The phrase “The American Dream” describes the idea that with hard work, anyone can achieve success in the U.S. While it’s been around for more than 100-years, achieving that goal is still possible, but it’s become so expensive, it may be out of reach for many. According to new research, the price of the American Dream is now more than $5-million.
- Investopedia has crunched the numbers to find out the lifetime cost of attaining the traditional American Dream, which includes owning a home, raising kids, getting married, new cars, healthcare, pets, and vacations.
- The study reveals that the price has skyrocketed $600-thousand from last year’s total of $4.4-million and it’s nearly 50% higher than it was just two years ago ($3.4-million).
- Part of what made this year’s price climb so high is that Investopedia added in the estimated cost of healthcare over a lifetime - $414,208 - which wasn’t included in previous years.
The American Dream will now cost you $5,043,323 over a lifetime and it includes:
- A wedding - The average cost of a wedding is $38,200 in 2025.
- Raising two kids and putting them through college - $876,092, which includes $645,819 for raising them for 18 years and $230,273 for four years of college for both kids.
- Owning a home - The cost of buying and financing has soared to $957,594, up from last year’s total of $929,955, thanks to high mortgage rates and rising home prices.
- Having two pets - Caring for a cat and a dog over their lifetimes reportedly costs $39,381.
- Going on vacations - Yearly getaways will set you back $180,621 over a lifetime.
- New cars every five years - Buying 10 new cars over 50 years isn’t cheap, it’s now estimated to cost $900,346. That’s quite a jump from last year’s total of $811,440.
- Healthcare - The estimated lifetime healthcare cost sits at a whopping $414,208.
- And finally, retirement - It’s jumped to $1,636,881, which is nearly $40-thousand more than last year’s total of $1,599,995.
Source: NY Post⠀