Nobody wants to get old, but it definitely has its upsides and bigger bank accounts tend to be one of them. According to a new report from Empower, the average 50-something American has a net worth of $1.4-million. The financial services firm’s data shows that amount jumps to $1.6-million for the average 60-something. To compare, the average 20-something is only worth $127,730.
That backs up the findings of the federal Survey of Consumer Finances, a bigger study that comes out every three years. The last one, from 2022, shows an average net worth of $1.1-million for Americans between 50 and 54 and $1.4-million for those ages 55 to 59. Both reports show households across the country tend to get wealthier as they age, but it doesn’t just happen. According to financial experts, three main factors are the secret to building wealth: stocks, homes and time.
Keep in mind, we’re talking about the average 50-something here. There’s a big difference between average - or mean - and median. The “median” 50-something - think of the middle number in a long list of numbers - has a much more modest net worth of $192,964.
Here’s a breakdown of America’s average net worth by decade.
- 20-somethings: Average net worth $127,730. Median net worth $6,689
- 30-somethings: Average net worth $321,549. Median net worth $24,508
- 40-somethings: Average net worth $770,892. Median net worth $76,479
- 50-somethings: Average net worth $1.4-million. Median net worth $192,964
- 60-somethings: Average net worth $1.6-million. Median net worth $290,920
- 70-somethings: Average net worth $1.5-million. Median net worth $232,712
Source: USA Today