July 31, 2020

The COVID-19 pandemic caused a significant slowdown in economic growth in Q2 2020 and sent the YTD Staying Even Index into negative territory.  Based upon the US Government “Advance” estimate of Q2 GDP. StayingEven.com reports that the YTD Q2 2020 Staying Even Index (SEI) was 3.9%, as the significant slowdown in Q2 economic activity outweighed the modest positive performance in the index through Q1. 

Unusually, the YTD Q2 reading of -3.9% is below the YTD 1.2% year on year increase in the average consumer price index (CPI) for the period, as GDP declined in absolute terms while population grew.

The -3.9% change in the YTD 2020 Staying Even Index (SEI) is based upon reported YTD year on year nominal GDP growth of -3.5% and estimated annual population growth of 0.5%. 

These projections suggest that individuals whose year to date 2020 total income from all sources (after tax wages and other income) grew at all, or declined by less than 3.9%, from 2019 expanded their adjusted share of the U.S. economy, and those whose total income grew by less than this fell behind compared to the prior year. SEI growth for calendar year 2019 was 3.6%. 

StayingEven.com will publish updates to these figures as GDP and population estimates are revised.  We are dedicated to helping individuals understand what income growth is required to keep up in the U.S. Economy. 

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To find out whether you have gotten ahead, try our Staying Even Calculator, and to learn more about the Index, visit us at StayingEven.com.  You can also follow us @stayingeven on Twitter.