Net worth is the single number that sums up your finances: what you own minus what you owe. Comparing it with people your age gives useful context, as long as you compare with the right figure.
Median and average net worth by age
| Age of household head | Median net worth | Average net worth |
|---|---|---|
| Under 35 | $39,000 | $183,500 |
| 35–44 | $135,600 | $549,600 |
| 45–54 | $247,200 | $975,800 |
| 55–64 | $364,500 | $1,566,900 |
| 65–74 | $409,900 | $1,794,600 |
| 75 and over | $335,600 | $1,624,100 |
Source: Federal Reserve, 2022 Survey of Consumer Finances, in 2022 dollars. The survey runs every three years and figures are per household, not per person.
Why the average is so much higher than the median
Wealth is very unevenly spread. A small share of households hold a large share of all assets, which lifts the average far above what a typical family has. The median is a better yardstick: if you're above it, you're doing better than half of households your age.
What drives net worth at each stage
- Under 35: student loans and car loans often outweigh savings. Paying down high-interest debt and starting retirement contributions early count for the most here.
- 35–54: home equity and retirement accounts usually become the largest assets. The gap between savers and non-savers widens fastest in these years, thanks to compounding.
- 55–74: net worth typically peaks just before or early in retirement, then levels off as people start drawing on savings.
For retirement savings specifically, see how much you should have saved for retirement by age.
How to calculate your net worth
- List your assets: cash, investments, retirement accounts, your home at a realistic market value, and vehicles at resale value.
- List your debts: mortgage balance, car and student loans, credit cards and anything else you owe.
- Subtract debts from assets. The net worth calculator does this for you and lets you save snapshots on your device to track progress.
How to grow your net worth
- Pay off high-interest debt. Every dollar of a 24% credit card you pay off raises your net worth and stops the interest. Plan it with the debt snowball calculator.
- Automate saving. Set a monthly amount with the savings goal calculator and have it moved on payday.
- Invest for growth. Cash loses value to inflation over time. The compound interest calculator shows how regular investing adds up.
- Avoid fast-depreciating purchases on credit, which add debt while the asset loses value.
This guide is general information, not financial advice.