Truro, Massachusetts median household income trends: 2010 to 2021
From 2010 to 2021, the median household income for Truro town decreased by $17,728 (16.34%), as per the American Community Survey estimates. In comparison, median household income for the United States increased by $4,559 (6.51%) between 2010 and 2021.
Analyzing the trend in median household income between the years 2010 and 2021, spanning 11 annual cycles, we observed that median household income, when adjusted for 2022 inflation using the Consumer Price Index retroactive series (R-CPI-U-RS), experienced growth year by year for 6 years and declined for 5 years.
The most significant year-by-year growth occured from 2020 to 2021, when the median household income increased by 12,699 (from $78,089 to $90,788). Similarly the most substantial year-by-year decline occured from 2012 to 2013, when the median household income decreased by 32,333 (from $104,979 to $72,646).
In Massachusetts, among cities with populations of fewer than 5,000 residents, Truro town ranks 45th out of 98 for median household income. This rank indicates that it falls within the middle-income range of small cities within the state of Massachusetts.
Truro, Massachusetts income distribution and inequality
To gain a comprehensive understanding of income distribution in Truro town, we conducted an analysis of quintiles data from the U.S. Census Bureau. While the bureau does not categorize income into subjective classes like lower-income, middle-class, or upper-class, they instead divide the population into five quintiles, ensuring that each quintile represents nearly the same number of households. This classification allows us to analyze income levels across a spectrum from the lowest to the highest income groups.
Mean household income by quintile in Truro town
The table below presents the mean household income for each of the five quintiles in Truro town, offering valuable insights into income distribution and inequality.
| Income Level | Mean Household Income |
|---|---|
| Lowest Quintile | 18,270 |
| Second Quintile | 42,835 |
| Third Quintile | 93,386 |
| Fourth Quintile | 164,298 |
| Highest Quintile | 295,462 |
| Top 5 Percent | 381,534 |
Key findings:
- Income disparities: The mean income of the lowest quintile (20% of households with the lowest income) is 18,270, while the mean income for the highest quintile (20% of households with the highest income) is 295,462. This indicates that the top earners earn 16 times compared to the lowest earners.
- Top 5%: The mean household income for the wealthiest population (top 5%) is 381,534, which is 129.13% higher compared to the highest quintile, and 2088.31% higher compared to the lowest quintile.
Furthermore, as per the Census Bureau, the Gini coefficient for Truro town is 0.4604. Gini coefficient is a numeric measure ranging from 0 to 1, where lower numbers indicate greater income equality (with 0 representing complete equality, where all households earn the same income) and higher values signify greater income inequality (with 1 being complete inequality where one household receives all income).
Sources: U.S. Census Bureau, American Community Survey (ACS)
With a Gini coefficient of 0.4604, it is evident that income distribution in Truro, Massachusetts exihibits characterstics of moderate inequality .
This level of Gini coefficient suggests noticeable variations in income distribution across households, with certain segments of the population holding a larger share of income compared to others in Truro town.
It also implies that efforts may be needed to enhance economic fairness and reduce the gap between income groups in Truro town