The Average Net Worth By Americans Ages (2023)

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The Average Net Worth By Americans Ages

The Average Net Worth By Americans Ages and actually we’re going to be talking about the median net worth by age we are going to be going over what people make on average by their age and then we’re also going to talk about a couple of other important demographics as well.

And you are probably going to be shocked at what the average net worth of somebody who says 25 or 30 years old is in fact I kind of want you to come up with a figure in your head right now what do you think the average net worth of a 30-year-old is or in this case actually median net worth what is the median net worth of a 30-year-old.

What was your prediction for the median net worth of a 30-year-old in the united states was it fifty thousand dollars was it eighty thousand dollars was it a hundred thousand dollars how about negative one thousand nine hundred and eighty-nine dollars that’s right the median net worth of somebody who’s in that range is in the negatives.

You actually do not have a positive medium net worth until you are 31 years old yikes now what is the reason for this well one of the obvious reasons is because of the fact that people go to college and they get in ridiculous amounts of student loan debt they also take out car loans credit card loans etc but of course,

The main reason for this is because people are taking out so much debt now it is a little bit difficult to calculate the average or median net worth of all people under the age of 35 just because people take drastically different life paths and they make you know huge life decisions that are completely different.

So for instance you know somebody might go into the workforce right away right after high school maybe they start a trade career they become an apprentice something like that and so they’re making money right away and maybe they’re also very frugal they buy a cheap car they start investing right away.

And you know they don’t spend very much money whereas somebody else might go deep into debt and it might not even be a bad decision right so if you are going deep into debt to become a doctor or you’re going deep into debt start a business that ends up becoming successful then that could eventually end up being a very good thing.

Now according to federal reserve data it actually does not go under the age of 35 because like I said this is very difficult to calculate but according to their data the average net worth of people under the age of 35 is 76,000 and the median net worth is 14,000.

So again pretty close to zero especially if you calculate the median which does tend to be more accurate because of the fact that you know average you’re gonna have somebody who has like a hundred billion dollars they’re just,

Like a statistical flyer and they’re gonna mess everything up so the more accurate one is going to be the median which is fourteen thousand 000 for those who are younger than 35 years old now one thing that I’ve talked about before is on average uh people who get a bachelor’s degree it takes them 20 years to pay it off so if you get a bachelor’s degree at 22 years old.

You’re probably not going to pay it off until you’re 42. and this is of course for people who take out student loans people go on average almost 40,000 in student loan debt but yeah I guess it’s nice to know that uh you know compared to other people who are your age if you have a net worth of one dollar then you’re probably better off than most people under the age of 30.

Now i have two really good resources for you the first one is going to help you to figure out what exactly your net worth is and it’s nerd wallet which is a great resource great website they come out with a lot of great stuff and net worth is very simply stated just assets minus liabilities.

So assets are things that you own most of the time assets are going to be appreciating in value so a few examples of assets would be the money you have in your checking account your savings account different investment accounts your house your car etc.

A few examples of liabilities would be credit card debt student loan debt auto loans mortgage loans etc basically anything that is in the negative and so nerd wallet has a really cool little calculator that you can use to basically quickly figure out what your net worth then once you know what your net worth is you can compare it to all of the charts that are out there on the internet there’s even net worth calculators that’ll tell you what your net worth is compared to others but this is only if you’re just

Curious about it if you’re young from the ages of 18 to 35 it’s going to be completely different depending on the life path that you choose.

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