Missouri’s per capita income was a little over 5% higher in 2020 over 2019.
The Missouri Economic Information and Research Center says Missouri’s per capita income growth generally tracks with teh national average. The Missouri per capita income increase was 5.2$ at $51,177. The national average was 5.8% higher. The figure is nominal dollars and has not been adjusted for inflation.
In 2020, Missouri’s total personal income was $314.8 billion, a 5.4 percent increase over 2019. The nation’s personal income increased 6.1 percent to $19.7 trillion. California led the nation in total personal income with more than $2.8 trillion. Texas, New York, Florida, and Pennsylvania come in the top five.
The District of Columbia was the national leader in per capita income at $87,064. The top 4 states were Connecticut, Massachusetts, New York, and New Jersey.
The increase in both U.S. and Missouri personal income in 2020 was due to an increase in transfer payments. Transfer payments reflected new government relief payments provided by the Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020, including increases in state unemployment insurance compensation and economic recovery payments to individuals. As a result, transfer payments increased by 26 percent in Missouri and by 37 percent nationally.
Net earnings accounted for 58 percent of Missouri personal income in 2020. Transfer payments accounted for 24 percent and dividends, interest and rent accounted for 18 percent. In the U.S., 59 percent of personal income was accounted for by net earnings, 22 percent by transfer payments and 19 percent by dividends, interest and rent.
Personal income is defined as the income received by all persons from net earnings, property interest income, and transfer payments. Components of personal income are net earnings, dividents, and transfer payments.