Trends Newsletter July 2021
If you would like more information about this topic, please contact us.
About one-half of all immigrants to the US "are from Mexico and other Latin American countries." The US Census Bureau estimates that by 2060, one in three Americans will be Hispanic. Who is Hispanic? A person from Puerto Rico? An immigrant from Mexico? A person with Spanish grandparents? An Argentinian who grew up in Colorado? According to the Census Bureau, if a person self-identifies as Hispanic, they're counted as a Hispanic-American.
The longer a Hispanic person resides in the US, the less likely they are to identify as Hispanic. For example, 97% of Hispanics born outside of the US identify as Hispanic, but only one-half of Hispanics who are 4th generation US residents do. Between self-identification and the flow of new immigrants, the exact number of Hispanic-American people can be difficult to calculate exactly. The 2021 Hispanic MacroMonitor reports that 16% of all US households are headed by at least one Hispanic.
In aggregate, Hispanic-American household heads are younger than non-Hispanic heads; slightly more than one-half (53%) are younger than age 45. Of the two-thirds who are employed, one-half work in pink- or blue-collar jobs. Almost half (46%) earn less than $50K in annual household income. Hispanic households lag behind non-Hispanic households financially due to a combination of factors including age, education, income, and family size. After several years of progress, between 2018 and 2020 some Hispanic households' financial situation has worsened; for others, their financial situation has improved—evidence that even within minority household populations, the gap between Haves and Have-Nots is a problem.
Because many Hispanics hold non-essential jobs, or conversely are employed in jobs deemed to be essential but carry high risk, Covid‑19 has hit Hispanic communities disproportionately hard. To exacerbate matters, many Hispanic households do not have access to affordable healthcare. Other factors such as locale contribute to high Covid-infection rates. For example, 43% (net) of Hispanic-American households are in a city; 40% are in a large city. The majority of urban dwellers live in closely-knit neighborhood communities (a barrio). Both neighborhoods and housing tend to be crowded because of family size and the high cost of city real estate: Hispanics-American households are 28% more likely than all US households to live in an apartment.
Hispanic neighborhoods add character to many large US cities. See for yourself; enjoy snapshots of nine famous Latino neighborhoods including Miami's famed Little Havana (Cuban), Washington, DC's Mt. Pleasant (Salvadorian), El Segundo Barrio, Texas (Mexican); and NYC's Washington Heights (Dominican). New York City is the setting of Lin-Manuel Miranda's hit Broadway play and new movie In the Heights. In several respects, Heights is a modern-day version of West Side Story; both spotlight Hispanics in America through song and dance.
For generations Hispanic Americans have contributed to the American story. A few examples are: through sports (read about the most famous 35 athletes), through arts and entertainment (such as Jean-Michel Basquiat, Rubén Blades, Selena, Andy Garcia, Jennifer Lopez, and Ricky Martin), through the law (Sonia Sotomayor and 92 active Article III Judges), in the current President's Cabinet (Miguel Cardona, Xavier Becerra, and Isabel Guzman), and in Congress today (such as polar opposites Alexandria Ocasio-Cortez [AOC] and Ted Cruz). Hispanic businesspeople and entrepreneurs make significant contributions to national endeavors and to the US economy. Browse highlights of 15 Hispanic newsmakers and 15 of the most successful Hispanic-American businesspeople.
In comparison with all US households, Hispanic-American households experience a high level of stress across a spectrum of issues—from money and family responsibilities to climate change and terrorism. To help bring balance to their existence, the majority enjoy holiday celebrations, carnivals, and festivals with distinctive music, dancing, ritual, and food. A barrio provides many opportunities for such engagements. Because most Hispanics enjoy close ties with family and friends, it may surprise you that only 11% of Hispanic-American households get financial information from friends, relatives, or associates.
By 2060, one in three Americans will be Hispanic; their contributions are necessary for continued US growth and well-being. Understanding Hispanics, the nuanced differences between countries of origin, and differences between Hispanic and non-Hispanic households is important to your business.
The MacroMonitor conducted an additional sample of Hispanic households in 2014, 2016, 2018, and again in 2020. In total, the additional sample of Hispanic households, combined with Hispanic-household interviews in the general MacroMonitor survey, provide a robust and stable sample for analysis; surveys are conducted in English. The Hispanic MacroMonitor is a standalone research program consisting of data, a macro-view analysis of data (needs, goals, behaviors, channel use, attitudes), and trends.