“In 2023, average income before transfers and taxes rose for households at the bottom of the income distribution and fell for those at the top. Income increased by 5 percent among households in the lowest quintile (or fifth) of the distribution from 2022 to 2023. (All measures of income in this report have been adjusted to remove the effects of inflation.) By contrast, income decreased by 9 percent among households in the top 1 percent. That decrease was largely due to a reduction in realized capital gains. Average income from other sources, on net, remained relatively unchanged among households in the top 1 percent.”
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