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HN bias in these statements is wild. The average 30-year old probably has closer to $5k in savings and somewhere around that in net worth.
by caseyy 3y ago
HN bias in these statements is wild. The average 30-year old probably has closer to $5k in savings and somewhere around that in net worth.
- rufus_foreman 3y agoDefinitely crazy bias, but it isn't that low. The Federal Reserve does a triennial Survey of Consumer Finances, in 2022 the median net worth for someone under 35 was $39,000. The average net worth for someone under 35 was $183,500, https://www.federalreserve.gov/publications/files/scf23.pdf https://www.federalreserve.gov/publications/files/scf23.pdf. So yes, it is true that the average 30 year old does not even have close to either $10 million or $1 million.
- caseyy 3y agoUnderstandable for the US. Still, the median is closer by orders of magnitude to 5k than 1M. I was loosely estimating the numbers for the Western world, including West Europe, in my head. I don’t know that many people who have significantly above $5k/£4k savings in the UK. The average worldwide net worth for 30 year-olds is probably a lot more meager than my estimate.
- rufus_foreman 3y agoNet worth doesn't just include savings, it includes home equity and even equity in vehicles. In the US, right around 50% of 30-34 year olds are homeowners. If someone has been making payments on a house they will be adding to their net worth, especially recently with the rise in housing prices. For non-rich people in the US, the majority of their net worth will be their home equity.
- caseyy 3y agoIt does include debt and its price though. So you may have a mortgaged home but still hover around zero net worth for a little bit.