This page contains a net worth by age percentile calculator for the United States in 2016 (newest data as of in 2019).
Enter net worth and the age of a household primary earner for a net worth percentile estimate, down to the closest 1%.
Net Worth By Age Calculator for the United States
What is Net Worth?
Net worth is the most important number in personal finance. Net worth is your value today assuming you sold everything and paid off all your debts. Crossing your net worth with age is even better – it’s a running tally of how you’ve saved, budgeted, and invested over a career.
How do you calculate your net worth?
To calculate your net worth, first add up the dollar value of all of your assets. That includes your home, car, all bank accounts, brokerage accounts, retirement accounts, and other things of value.
Next, subtract the sum of all of your debts. This category includes your mortgage, credit card debts, student loans, personal loans, and everywhere else you owe money.
That final number is your net worth. With your net worth and age, you can compare your performance with the average, median, and other wealth percentiles on this page.
Want an easier way? Personal Capital calculates and tracks your net worth over time, and you can compare to others by age, net worth, or budget. They also provide investing advice so you can get the most from your investments – and they also help you eliminate fees and reduce spending.
What is the Average Net Worth By Age in America? (And Median)
Below we’ve calculated the median and average net worth for all ages in the United States. We made two calculations: one for net worth including a house, and one without.
Average net worth ranges from $93,982.80 for 18-24 year olds to $316,660.61 all the way up to $1,180,377.62 for 60-64 year olds.
|Age of Household Head||Average Wealth||Median Wealth||Average Wealth (No House)||Median Wealth (No House)|
(Even though we ran numbers both ways, you should include your primary residence in your net worth calculation).
For past comparisons, check out our archived calculator for 2013.
Accredited Investors in America Based on Net Worth and Age
Net worth is the primary way investors become Accredited Investors. These investors can access special investments – hedge funds, venture capital, private equity, and other investments and placements such as franchises.
Our estimates of Accredited Investors by age vary between .52% of households headed by a 25-29 year old up to 16.5% for 80+ years old. Want more? See our post on the number of accredited investors in America.
Methodology and Source on the Net Worth by Age Calculator
Data comes from the 2016 Federal Reserve SCF, first released in September, 2017. For a full discussion on our net worth methodology, see our net worth brackets page. The net worth percentile calculator discusses valuing primary home equity. As an important note, remember that we’re looking at discrete households here. Especially for younger individuals, if an adult is living in another home their net worth is rolled up with the primary earner.
We are also in debt to Anthony Damico and his online R analysis booklet ASDFree. It makes SCF analysis much smoother – please check it out if you’re interested in running these calculations yourself.
Where is the 2019 Net Worth by Age Calculator?
Unfortunately, the SCF is currently only conducted on a three year cadence. We expect to add 2019 net worth data near the end of 2020.
Net Worth by Age Calculator Data Quality
Due to popular demand, we shifted the age range breakdown from the 2013 Age Percentile Calculator. We now include 13 age ranges, carefully selected to shine a better light on (common) retirement brackets. Note that our divisions are finer than the Fed’s choices, some of these brackets are relatively sparse in data points. Especially when looking at the lowest and highest percentages, keep the uncertainty in mind.
Here are the number of data-points and corresponding estimated American households in each age bucket:
|Age Group||Estimated Households||Datapoints|
(Data-points here are actual survey responses in the public set, not the total number in all replicates.)
Why Care About Net Worth By Age?
When discussing net worth, there’s a tendency to compare wealth across age groups without any consideration about whether that’s appropriate. It isn’t, for a number of reasons:
- Older people heading households are more likely to have spouses.
- Age is a reasonable proxy for job experience and skills, and experience commands higher pay.
- Households headed by older people have been accumulating wealth longer.
There is a skew towards wealth being held by older folks, which should be the case if a society is producing wealth. This makes cross age wealth comparisons dubious at best – it’s best to compare relative wealth within peer groups. Hence the calculator!
Always remember one inevitable fact: people get older. The households with 18-24 year olds heading them will eventually be headed by 60-64 year olds, with additional (or different) household members. Since you can’t relive past years, cross-age comparisons don’t make as much sense. Your 35 year old self can’t accumulate for 25 year old you. However, you can save for you at 38.
We suggest keeping an eye on relative wealth among your peers, or wealth between adjacent age groups. Good luck with your wealth accumulation!