The Average Net Worth Of Millennials By Age


Net Worth of Millennials

Let’s not sugar coat it – we’re all a bit voyeuristic when it comes to other people’s money. How much do you think they make? How much do you think they have? How did they afford that car? Can you believe that so and so is buying a house?

​So let’s focus on one metric – net worth. And let’s talk about millennials – which is likely you, and is me too.

​Why millennials? Well, the media seems to portray millennials as broke, unable to pay their student loans, and never able to buy a house. Millennials are supposedly delaying marriage and all sorts of stuff because they are poor and burdened by debt.

I don’t think that’s the case. With anything financially related, there is never an easy answer. But I think there are just as many millennials crushing it financially. I know first hand that some millennials are already millionaires. 

​Maybe the trouble is how we define millennials? Maybe there’s a bigger picture here we need to consider. Maybe we just need to ignore the mainstream media when it comes to wealth. Let’s break it down and then look at the average net worth for millennials.

To keep is easy, the average millennial net worth is $10,400. But that is really skewed given the age ranges. See our charts below.

Note: I originally wrote this article in 2016, and there was no data available to figure out millennial net worth. Over the last few years, several surveys have polled millennials, with the most recent one being Deloitte. In their survey, they found millennials have an average net worth of $8,000 – just shy of our estimate of $10,000. 

Regardless of $8,000 or $10,000, I strongly urge you to think about the high achiever net worth – trust me, I know plenty of millennials who are way above average and it’s possible.

If you’re looking for a way to improve your net worth, consider the free online personal finance app called Personal Capital. It’s designed for millennials who want to take control of their spending habits and start making positive changes. Get started for free here >>

Who Are Millennials?

Millennials are technically anyone born between 1982 and 2000 (always subject to change). Basically, these people are roughly 19 to 37 today. That’s roughly 81 million Americans. We more fully break down the millennial age range here.

​What makes them unique as a generation? Well, millennials likely were little kids in a time before computers and cell phones were everywhere. They likely remember getting their first computer and cell phone, and it was a big deal. The likely encountered technology for the first time at school – playing Oregon Trail on a green computer screen.

​When it comes to money, millennials do have some of the highest student loan debt rates of any generation in history. The average millennial has $30,000 in student loans.

​Depending on when the millennial graduated college, they could have entered a terrible or awesome job market. Remember, some millennials graduated from college before the financial crisis of 2007, some during it, and some after it. When you graduated from college played a huge role in your earnings right out of school.

Millennials are also all dealing with life events at different times as well – from buying a house to getting married, some did it before the recession and some after. As a result, even some older millennials can still be behind.​

So, it’s really a mixed bag when it comes to millennials. They’re hard to define financially.

But one thing’s for sure – they’re not dumb when it comes to their money. They are combining technology and money like never before (mobile banking, financial apps, etc), and they want their money to work for them. However, the traditional banking and finance sector hasn’t caught up, and millennials really don’t like engaging with traditional brick and mortar finance. As such, there is a divide here.

When looking at net worth for millennials, these are all factors to consider.

Factors To Consider About Millennial Net Worth

When I think of the main factors that fall into millennial net worth, here’s what we need to consider.

First, we need to consider when millennials graduated. If millennials are 19 to 38 today, some haven’t even graduated college yet. However, if you’re 38 today, you likely graduated from college 17 years ago – or 2003. That was before the last financial crisis.

Second, we need to look at the average salaries of graduates by year. NACE has a great survey that they conduct to look at the average salary of college graduates each year. Here’s how that looks:

Age

Starting Salary

38 (Class of 2003)

$40,818

37 (Class of 2004)

$43,124

36 (Class of 2005)

$41,376

35 (Class of 2006)

$42,881

34 (Class of 2007)

$43,094

33 (Class of 2008)

$42,414

32 (Class of 2009)

$41,546

31 (Class of 2010)

$40,766

30 (Class of 2011)

$41,701

29 (Class of 2012)

$44,259

28 (Class of 2013)

$45,327

27 (Class of 2014)

$48,127

26 (Class of 2015)

$50,561

25 (Class of 2016)

$52,569

24 (Class of 2017)

$51,022

23 (Class of 2018)

$50,994

22 (Class of 2019)

$50,004

Third, we need to discuss student loans. Student loans are a huge factor in millennial net worth, so we want to consider the average amount of student loan debt millennials had when the graduated (data here). Just look at the chart below – just within the “millennial generation”, student loan debt has doubled, on average. For current students, I estimated how much student loan debt they’d have currently – with next years graduates on track to set records again.

Age

Average Student Loan Debt

38 (Class of 2003)

$18,271

37 (Class of 2004)

$18,608

36 (Class of 2005)

$19,669

35 (Class of 2006)

$20,790

34 (Class of 2007)

$21,975

33 (Class of 2008)

$23,228

32 (Class of 2009)

$24,664

31 (Class of 2010)

$26,125

30 (Class of 2011)

$27,707

29 (Class of 2012)

$29,384

28 (Class of 2013)

$29,455

27 (Class of 2014)

$29,526

26 (Class of 2015)

$29,597

25 (Class of 2016)

$29,669

24 (Class of 2017)

$29,740

23 (Class of 2018)

$29,812

22 (Class of 2019)

$29,900

Finally, we do have to make some assumptions about saving. Remember, net worth is all about assets minus debt. But income plays a huge role and how much income is saved and how much debt is payed off really makes a difference. For the “average” millennial, I’m going to look at average savings rates for the calculation. For the above average millennial, we’re going to factor in IRA and 401k savings, as well as home equity.

Year

Average Annual Savings Rate

2003

4.8%

2004

4.6%

2005

2.6%

2006

3.3%

2007

3.0%

2008

4.9%

2009

6.1%

2010

5.6%

2011

6.0%

2012

7.6%

2013

4.8%

2014

4.8%

2015

5.1%

2016

6.4%

2017

7.0%

2018

7.6%

2019

8.1%

The Net Worth of Millennials By Age

As we compare the net worth of millennials by age, I want to look at average and stretch goals. I think it’s important to always consider the average, but I also want to leave you with a stretch goal to get yourself in the top 1%.

Remember, net worth is assets minus liabilities. As we discussed earlier, the main assets we’re focusing on is savings, based on income. The main liability is student loan debt.

Also, you have to remember that we’ve seen exceptional growth over the last few years due to a growing economy and bull market. These have helped compound growth at faster levels than can likely be expected in the future.

Finally, I want to re-emphasize that these are just my estimates. The Federal Reserve data lumps everyone under 35 into one bucket, so while we have some starting points, things can always skew one way or another.

However, I think it’s a great starting point for discussion, so let’s jump into it.

Average Millennial Net Worth By Age

Age

Average Net Worth

38 (Class of 2003)

$33,173

37 (Class of 2004)

$25,152

36 (Class of 2005)

$20,612

35 (Class of 2006)

$16,132

34 (Class of 2007)

$11,494

33 (Class of 2008)

$6,690

32 (Class of 2009)

$4,159

31 (Class of 2010)

$2,093

30 (Class of 2011)

-$1,989

29 (Class of 2012)

-$6,043

28 (Class of 2013)

-$10,168

27 (Class of 2014)

-$14,447

26 (Class of 2015)

-$18,988

25 (Class of 2016)

-$23,704

24 (Class of 2017)

-$28,706

23 (Class of 2018)

-$33,984

22 (Class of 2019)

-$38,915

I tried to make these estimates line up with the real data as best as possible, but most real data points exclude negative net worth for millennials buried in student loan debt.

For reference, the median of millennial net worth is $10,400. The true geometric average of millennial net worth is actually $75,500 – but that number is heavily skewed by outliers like Mark Zuckerberg.

So, what that means is, if you want to be “better” than average, the 50% mark is $10,500 overall. Here you can see my best estimate of the 50% mark by age.

Notes: This assumes that students don’t work or work marginally during school, maintain an average amount of student loan debt, and get average employment after graduation. It’s why you see the net worth jump a lot right after graduation – income! Also, the older millennials have benefited from a bull economy, seeing their small nest egg growing more over the last few years.

High Achiever Millennial Net Worth By Age

Now that you’ve seen what average is, what does it take to be above average? Well, anything better than the chart above is above-average. But I want to give you a stretch goal. I call this the high achiever millennial net worth by age.

How do you get here? A few key areas:

Age

High Achiever Net Worth

38 (Class of 2003)

$435,405

37 (Class of 2004)

$415,341

36 (Class of 2005)

$373,844

35 (Class of 2006)

$341,174

34 (Class of 2007)

$329,624

33 (Class of 2008)

$308,441

32 (Class of 2009)

$287,593

31 (Class of 2010)

$267,169

30 (Class of 2011)

$231,957

29 (Class of 2012)

$215,082

28 (Class of 2013)

$193,302

27 (Class of 2014)

$166,425

26 (Class of 2015)

$142,767

25 (Class of 2016)

$104,765

24 (Class of 2017)

$72,706

23 (Class of 2018)

$41,518

22 (Class of 2019)

$28,915

What are some of your thoughts on this? Do you think an 2 year old can have $28,915 saved up and graduate college debt free? I think it’s definitely possible – especially the high achievers that started working at 16 (or earlier) and saved a bunch.

I think that these high achiever net worth amounts are very do-able. They are a stretch, but not unheard of. And these amounts will clearly make you above average.

Notes: There’s a huge jump around the 30 year old range, and that’s all due to the Great Recession. The compounding just didn’t kick in and there wasn’t a big nest egg to start going into it.

Millennial Net Worth FAQ

Here are some common questions when it comes to millennial net worth.

What is the average net worth of millennials?

The average net worth of millennials is $10,400. However, this varies quite a bit across the millennial age range.

What is the millennial age range?

Millennials were born between 1982 and 2000, making them roughly 19 to 37 today.

What is the average millennial starting salary?

Millennial starting salaries vary quite a bit by graduation year. Starting salaries have ranged from $40,818 to $52,569.

What is the average millennial student loan debt?

Millennials have graduated with anywhere $18,217 to $29,000 in student loan debt on average.

Are millennials doing well?

There is a big divergence in millennial success. Many millennials are doing extremely well, but others are struggling. There are plenty of millionaire millennials, but there are also many millennials in poverty.

How To Boost Your Net Worth

Now that you know the average and above average net worth, how do you get there? It’s time to start looking at ways to boost your net worth. 

As I mentioned above, it’s essential to track your net worth. I’m a fan of Personal Capital, because it’s free, has great tools, and it’s online. Check out Personal Capital here.

The great thing is that you’re still young and you have a ton of time on your side. Time is the biggest ally you have in building wealth. But if you want to grow it (and fast), here are two more key areas to focus on.

Boosting Your Income – As mentioned earlier, income is one of the key drivers in building assets and eliminating debt. The more income you have, the easier it is to grow your net worth. I want to challenge you to earn at least an extra $100 per month. We have a great list of ideas to get started. I’m a firm believer that everyone can earn more if they try.

Eliminating Your Debt – One of the biggest struggles millennials have is overcoming a negative net worth and making it positive. Eliminating that student loan debt is key. Leverage your additional income but also look at student loan repayment strategies to help lower that debt.

Conclusion

The fact is not everyone is average or above average when it comes to net worth. But knowing where you stand is incredibly important. It can validate your current financial plan, or it could provide motivation for you to make financial changes in your life.

Don’t be discouraged if you’re not hitting the bar yet. Follow the strategies we discussed and start working towards building real wealth.

What are your thoughts? Are you a millennials that’s above average or below? What do you think is the driver of that?

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