How much do Americans believe makes someone wealthy in 2024?

When we talk about someone being ‘wealthy’ it’s assumed to mean a significant amount of money, although it’s relative depending on our own net worth among other factors.

But at what level of net worth does a cross section of Americans consider someone to be wealthy? And how does this differ from the amount required to be simply ‘comfortable’?

As part of its Modern Wealth Survey, Charles Schwab has released new data revealing that most respondents think $2.5 million net worth makes someone wealthy, slightly up from the $2.2 million the study found in 2022 and 2023.

But this figure moves significantly when breaking down responses from different generations and states.

For example, while Boomers believe that $2.8 million is the level at which someone is wealthy, followed closely by Gen Xers who said $2.7 million. Millennials said $2.2 million makes someone wealthy, while Gen Zs have more modest opinion at just $1.2 million.

However, participants in San Francisco told the survey that wealthy means net worth of $4.4 million, double the $2.2 million cited by those in Dallas.

There are also varying opinions on the net worth required to be considered ‘comfortable’ with the average across the country for all generations coming in at $778,000. This figure is down from 2023’s $1 million and more in line with the 2022 figure of $775,000.

Again, generations differ with Boomers about average ($780K), Gen Xers well above average ($873K), Millennials slightly below average ($725K), and Gen Zs settling for a modest $406K. Respondents in San Franciso say $1.5 million in required to be comfortable while those in Dallas again came in at around half that ($724K).  

One question though is what percentage of respondents believe they are already wealthy or on track to be so?

Just 10% overall say they are wealthy with another 21% on track to get there. Millennials are most likely to say they are already wealthy (12%) while Gen Zs are most confident that they are on track (29%).

Asked to grade their personal finances, most Americans said A, B, or C for how much they’ve saved, how much they’ve invested, how much they educate themselves about personal finance, and preparedness for retirement. This was higher among those with a financial plan compared to those without.

“‘Wealth’ means different things to different people, whether it’s financial freedom, enriching experiences with friends and family, or a certain dollar amount,” said Rob Williams, CFP, managing director of financial planning at Charles Schwab. “Our survey reinforces that people with a written financial plan are more confident about achieving their personal financial goals. Financial planning helps people understand where they are today and create a roadmap to get where they want to be, whether someone is saving for a single goal, like retirement, or needs comprehensive planning and wealth management.”