1. What is Income Percentile?

Income percentile indicates what percentage of households earn less than your household. For example, if your household is at the 75th percentile, you earn more than 75% of households.

2. How Does the Calculator Work?

The calculator uses the percentile formula:

Where:

• \( \text{Rank} \) — Your household's income rank (1 = lowest income)
• \( \text{Total} \) — Total number of households in comparison

Explanation: The formula calculates what percentage of households have incomes below yours.

3. Importance of Income Percentile

Details: Income percentile helps understand your economic standing relative to others, useful for financial planning, policy analysis, and economic research.

4. Using the Calculator

Tips: Enter your household income rank and total number of households being compared. Both values must be positive integers, with rank ≤ total.

5. Frequently Asked Questions (FAQ)

Q1: Where can I find my household income rank?
A: The US Census Bureau and various economic research organizations publish income distribution data.

Q2: What's considered a good income percentile?
A: This depends on location and family size, but generally 50th percentile is median, above 80th is considered high income.

Q3: Does this account for cost of living differences?
A: No, this is a national comparison. Local cost of living adjustments would be needed for more precise comparisons.

Q4: How often is income distribution data updated?
A: The US Census Bureau updates official statistics annually.

Q5: What's the difference between household and individual income percentiles?
A: Household includes all earners in a home, while individual looks at single earners. Household percentiles typically yield higher values.