What Is the Average Salary Based on Age?

The following is a list of average salary information by age range as determined by the U.S. Bureau of Labor Statistics:

Average salary for age 16 to 19

• Average weekly salary: $503
• Average monthly salary: $2,180
• Average annual salary: $26,156

Average salary for age 20 to 24

• Average weekly salary: $633
• Average monthly salary: $2,743
• Average annual salary: $32,916

Average salary for age 25 to 34

• Average weekly salary: $909
• Average monthly salary: $3,939
• Average annual salary: $47,268

Average salary for age 35 to 44

• Average weekly salary: $1,078
• Average monthly salary: $4,671
• Average annual salary: $56,056

Average salary for age 45 to 54

• Average weekly salary: $1,112
• Average monthly salary: $4,819
• Average annual salary: $57,824

Average salary for age 55 to 64

• Average weekly salary: $1,109
• Average monthly salary: $4,806
• Average annual salary: $57,668

Average salary for age 65 and older

• Average weekly salary: $1,041
• Average monthly salary: $4,511
• Average annual salary: $54,132

As you can see, the average American tends to earn their highest salary between ages 45 and 54 and their lowest salary when they first enter the workforce between ages 16 and 19. From there, the average salary slowly rises until after the age of 54, when it begins to decline slowly.

Learn more: 6 Things To Think About Before Giving a Salary Range

Several factors can influence an employee’s average salary in addition to age, including:

Ethnicity

While employers are not legally allowed to discriminate against a person’s ethnicity when it comes to employment and pay, some ethnicities experience different salary averages than others. 

For example, the national average salary for a white individual between the ages of 25 and 54 years old is $53,872, while the average salary for a Black or African American individual in the United States between the ages of 25 and 54 years old is $42,068. People of Asian descent between the ages of 25 and 54 make an average of $70,044 per year in the United States, while individuals of Hispanic or Latino ethnicity between the ages of 25 and 54 make an average of $40,508 per year.

Gender

Another factor that can influence a person’s income is their gender. For example, women between the ages of 25 and 34 years old make around $43,836 per year, while men of the same age make on average $50,336 per year. In general, women tend to earn less than men regardless of age.

Education

An individual’s level of education can also influence their salary. Individuals with higher levels of education typically make more money than those with lower levels of education. For example, someone with a master’s degree might make more than someone who only holds a high school diploma or equivalent.

This is not, however, a hard and fast rule. Several jobs and industries pay high salaries to individuals who do not hold a degree or have completed any higher education. For example, the construction industry often offers high pay for its employees and only requires a high school diploma or its equivalent, as well as on-the-job training for entry-level positions.

Location

Where you live geographically can also affect how much you make. In places where the cost of living is high, companies tend to pay their employees more to ensure they can meet cost-of-living demands. For example, a marketing coordinator who works in Los Angeles, California, will likely make more than a marketing coordinator who lives in Athens, Alabama.

Supply and demand

Another factor that affects salary is the supply and demand of the labor market. When the demand for a certain skill or type of employee is high, their wages will likely be high, as well. However, when the demand for a particular skilled employee is low, meaning many employees can perform that skill, the wages associated with that position might be lower.

Market rates

A market rate refers to the average wage in a particular industry for a particular position. This rate can have a direct impact on a person’s salary. For example, if content writers in Tampa, Florida, with three or more years of experience make an average of $50,000 per year, companies are more likely to offer this wage to this type of employee to increase the likelihood of acquiring top talent. Companies that do not conform to the average market rates might have a challenging time finding high-quality employees or retaining employees for longer periods.

Industry

The type of industry a person works in can also influence occupational wages. For example, an industry that has challenging work conditions might pay its employees more to compensate for those conditions and help retain employees for longer periods. Additionally, if a particular industry requires a significant amount of training for employment, wages in that industry will likely be higher.

For example, a petroleum engineer makes an average of $130,050 per year, while a musician makes around $50,250 per year. While both positions certainly require training, petroleum engineers often spend much longer in school and work in different conditions than musicians.

Certifications and licensure

Positions that require professional licensure or certifications are likely to pay more to accommodate for the training and skills acquired when obtaining credentials. For example, doctors typically make more money than nurses because doctors hold a much higher level of licensure than nurses. Nursing assistants likely make less than nurses because nursing assistants do not need the nursing licensure or certification to work in that position.

Seasonality

Some job salaries are influenced by seasonality, or the level of business an industry experiences during certain seasons of the year. For example, a sales associate might make more money during the holiday season than during other months.

Learn more: How To Negotiate Your Salary

Companies provide their employees with several benefits in addition to salary. Some people and companies consider benefits part of the overall compensation an employee receives. When considering a salary, also consider the position’s benefits, as some can add value to your base salary. For example, if a company pays 100% of your health insurance, your salary might go farther because money is not being taken out of your paycheck for health insurance. 

Common benefits companies offer their employees include: 

• Health insurance: Most companies offer their full-time employees some form of health insurance. They might offer several types of health insurance packages and allow the employee to choose which package best suits their needs. How much the employer pays toward the individual’s health insurance premium is typically up to the employer.
• Dental and vision insurance: Employers typically offer these types of insurance alongside health insurance. They can be beneficial to those who use dental and/or vision services regularly.
• Short-term and long-term disability insurance: This type of insurance protects employees if they need to take a short- or long-term leave of absence from work for a qualifying event. The insurance will pay the employee a predetermined amount for the duration of their leave.
• Retirement accounts or benefits: Retirements accounts such as 401(k)s and benefits such as 401(k) matching plans are common offerings from employers to employees who stay with the company for a set period.
• Tuition reimbursement: If you are required to take a certain course, obtain a degree, or become certified in a particular area to perform your job, your employer might offer tuition reimbursement to compensate for the expenses associated with the certification, degree, or course.
• Relocation assistance: If a company requires you to relocate for a job, they might provide you with relocation assistance to help offset the cost of moving and adjusting to a new location.

While your age can certainly impact your salary, several other factors can also influence how much you earn. Understanding these factors and using them to your advantage can help you make the highest salary possible for your skills, experience, age, and abilities. 

Learn more: 4 Times It Pays to Accept a Lower Salary