What the Average American Could Afford With a Congressman’s Salary

Most Americans would consider a $174,000 salary a very good living.

Maybe not enough to build generational wealth, but enough to manage a mortgage, save on groceries, and deal with an unexpected car repair.

It's also what rank-and-file members of Congress earn, and it has been their salary since 2009.

But while congressional pay has remained frozen, the cost of nearly everything else has increased. Inflation, as measured by the Consumer Price Index, has risen approximately 56.9% since February 2009, while congressional salaries have increased by 0%.

Congress has repeatedly blocked automatic cost-of-living adjustments that would otherwise have raised member salaries.

According to the Bureau of Labor Statistics CPI Inflation Calculator, a salary of $174,000 in February 2009 would need to be approximately $273,079 in April 2026 to maintain the same purchasing power. Put another way, today's congressional salary has purchasing power roughly equivalent to earning about $110,869 in 2009.

So what could the average American actually buy on a congressional salary in 2026?

Buy a home worth roughly $780,000

On average, housing accounts for 33.4% of U.S. consumer spending, making it the largest expense category for most Americans.

Applied to a $174,000 salary, that works out to roughly $58,116 annually, or about $4,843 per month available for housing costs.

Based on current mortgage rates around 6.25% and including private mortgage insurance, that payment could support a home valued around $780,000.

That's enough to buy a comfortable home in much of the country, but far from the luxury properties many people associate with the political elite. In fact, many lawmakers would be unable to afford median-priced homes in some of America's most expensive communities. For example, Newport Beach, California, has a median home value of approximately $2.4 million.

To maintain the same buying power as lawmakers had in 2009, congressional salaries would need to exceed $273,000 today.

Many lawmakers maintain housing in both Washington, D.C., and their home districts. While certain official travel expenses may be reimbursed, members do not receive a dedicated housing allowance for maintaining a second residence in the nation's capital.

Max out a retirement account

Members of Congress participate in the federal Thrift Savings Plan (TSP), a retirement account that functions similarly to a private-sector 401(k). The plan allows members to contribute up to $24,500 in 2026 while also earning a traditional pension and Social Security benefits.

For a lawmaker earning $174,000, maxing out TSP contributions would require setting aside about 14% of annual pay. That's a significant commitment, but one that remains realistic on a congressional salary.

The federal government also matches employee contributions up to 5% of pay and automatically contributes an additional 1% of salary.

Spend 31% more on groceries than the average family

Food accounts for approximately 12.9% of household spending, according to Bureau of Labor Statistics (BLS) data.

Applied to a $174,000 salary, that equals about $22,446 annually, or roughly $1,870 per month.

That's about 31% more than the average family of four spends on groceries each month, according to Groceries Tracker, which estimates a typical family grocery bill at approximately $1,430 per month.

For many households, that amount would provide considerable flexibility at the grocery store, even amid elevated food prices.

Buy a new midsize sedan every year

Transportation is the second-largest spending category for most households, accounting for approximately 17% of consumer spending.

On a $174,000 salary, that's roughly $29,580 annually available for vehicle payments, insurance, fuel, maintenance, and travel.

That's enough to purchase a new Toyota Camry, which starts at around $29,000.

Of course, transportation costs include much more than a car payment. Fuel, insurance, maintenance, registration fees, and additional vehicles for spouses or teenage drivers can quickly consume a large share of that budget.

Gasoline alone can add up quickly. The average vehicle consumes roughly 447 gallons of fuel per year. Nationwide, the average gasoline price is about $4.05 per gallon, which is roughly $1,800 annually per vehicle.

Enjoy discretionary spending

According to BLS spending data, households devote approximately 4.6% of spending to entertainment and 2.5% to apparel and services.

That translates to about $8,004 annually for entertainment, or roughly $667 per month, and another $4,350 annually for clothing and related purchases.

Comfortable? Yes. Lavish? Not necessarily.

Support charitable causes

Charitable contributions account for approximately 2.9% of household spending.

For someone earning $174,000 annually, that works out to roughly $5,046 per year directed toward charities, religious organizations, schools, or other causes.

Public figures often face additional pressure to support local organizations, community events, and charitable causes, making generosity more visible than it is for the average household.

Bottom line

Most Americans would gladly accept a $174,000 salary. It can support homeownership, retirement savings, reliable transportation, charitable giving, and a comfortable lifestyle in many parts of the country.

However, congressional pay has not increased since 2009, and inflation has significantly eroded its purchasing power. A salary that would need to exceed $273,000 today to match its 2009 buying power no longer stretches as far as many people assume.

It's hard for many (or at least it is for me) to evoke sympathy for bureaucrats earning $174,000 a year; however, you have to feel for anyone who hasn't gotten a raise in 17 years. With inflation, that's the equivalent of a 56.9% salary cut for the same job.

Still, a gig in Congress lends itself to plenty of legit ways to make extra cash in the form of podcasts, book deals, speaking engagements, and more. In fact, congressional work may be the ultimate stepping stone to lifelong influencer earnings.

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