The area was originally a Native American village and the tribal seat of the Bear Clan of the Potawatomi Indians. The name "Mukwonago" is derived from "mequanego" which translates to bear's den. The spelling "Mukwonago" was adopted in 1844 because of the similarity to nearby Mequon. Many of the streets and roads are named after the city's founders, such as Ira Blood, Major Jessie Meacham, Sewall Andrews, and Thomas Sugden.
Geography
Mukwonago is located at . According to the United States Census Bureau, the village has a total area of, of which, of it is land and is water. It is situated at the southwestern flank of the sprawling Vernon Marsh, and encircles Upper and Lower Phantom Lake. The lakes lie midway along the Mukwonago River from its source springs to its meeting with the Fox River, which travels further southeast through Big Bend and beyond.
At the 2010 census there were 7,355 people, 2,923 households, and 2,003 families living in the village. The population density was. There were 3,104 housing units at an average density of. The racial makeup of the village was 97.4% White, 0.2% African American, 0.2% Native American, 0.9% Asian, 0.1% Pacific Islander, 0.3% from other races, and 0.9% from two or more races. Hispanic or Latino of any race were 3.2%. Of the 2,923 households 35.6% had children under the age of 18 living with them, 54.9% were married couples living together, 8.6% had a female householder with no husband present, 5.1% had a male householder with no wife present, and 31.5% were non-families. 26.6% of households were one person and 10.7% were one person aged 65 or older. The average household size was 2.50 and the average family size was 3.05. The median age in the village was 37.9 years. 26.2% of residents were under the age of 18; 7.2% were between the ages of 18 and 24; 28.1% were from 25 to 44; 26.2% were from 45 to 64; and 12.4% were 65 or older. The gender makeup of the village was 48.9% male and 51.1% female.
At the 2000 census there were 6,162 people, 2,392 households, and 1,705 families living in the village. The population density was 1,313.3 people per square mile. There were 2,502 housing units at an average density of 533.3 per square mile. The racial makeup of the village was 98.21% White, 0.19% African American, 0.24% Native American, 0.36% Asian, 0.29% from other races, and 0.70% from two or more races. Hispanic or Latino of any race were 1.90%. Of the 2,392 households 35.5% had children under the age of 18 living with them, 57.0% were married couples living together, 9.9% had a female householder with no husband present, and 28.7% were non-families. 22.7% of households were one person and 8.4% were one person aged 65 or older. The average household size was 2.54 and the average family size was 3.00. The age distribution was 25.5% under the age of 18, 9.9% from 18 to 24, 32.1% from 25 to 44, 21.6% from 45 to 64, and 10.9% 65 or older. The median age was 34 years. For every 100 females, there were 95.2 males. For every 100 females age 18 and over, there were 92.4 males. The median household income was $56,250 and the median family income was $64,354. Males had a median income of $45,824 versus $28,333 for females. The per capita income for the village was $23,993. About 2.6% of families and 3.1% of the population were below the poverty line, including 3.7% of those under age 18 and 6.4% of those age 65 or over.