What does this measure?
The 80/20 ratio describes the disparity in the size of the income of a household at the 80th percentile relative to that of the income of a household at the 20th percentile. A higher ratio indicates greater income inequality.
Why is this important?
High levels of income inequality can make it more difficult for lower income children and families to become part of the middle class (upward mobility). The greater the disparity in income, the less likely it is that positive effects of economic growth will be distributed among all households.
How is our county performing?
In 2018-22, Worcester County had an 80/20 ratio of 5.1, an increase from 4.8 in 2008-12. The 80th percentile salary was $174,200 and the 20th percentile salary was $21,400. The Worcester County ratio was similar to the national ratio of 4.9 and slightly lower than the Massachusetts ratio of 5.5.
Among local areas with reliable data, the ratio was the highest in the City of Worcester, at 6.0, with an 80th percentile salary of $128,500 and 20th percentile salary of $34,200. Blackstone had the next highest ratio, at 5.4, with an 80th percentile salary of $186,200 and 20th percentile salary of $34,200.
Notes about the data
The ratio was calculated by dividing the median household income at the 80th percentile by the median household income at the 20th percentile. Household income was sourced from U.S. Census data.
| 2008-12 | 2013-17 | 2018-22 | |||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Worcester County | 4.8 | 5.1 | 5.1 | ||||||||||||||||
| Athol | 4.4 | 5.4 | 4.2 | ||||||||||||||||
| Clinton | 4.2 | 3.8 | 3.8 | ||||||||||||||||
| Fitchburg | 5.0 | 5.0 | 4.7 | ||||||||||||||||
| Gardner | 4.8 | 5.1 | 4.8 | ||||||||||||||||
| Northbridge | 4.5 | 4.7 | 4.9 | ||||||||||||||||
| Southbridge | 4.6 | 4.8 | 5.4 | ||||||||||||||||
| Spencer | 5.4 | 4.8 | 3.9 | ||||||||||||||||
| Webster | 4.6 | 4.2 | 4.7 | ||||||||||||||||
| Westborough | 3.6 | 4.0 | 4.4*** | ||||||||||||||||
| Worcester | 5.6 | 6.3 | 6.0 | ||||||||||||||||
| Massachusetts | 5.3 | 5.5 | 5.5 | ||||||||||||||||
| Additional Worcester County localities | |||||||||||||||||||
Notes: Multiyear results are from rolling American Community Survey. * Margin of error between 20% & 35% of estimate; ** margin of error between 35% & 50%; *** margin of error greater than 50%.
| INDICATORS | TREND |
|---|
