Average net worth by age: See how you compare (2024)

Key findings

  • Average net worth peaks between ages 70 and 74.
  • The state with the lowest net worth is Mississippi, where as Hawaii is the wealthiest by that metric.
  • The U.S. Census Bureau conducts an annual survey on net worth.

Comparing your net worth to your peers is one way to determine your financial health. It provides a snapshot of your financial health by calculating how much money you’d have left over after paying all your bills and other obligations.

“The average net worth broken down by age provides insights into the wealth distribution and financial well-being of different age groups within a population,” said Donald Hays, survey statistician at the U.S. Census Bureau. “We can use this data to observe patterns and trends related to wealth accumulation and economic disparities across different stages of life.”

We’ve broken down the average net worth by age so you can see where you stand relative to your peers.

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Average net worth by age

Net worth is a measure of financial stability calculated as a person’s total assets minus their total liabilities.

The U.S. Census Bureau conducts annual surveys to get the pulse of Americans’ net worth. We pulled data from the most recent survey from 2021 to determine the average net worth by age in America.

The survey included data from all states except Alaska, Delaware, the District of Columbia, North Dakota, South Dakota, Vermont and Wyoming, where the sample size was too small. The data also does not include pension plans or the value of home furnishings in asset calculations.

The data shows that average net worth does vary significantly by age, with older groups having a higher net worth on average.

“Younger age groups, such as households with householders younger than 35, Generation Z or millennials, tend to have lower average net worth compared to older age groups,” Hays said. “This can be attributed to factors such as having recently started their career, limited time for wealth accumulation and higher levels of debt, such as student loans or mortgages.”

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As people progress in their careers and accumulate more wealth and assets, net worth tends to increase before peaking right before retirement. Then, in retirement, people begin to withdraw from their savings to fund their golden years.

“It’s important to note that there can be significant variations within age groups, influenced by factors such as occupation, education level, geographic location and socioeconomic conditions,” Hays said. “Age alone never tells the full story.”

While having a benchmark to measure yourself against can help you invest and set savings goals, “Worrying about how your personal situation stacks up against your peers nationwide can be counterproductive,” warns Peter Hoglund, senior vice president and financial advisor at Wealth Enhancement Group. “Where you are in your financial life may not be where you want to be, but patience and consistency (are the keys) to reaching your goals.”

Related: How much does a financial advisor cost?

Average net worth by age

The following table shows the average net worth by age. Some experts believe that excluding home equity is a more accurate representation of an individual’s net worth. That’s because if you were to sell your home for cash, you would have nowhere to live.

AGE OF HOUSEHOLDERAVERAGE NET WORTHNET WORTH (EXCLUDING HOME EQUITY)

Less than 35 years

$154,100

$106,200

35 to 44 years

$365,300

$248,700

45 to 54 years

$571,300

$403,400

55 to 64 years

$743,100

$556,500

65 to 69 years

$804,600

$593,200

70 to 74 years

$821,000

$593,000

75 and over

$761,000

$519,300

Average net worth by generation

Next, we broke down the average net worth across the nation by generation. Each generation is defined as follows:

  • Generation Z: born between 1997 and 2012.
  • Millennials: born between 1981 and 1996.
  • Generation X: born between 1965 and 1980.
  • Baby boomers: born between 1946 and 1964.
  • Silent generation: born between 1928 and 1945.
AGE OF HOUSEHOLDER BY GENERATIONAVERAGE NET WORTHNET WORTH (EXCLUDING HOME EQUITY)

Generation Z

$85,300

$62,790

Millennial

$237,800

$160,600

Generation X

$541,200

$381,100

Baby boomer

$795,900

$590,300

Silent generation

$734,400

$497,600

States in the U.S. with the lowest net worth

Net worth also varies geographically because income and the market value of physical assets, like your home, are largely location-dependent.

“For most households, the single largest contributor to net worth — 28.5% in 2021 — is the equity that households have in their own home,” Hays said. “Retirement accounts considered as a whole — which include IRAs, Keogh accounts, Thrift Savings Plans and 401(k) accounts — account for 34.1% of household net worth in 2021.”

States with the lowest average net worth are largely in the South. The lowest net worth is in Mississippi, where residents have an average of $205,400 in total net worth. This drops to $123,000 if we exclude their home equity. Mississippi residents also have the fewest assets at financial institutions, with only $19,860 on average and $107,400 saved for retirement.

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States with the lowest net worth in 2021

STATEAVERAGE NET WORTHNET WORTH (EXCLUDING HOME EQUITY)

Mississippi

$205,400

$123,000

Alabama

$274,000

$186,900

Louisiana

$295,800

$210,500

Nebraska

$300,400

$221,300

Oklahoma

$316,300

$222,300

Arkansas

$318,900

$243,200

Indiana

$335,000

$242,700

Rhode Island

$346,700

$214,900

Missouri

$358,300

$261,500

Georgia

$359,600

$246,500

Wealthiest states in the U.S. by net worth

Looking at the numbers alone, the wealthiest states in the U.S. by net worth appear to be in a different country entirely from the states with lower net worth. The wealthiest state in the nation has an average net worth, excluding home equity, of nearly six times the state with the lowest net worth.

Hawaii tops the list with the highest average net worth of any state in 2021 despite having the 12th lowest average personal income, according to the Bureau of Economic Analysis. Residents in the Aloha State also have the highest amount of equity in their homes at $769,100 on average.

It may be surprising to see that New York is not on the list of wealthiest states, given the average annual personal income is roughly $1.5 million, according to BEA data. This exclusion is because personal income is not part of net worth. Instead, net worth is derived from savings and assets. If you spend every dollar you make, you can’t grow your net worth.

States with the wealthiest net worth in 2021

STATEAVERAGE NET WORTHNET WORTH (EXCLUDING HOME EQUITY)

Hawaii

$1,178,000

$769,100

Massachusetts

$812,100

$579,400

Maine

$783,900

$552,100

California

$768,800

$479,700

New Jersey

$735,900

$557,600

Colorado

$729,100

$486,400

Oregon

$716,900

$517,900

Virginia

$694,300

$533,200

Maryland

$692,400

$527,900

Washington

$689,200

$410,200

What makes up your net worth

Your net worth is made up of your assets minus your liabilities, giving you the net amount of money you’d have left after paying off all your debts.

Assets

Assets are cash or anything that can be sold for cash, including financial assets, like savings accounts and investments. Also, physical assets like your home, vehicles and even jewelry can count toward your net worth.

Some net worth calculations may exclude your primary residence from net worth because if you sold it, you’d have nowhere to live.

Liabilities

Liabilities are what you owe, including your mortgage, any loans you hold and your outstanding bills. Your credit card balances are also a liability since this is money you owe to your credit card company.

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How to calculate net worth

Before calculating your net worth, it’s helpful to compile all your assets and liabilities first. Next, subtract your total liabilities from your total assets.

For example, you could make a list of everything you own, from your bank and investment accounts to your jewelry and art. Add the fair market value for all these items in one column, then, in another column, tabulate all your debts. To calculate your net worth, subtract the total in the liabilities column from the total in the assets column.

For help calculating your net worth, the Federal Deposit Insurance Corp. provides an online net worth calculator.

Frequently asked questions (FAQs)

Net worth is the money you’d have left over after selling all your assets and paying off all your debts. It’s often used as a measure of a person’s financial stability. Net worth can be positive, indicating your assets exceed your liabilities; negative, indicating you owe more than you own; or zero, indicating your assets equal your liabilities. Ideally, your net worth is a positive number, which shows you have a financial cushion.

What net worth is considered wealthy largely depends on a person’s age and location. We can use data on the average net worth by age and in various states to determine what may be considered wealthy for an individual in a particular region.

The average net worth of 35- to 44-year-olds is $365,300. So someone in that age bracket with more than this could be considered wealthy, especially if she lives in Mississippi, where the average net worth across all ages is $205,400. However, $365,300 may not be considered wealthy for someone living in Hawaii, where the average net worth across all ages is over $1.1 million.

Net worth is the difference between your assets and your liabilities, so to increase your net worth you can either increase your assets or decrease your liabilities. Your assets include your savings as well as physical assets like real estate. To decrease your liabilities, you can work on paying off debt and avoid taking on more debt, including credit card debt.

“For those looking to grow wealth slowly and predictably, home ownership and debt reduction is the most important part of that plan,” Hoglund said.

Average net worth by age: See how you compare (2024)

FAQs

Average net worth by age: See how you compare? ›

The average American net worth is $1,063,700, as of 2022. Net worth averages increase with age from $183,500 for those 35 and under to $1,794,600 for those 65 to 74. Net worth, however, tends to drop for those 75 and older.

What is the average net worth by age? ›

The average American net worth is $1,063,700, as of 2022. Net worth averages increase with age from $183,500 for those 35 and under to $1,794,600 for those 65 to 74. Net worth, however, tends to drop for those 75 and older.

What is the average age to reach $1 million net worth? ›

Sometime around age 50, the average American can now expect a household net worth exceeding $1 million. How did so many 50-somethings become millionaires? Household wealth swelled at a record pace during the pandemic.

What percentage of Americans have a net worth of over $1,000,000? ›

Additionally, statistics show that the top 2% of the United States population has a net worth of about $2.4 million. On the other hand, the top 5% wealthiest Americans have a net worth of just over $1 million. Therefore, about 2% of the population possesses enough wealth to meet the current definition of being rich.

What is a good net worth at 35? ›

What do the top quartiles look like?
Age Range75th Percentile Net Worth
Under 35$153,000
35-44$415,000
45-54$800,000
55-64$1.122 million
2 more rows
Dec 27, 2023

What net worth is considered wealthy? ›

In the United States, the concept of being rich is often a subject of discussion, curiosity and, sometimes, aspiration. Charles Schwab's 2023 Modern Wealth Survey provides insights into this topic, revealing that the average American equates being wealthy with a net worth of approximately $2.2 million.

What net worth is upper class? ›

The Federal Reserve provides the median net worth for these groups in its 2022 Survey of Consumer Finances. Here's the much each group has: The upper class starts with an average net worth of $793,120. That's for the top 80% to 90% of earners.

Is a $5 million net worth rich? ›

Types of High-Net-Worth Individuals (HNWIs)

The very-high-net-worth individual (VHNWI) classification can refer to someone with a net worth of at least $5 million. Ultra-high-net-worth individuals (UHNWIs) are defined as people with investable assets of at least $30 million.

At what age should you hit 100k net worth? ›

“By the time you hit 33 years old, you should have $100,000 saved somewhere,” he said, urging viewers that they can accomplish this goal. “Save 20 percent of your paycheck and let the market grow at 5% to 7% per year,” O'Leary said in the video.

Are you rich if your net worth is $10 million? ›

Generally, a liquid net worth of $1 million would make you a high net worth (HNW) individual. To reach very high net worth status, you'd need a net worth of $5 million to $10 million. Individuals with a net worth of $30 million or more might qualify as ultra-high net worth.

What is the net worth of the top 2%? ›

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  • People with the top 1% of net worth in the U.S. in 2022 had $10,815,000 in net worth.
  • The top 2% had a net worth of $2,472,000.
  • The top 5% had $1,030,000.
  • The top 10% had $854,900.
  • The top 50% had $522,210.

What net worth puts you in the top 1? ›

The top 1% of household net worth in the U.S. was just shy of $13.7 million in 2023. An individual would have to earn an average of $407,500 per year to join the top 1%. A household would need an income of $591,550. The median household income was $74,580 in 2023 and $45,440 for individuals.

What salary is considered rich for a single person? ›

Based on that figure, an annual income of $500,000 or more would make you rich. The Economic Policy Institute uses a different baseline to determine who constitutes the top 1% and the top 5%. For 2021, you're in the top 1% if you earn $819,324 or more each year. The top 5% of income earners make $335,891 per year.

What is a respectable net worth? ›

Determining what your net worth should be at any age can be a bit tricky, and it depends on your income. Say you're 30 years old and your income is $50,000 per year. Your net worth should be $150,000, according to this formula. A $25,000 salary at age 30 would mean an ideal net worth of $75,000.

Is a 401k part of net worth? ›

Yes. The value of your 401(k) account is a part of your net worth and should be included in your net worth. Like anything else of financial value, the vested balance of your 401(k) account — or any retirement account, for that matter — is considered an asset.

Does net worth include home? ›

Household wealth or net worth is the value of assets owned by every member of the household minus their debt. The terms are used interchangeably in this report. Assets include owned homes, vehicles, financial accounts, retirement accounts, stocks, bonds and mutual funds, and more.

What net worth is the top 1% by age? ›

Average net worth by top percentile and age
AgeTop 1% net worth
18-24$653,224
25-29$2,121,910
30-34$2,636,882
35-39$4,741,320
3 more rows
Mar 27, 2024

What percentage of retirees have $3 million dollars? ›

Specifically, those with over $1 million in retirement accounts are in the top 3% of retirees. The Employee Benefit Research Institute (EBRI) estimates that 3.2% of retirees have over $1 million, and a mere 0.1% have $5 million or more, based on data from the Federal Reserve Survey of Consumer Finances.

What percentile is a $3 million net worth? ›

The 95th percentile, with a net worth of $3.2 million, is considered wealthy, facilitating estate planning and possibly owning multiple homes. The top 1%, or the 99th percentile, has a net worth of $16.7 million and represents the very wealthy, who enjoy considerable financial freedom and luxury​​.

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