- Americans now say it takes $2.5M in net worth to be considered wealthy, up 14% from last year’s $2.2M estimate.
- Definitions of wealth vary by generation, with baby boomers saying it takes $2.8M, while millennials set the bar at $2.2M.
- The survey also found that Americans believe $778K in net worth is needed to be “financially comfortable,” surprisingly down from last year’s $1M.
In 2024, Americans say it takes a net worth of $2.5M to be considered wealthy, according to Charles Schwab’s latest Modern Wealth survey. According to Bloomberg, this figure is 14% higher than it was last year when the threshold was $2.2M.
Rising home prices, stock market gains, and inflation are contributing factors. As living costs rise, so too do American views of what it takes to achieve wealth.
Generational Perceptions
The Schwab survey also highlighted stark generational differences in what it means to be wealthy.
- Baby boomers, for example, believe it takes $2.8M to be considered rich, while millennials place that figure at $2.2M.
- Members of Generation X, many of whom are juggling the financial responsibilities of supporting both children and aging parents, had the highest average estimate for what it takes to be “financially comfortable” — $873K. This amount is 12% higher than boomer estimates and 20% above that of millennials.
Feeling Comfortable
The survey measured perceptions of wealth and also explored how much money Americans think it takes to feel “financially comfortable.”
On average, Americans said $778K in net worth would be enough to achieve financial comfort, a significant drop from last year’s figure of $1M but more aligned with 2022 levels.
The rise to $1M last year was likely driven by inflationary concerns, which have since moderated, resulting in a recalibration of financial comfort benchmarks.
Numbers vs. Emotions
Rob Williams, Managing Director of Financial Planning at Charles Schwab, explained that the concept of wealth is influenced by both numerical factors and emotional perceptions.
“The jump from $2.2 million to $2.5 million demonstrates both sides — the rising cost of living and Americans’ emotion-driven views on what it takes to be wealthy,” Williams said.
Survey Methodology
Conducted by Logica Research, the survey polled 1K Americans aged 21–75 in March 2024. The sample was nationally representative, providing insights into how Americans’ views on wealth have evolved over time and across different age groups.
