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Net Worth Comparison by Age and Income

Posted By Jim On 12/18/2006 @ 5:40 pm In Personal Finance | 11 Comments

When I read that Jane Dough got her moniker back [3] and is now blogging over at WomenWallStreetClub [4], I wanted to pop on over to see what a professional personal finance blogger looked like and saw a post about a net worth comparator tool from CNN Money [5] based on income and age that piqued my interest.

Well, it turns out that if you’re 26 like me, the average net worth of our demographic is a whopping \$400. I think there’s a little hiccup in the tool because if you put an age between 25 and 34, it still gives you the value for < 25 even though there are separate bars in the graph and separate colors. Anyway, forgetting that, here's how the graph ends up looking:

Age Range Median Net Worth
< 25 \$400
25 – 34 \$???
35 – 44 \$44,875
45 – 54 \$109,300
55 – 64 \$203,250
65 + \$174,400

The second part of the calculator gives you the average net worth as a function of your income.

Income Range Median Net Worth
< \$25k \$1,100
\$25k – \$50k \$20,000
\$50k – \$75k \$109,975
\$75k – \$100k \$244,100
\$100k – \$125k \$363,125
\$125k – \$150k \$494,100
\$150k + \$817,050

I wouldn’t read too much into the relationship between those two graphs but it does give you an indication of how well you’re doing in terms of saving and spending compared to both your age group and your income group. If you are 30 and have less than \$400 to your name, I’d be a little wary of your overall financial picture.

I originally was going to compare these numbers, taken from a 2005 Market Audit Survey by Claritas, with those from NetWorthIQ [6] but when I put them to a graph, the NetWorthIQ values spiked tremendously near the higher ages and incomes whereas the Claritas values didn’t. I attribute that to the self-selecting nature of folks willing to divulge their net worth values online, but I also recognize that we’re talking about a minuscule data set on NetWorthIQ compared to the entire US population.

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