The Average Salary For Each Age Range In 2023 Has Been Released & It Seems We Are All Underpaid
Many people pointed out that their salaries don't match with the increasing cost of living.
fizkes / Shutterstock With the cost of living steadily increasing, many people are struggling to make a livable wage and live comfortably.
Money seems to be on everyone's minds nowadays, and in a TikTok video, a finance creator shared the average amount that each age range has earned within the last year, and it's quite a disappointing reality.
The average salary for each age range in 2023 was revealed and it seems we're all being underpaid.
In the video, the content creator who offers tips, insights, and resources into everything related to finance, explained the average salary by age in 2023:
- 16- to 19-year-olds earn $31,772 per year
- 20- to 24-year-olds make $38,324 per year
- 25- to 34-year-olds earn $52,936 per year
- 35- to 44-year-olds earn $63,596 per year
- 45- to 54-year-olds make $64,428 per year
- Ages 55 to 64 earn $63,336 per year
- Those over 65 make $54,184 per year
This data came from Forbes and revealed that the median American earnings peak in the 45 to 54 age range. The biggest jump in salary from one age group to the next is between 20 to 24 and 25 to 34, meaning that’s when most people make the most substantial jumps in their careers. Younger earners in the 16 to 19 age group tend to make an average of 49.92% less than older workers.
When factoring in education, Forbes found that the median salary for people older than 25 with a bachelor’s degree is 76.24% higher than those with only a high school diploma. Furthermore, the median salary for people older than 25 with an advanced degree is 70.64% higher than those with a bachelor’s degree, and 143.54% higher than those with an associate degree.
People in the comments section were flabbergasted at the data and admitted that the numbers don't quite match up with what they are being paid at work. Others claimed they were being paid more than the average salary but still felt as if they didn't have any money left over after paying all of their bills and expenses.
According to a Florida realtor, people making $50 an hour make up most of the middle class.
In a TikTok video, a Florida realtor named Freddie Smith explained that the "new middle class" is made up of working-class adults earning $50 an hour at their jobs.
"What’s bizarre is the hourlies are not matching up at all,” he added. “There are people in fast food joints with no experience that can get started for $16 an hour, but yet there are job postings where they want a Bachelor’s or Master’s degree starting you off at $17 an hour. That, in my opinion, is minimum wage."
Most Americans do not feel comfortable financially.
In a survey conducted by Bank of America and shared with CNN, 67% of employees say the cost of living is outpacing growth in their salary and wages. High inflation is a major reason why just 42% of employees say they feel financially well, which is the lowest percentage in the 13-year history of the survey.
Likewise, 64% of employees say they are stressed about their finances. Among older Millennials, those aged 35 to 44, 80% report feeling stressed about money.
"There was a time when companies believed it wasn’t their obligation to have employees feel financially well," Lorna Sabbia, head of retirement and personal wealth solutions at Bank of America told CNN. "Companies now realize it has a direct impact on productivity, absenteeism, engagement and loyalty."
There is no beating around the bush here, working-class Americans feel as if they are being underpaid, even if their salary is supposed to look good on paper. They're either not making enough money, or the money they're making isn't matching up with the cost of living in this country.
Nia Tipton is a Chicago-based entertainment, news, and lifestyle writer whose work delves into modern-day issues and experiences.