion of men to women differs little for ages 65–69, but women 80 or older greatly outnumber men 80 or older. Persons 65–69 are nearly twice as likely to be married than nonmarried, but more than half of persons 80 or older are widowed. Racial and ethnic composition varies across age cohorts as well; the younger cohorts are represented by larger proportions of minorities than the older cohorts. Approximately one-fifth of elderly persons live with nonspouse family, consistent across age categories.

Percentage distribution of persons 65 or older, 2010
	65 or older	65–69	70–74	75–79	80 or older
Sex
Men	43.6	46.0	45.8	43.2	39.1
Women	56.4	54.0	54.2	56.8	60.9
Marital status
Married	55.4	64.3	62.2	56.6	38.5
Nonmarried	44.6	35.7	37.8	43.4	61.5
Widowed	27.2	12.0	19.5	28.4	50.6
Divorced	10.6	15.3	11.5	8.9	5.5
Never married	4.4	5.6	4.4	3.8	3.4
Race
White alone	86.2	84.7	85.4	87.0	88.0
Black alone	8.7	9.5	9.1	8.2	7.7
Asian alone	3.7	4.1	4.1	3.5	3.1
Hispanic origin	7.3	8.0	7.9	7.0	6.1
Living with nonspouse family	22.0	23.3	21.2	21.1	21.7
Total number of aged persons (thousands)	39,179	12,160	9,254	7,088	10,676
NOTE: Totals do not necessarily equal the sum of the rounded components.

The aged are an economically diverse group. The median family income for persons aged 65 or older is $36,714, but there are wide differences within the total group. Approximately 6.4% have family income of under $10,000, and roughly 36.1% have family income of $50,000 or more.

Percentage with various levels of family income, 2010

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Table equivalent for chart. Percentage with various levels of family income, 2010
Income (dollars)	Percent
Less than 5,000	2.1
5,000 to 9,999	4.3
10,000 to 14,999	8.6
15,000 to 19,999	9.7
20,000 to 24,999	8.1
25,000 to 29,999	8.3
30,000 to 34,999	6.8
35,000 to 39,999	5.9
40,000 to 44,999	5.3
45,000 to 49,999	4.6
50,000 to 74,999	15.2
75,000 to 99,999	7.9
100,000 or more	13.0

NOTES: Totals do not necessarily equal the sum of the rounded components.

Family income of persons 65 or older tends to be higher than the income of aged units 65 or older because it includes income from all family members, not just a spouse. In addition, each elderly person counts individually rather than as part of a marital unit; statistics based on aged units give greater weight to nonmarried persons as compared to statistics based on persons.

Family total income varies by age and sex. Median family total income is highest for the youngest cohorts. In addition, in all age groups, women have lower median family total income than men, from $44,086 for woman aged 65 to 69 to $23,484 for women aged 80 or older.

Median family income, by sex and age, 2010

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Table equivalent for chart. Median family income, by sex and age, 2010
Age	All persons	Men	Women
65 to 69	48,773	54,360	44,086
70 to 74	38,516	44,357	34,629
75 to 79	33,200	37,205	29,670
80 or older	27,892	33,614	23,484

NOTE: Family income of persons 65 or older tends to be higher than the income of aged units 65 or older because it includes income from all family members, not just a spouse. In addition, each elderly person counts individually rather than as part of a marital unit; statistics based on aged units give greater weight to nonmarried persons as compared to statistics based on persons.

Family median income varies by sex, race, and Hispanic origin. Median family income of men is roughly one-third higher than it is for women. Asians have the highest median family income, followed by whites, Hispanics, and blacks.

Median family income, by sex, race, and Hispanic origin, 2010

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Table equivalent for chart. Median family income, by sex, race, and Hispanic origin, 2010
Sex, race, or Hispanic origin	Dollars
All persons	36,714
Men	42,420
Women	32,069
White alone	37,167
Black alone	28,500
Asian alone	46,931
Hispanic	30,357

NOTE: Family income of persons 65 or older tends to be higher than the income of aged units 65 or older because it includes income from all family members, not just a spouse. In addition, each elderly person counts individually rather than as part of a marital unit; statistics based on aged units give greater weight to nonmarried persons as compared to statistics based on persons.

Family income sources vary by sex. Men are more likely than women to be in families receiving income from any source other than Social Security and public assistance.

Family income source, by sex, 2010

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Table equivalent for chart. Family income source, by sex, 2010
Source of income	All persons	Men	Women
Social Security	88.0	87.4	88.5
Asset income	56.9	58.8	55.4
Retirement benefits other than Social Security	43.0	45.4	41.0
Earnings	38.2	41.7	35.5
Veterans' benefits	4.2	5.4	3.3
Cash public assistance	4.6	3.8	5.2
Noncash benefits	10.0	7.7	11.8

NOTE: Family income of persons 65 or older tends to be higher than the income of aged units 65 or older because it includes income from all family members, not just a spouse. In addition, each elderly person counts individually rather than as part of a marital unit; statistics based on aged units give greater weight to nonmarried persons as compared to statistics based on persons.

Social Security was the major source of family total income for slightly more than half of persons 65 or older in families receiving benefits. For about one-quarter of the elderly, Social Security was most of family total income. Social Security was the predominant source of family income for one-fifth of elderly men in beneficiary families and over one-quarter of elderly women in beneficiary families. Social Security accounted for less than half of family income for nearly half of the elderly men in beneficiary families and 41.5% of elderly women in beneficiary families.

Percentage of aged persons in families receiving Social Security benefits, by sex and relative importance of family benefits to family total income, 2010

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Table equivalent for chart. Percentage of aged persons in families receiving Social Security benefits, by sex and relative importance of family benefits to family total income, 2010
	All persons	Men	Women
50% or more of income	55.3	51.0	58.5
90% or more of income	26.6	22.9	29.4

NOTE: Family income of persons 65 or older tends to be higher than the income of aged units 65 or older because it includes income from all family members, not just a spouse. In addition, each elderly person counts individually rather than as part of a marital unit; statistics based on aged units give greater weight to nonmarried persons as compared to statistics based on persons.

Poverty Status, Based on Family Income

High proportions of nonmarried and minority persons aged 65 or older are poor or near poor. The variations in family income by sex, marital status, and race are reflected in the poverty rates for those subgroups of the aged. Nonmarried persons, blacks, and Hispanics have the highest poverty rates, ranging from 15.0% to 18.0%. An additional 8.9% to 10.5% of nonmarried persons, blacks, and Hispanics have incomes between the poverty line and 125% of the poverty line (the near poor).

Poverty status, by sex, marital status, race, and Hispanic origin, 2010

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Table equivalent for chart. Poverty status, by sex, marital status, race, and Hispanic origin, 2010 (in percent)
Sex, marital status, race, or Hispanic origin	Poor	Near poor
All persons	9.0	5.7
Men	6.7	4.9
Women	10.7	6.5
Married	4.2	3.1
Nonmarried	15.0	8.9
White alone	7.7	5.3
Black alone	18.0	10.5
Asian alone	14.6	6.0
Hispanic	18.0	9.8

The oldest age group (80 or older) has the highest poverty rate. In keeping with the lower family income of older age groups, those groups generally have higher rates of poverty and near poverty (income between the poverty line and 125% of the poverty line).

Poverty status, by age, 2010

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Table equivalent for chart. Poverty status, by age, 2010 (in percent)
Age	Poor	Near poor
65 to 69	7.7	4.6
70 to 74	8.6	5.0
75 to 79	9.1	6.6
80 or older	10.7	7.2

Definitions and Notes

Income Sources

Asset income includes interest, dividends, income from estates or trusts, and net rental income or royalties.

Cash public assistance includes Supplemental Security Income and other cash public assistance payments low-income people receive, such as Aid to Families with Dependent Children (AFDC, ADC), temporary assistance to needy families (TANF), general assistance, and emergency assistance.

Earnings is the sum of income from wages and salaries and income from self-employment.

Noncash benefits include Food Stamps, energy assistance, and housing assistance. Noncash benefits are not included as money income for public assistance or total income.

Retirement benefits include Social Security, other public sources such as Railroad Retirement and government employee pensions (military, federal, state, and local), and private pensions and annuities.

Social Security includes retired-worker benefits, dependent or survivor benefits, disability benefits, transitionally insured benefits, and special age-72 benefits.

Pensions include regular payments from private pensions and annuities; government employee pensions; Railroad Retirement; and individual retirement accounts (IRAs), Keoghs, and 401(k) plans. Irregular withdrawals (lump-sum payments) from IRAs, Keoghs, and 401(k) plans are not included in the data because they do not fit the Census Bureau's definition of money income.

Income

Total money income is the sum of all income received by the aged unit before any deductions such as taxes, union dues, or Medicare premiums. Total money income does not reflect nonmoney transfers such as food stamps, health benefits, subsidized housing, payments in kind, or fringe benefits from one's employment. Total money income does not include capital gains or losses, or irregular withdrawals (lump-sum payments) from IRAs, Keoghs, or 401(k) plans.

Aggregate income is the sum of the total money income of all aged units in the population of interest. Several charts in this book present the shares of aggregate income attributable to specific sources, such as Social Security.

Source of Data

Data for this series are from the March Current Population Survey (CPS) of the U.S. Census Bureau. The CPS samples a large cross section of households in the United States each year (approximately 97,000 in March 2011). The March supplement gathers detailed information on income and labor force participation of each person 15 years of age or older in the sample households.

General Notes

This publication covers the population aged 65 or older. The unit of analysis here, with the exception of the measures of poverty and family income of persons, is the aged unit, which is a married couple living together or a person who does not live with a spouse. A married couple's age is defined as the age of the husband—unless he is under age 55 and the wife is 55 or older, in which case it is the age of the wife. The race and Hispanic origin of a married couple are determined by the husband. The unit of analysis for family income of persons and poverty is persons aged 65 or older.

Beginning with data for 2002, respondents may identify themselves in more than one racial group. The "White alone" and "Black alone" categories reflect respondents who reported only one race.

All years are calendar years.

Nonmarried men and nonmarried women include persons who are separated or married but living apart from their spouse.

Persons of Hispanic origin may be of any race.