The median household income in Memphis in 2022 was $50,622, which is 28.9% lower than the statewide median income of $65,254 in Tennessee.
However, the median family income in Memphis is higher at $70,649, indicating significant income inequality within the city.
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Compared to the median income of $32,285 in Memphis in 2000, the 2022 figure represents a 36.2% increase, highlighting the city's economic growth over the past two decades.
The per capita income in Memphis in 2022 was $31,620, which is about 90% of the amount in the broader Memphis metro area ($35,527) and 86% of the statewide figure for Tennessee ($36,704).
The cost of living in Memphis is 13% higher than the national average, which partially offsets the lower median household income compared to the state.
The homeownership rate in Memphis is 46.6%, which is significantly lower than the national average of 64.8%, indicating a higher proportion of renters in the city.
The most common occupations in Memphis are managerial and professional roles, such as Operations Managers and Project Managers, rather than blue-collar jobs.
The average commute time for Memphis residents is 21.6 minutes, which is slightly lower than the national average, suggesting a more compact urban layout.
From 2021 to 2022, the population of Memphis declined by 0.648%, even as the median household income grew by 9.34%, potentially indicating an outflow of lower-income residents.
The median household income in Memphis peaked in 2007 at $73,844 (in inflation-adjusted 2022 dollars) and then declined to a low of $65,155 in 2012 before recovering to the current level.
The gender wage gap in Memphis is significant, with women earning on average 82 cents for every dollar earned by men, slightly higher than the national average of 81 cents.
The income distribution in Memphis is skewed, with the top 20% of households earning nearly 50% of the total income, while the bottom 20% earn just 3.5% of the total.
Memphis has a higher proportion of residents living below the poverty line (24.6%) compared to the national average (11.4%), indicating a significant socioeconomic divide within the city.
The income levels in Memphis vary significantly by race, with the median household income for White residents being $61,858, compared to $41,534 for Black residents.
The income growth in Memphis has not been evenly distributed, with the wealthiest 20% of households seeing their incomes grow by 15% since 2000, while the poorest 20% have seen their incomes stagnate.
The Memphis metropolitan area, which includes the surrounding suburbs and exurbs, has a median household income of $56,587, which is higher than the city of Memphis itself.
The income levels in Memphis are influenced by the city's industrial and transportation-based economy, with logistics, manufacturing, and healthcare being major employers.
The city's high poverty rate and income inequality have been the focus of various community-based initiatives and policy efforts aimed at promoting economic development and reducing disparities.
Memphis is one of the few major cities in the United States where the median household income is lower than the national average, highlighting the unique economic challenges facing the city.
Despite the lower median household income, Memphis has a vibrant arts and culture scene, with a thriving music industry and a rich history in blues, soul, and rock and roll.