What Should Your Net Worth Be by Age?

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Your target net worth by age depends on your financial goals, but ideally, it should grow over time. According to The Federal Reserve’s Survey of Consumer Finances, the average net worth by age for the reference person of U.S. families ranges from $183,380 to $1.780 million, depending on the age group. The reference person is the person responsible for finances in the home — essentially, who owns or rents where you live.

Understanding what your net worth is by age will help you plan your financial future. Here’s an overview of net worth benchmarks by age and tips on how to grow net worth.

What Is Net Worth?

The total of what you own — your assets — minus what you owe — liabilities — makes up your net worth. Assets can include a paid-off house, cash you have in a bank account or a car you own. Liabilities can include credit card debt and any loans you haven’t paid off. 

The Federal Reserve’s Survey of Consumer Finances gathers data on the median net worth and mean — or average — net worth of U.S. family finances, which is shared in the charts below. Keep in mind that the average net worth tends to be higher than the median net worth because high-net-worth U.S. households can impact the average more.

Determining your net worth is important because it gives you a look into your current financial situation in real-time and acts as a strong indicator of your overall fiscal health.

Net Worth Benchmarks by Age

Experts recommend watching your financial progress as you age. Start by calculating your net worth now and then circle back once or twice a year. 

Here are some checkpoints to see what your net worth should be by age:

Your 20s: Building the Foundation

You probably just started your career in your 20s and likely have some student loan debt, so it might be difficult to think about how to build your net worth. The reality is that the financial decisions you make during this decade can lay the foundation for your entire financial life. 

The good news is that it’s not impossible to create a solid net worth even during your younger years. For one thing, your current income level will likely go up as you age. Many first careers usually come with other advantages to help you grow wealth, including a 401(k) plan that might include an employer match. Making the most of these advantages can push your net worth in a positive direction.

If your total assets and savings exceed the money you owe on loans and other liabilities, you’ll be well on your way to getting your finances in order.

Here’s the average and median net worth of families whose reference person is under 35:

Your 30s: Accelerating Growth

As you head into your 30s, it’s advisable to kick your savings into higher gear. This should be your extreme growth phase. In a perfect world, your student loans are disappearing, your salary is increasing, and other debts are being paid off. 

Not sure how much you should have in savings? By age 30, aim to have the equivalent of your income for retirement savings. If you’re making $70,000 in your 20s, for example, strive for $70,000 in savings by age 30. Every year after, you should steadily increase your savings.

You can achieve this by making a budget and sticking to it, starting to invest and contributing regularly to your 401(k). If your ultimate goal is to be considered wealthy, keep in mind that you would need a net worth of $2.3 million to qualify, according to a survey by Charles Schwab.

Here is the median and average net worth for families whose reference person is between the ages of 35 to 44:

Your 40s: Peak Earning Years

Now that saving is ingrained into your financial plan, the key is to continue on that path forward. By age 40, your goal is to have a net worth of three times your annual salary. If your salary goes up to $80,000 in your 30s, then by age 40, you should aim for savings of $240,000. Because retirement is getting closer, your 40s should be a time to focus on your earning power and making as much money as possible.

As you continue to build your net worth, you will also be establishing where you are in terms of income class. As a reference point, according to a 2024 piece from Pew Research Center, the upper-income class had incomes greater than $169,800. This can also be a guide to where your net worth stands.

Here’s the median and average net worth for families whose reference person is between the ages of 45 to 54:

Your 50s: Preparing for Retirement

Your 50s allow you to reach the top of your savings mountain. Theoretically, these should be your highest-earning years, so you should be at peak savings power. By this time, the kids are probably on their own, your mortgage is paid off and, according to Fidelity, your savings should be six times your salary. That means if you’re making $100,000 in your 40s, you should have a target net worth of $600,000 beginning at age 50.

Here’s the median and average net worth for families whose reference person is between the ages of 55 to 64:

Your 60s and Beyond: Retirement and Legacy Planning

Because retirement is on the horizon, your 60s will determine your lifestyle for the rest of your life. What you do here can make all the difference in what you decide to do post-career. 

Fidelity suggests that at 60, you’ll want eight times your current salary saved, and by 67 — the average retirement age — you’ll want 10 times your salary saved. 

Once you’re ready to retire, your focus should be on smart decisions with your assets. To ensure your money fully lasts throughout your retirement, you need to know how to manage retirement withdrawals. If you haven’t done so yet, you should also consider estate planning and thinking about who you want your assets to belong to upon your death.

Here is the median and average net worth for families whose reference person is between the ages of 65 and older:

How To Improve Your Net Worth at Any Age

If you’re looking for ways to improve your net worth, consider the following tips for each age range:

• Your 20s: Invest as early as you can. Create a budget that works for you. Build your emergency fund.
• Your 30s: Build your savings and investments. Find ways to grow your income, whether it’s through passive income or a side hustle. 
• Your 40s: Maximize contributions to IRA or 401(k).
• Your 50s: Focus on turning liabilities into assets by paying off your loans and debt.
• Your 60s: Hone in your retirement strategy, so you have a plan for the future.

Focusing on specific goals at different stages can help you build a solid foundation for your finances. It can also prevent lifestyle creep because you’re continuously amping up your savings and investing strategies.

Don’t Put Off Saving Until Tomorrow, Start Today

The reality is that it’s never too late to get your financial cards in order. Don’t be discouraged if your net worth doesn’t look like what’s outlined here. Many variables contribute to calculating your net worth by age. The key thing to remember is that you shouldn’t delay what you can do today to improve your financial health.

This article has been updated with additional reporting since its original publication.

Figures from the Federal Reserve survey are from 2022 and reflect families rather than individuals.

John Csiszar contributed to the reporting for this article.

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