Here's how much Americans say they need to earn to feel financially secure (2024)

FAQs

Here's how much Americans say they need to earn to feel financially secure? ›

On average, Americans feel they'd need to earn over $186,000 to feel financially secure or comfortable, the survey found, while that's a 20% drop from inflation-heavy 2023 it's still more than two times what the average full-time, year-round worker earned in 2022 (about $79,000), according to Census Bureau data.

According to a recent Bankrate survey, many Americans believe they need an annual income of about $186,000 to feel secure, but the reality for most households is quite different.

Americans have a specific annual income in mind for what it would take to feel financially secure, according to a new survey from Bankrate. The magic number? $186,000 per year. Currently, only 6% of U.S. adults make that amount or more, Bankrate said.

Nearly nine in 10 survey-takers (88%) reported feeling financial stress, with 65% stating that their finances are the most stressful aspect of their life. Financial stress is common among all generations, but younger Americans polled say they feel the strain more than most.

Broadly speaking, financial stability means being free of debt and being able to comfortably pay off monthly expenses (with plenty left over for savings). Financial security, on the other hand, means having enough money to cover your expenses, emergencies, and retirement without the fear of running out.

It provides a safety net in times of emergencies and unexpected expenses. Freedom and Independence. With financial security, individuals have the freedom to make choices that align with their values and goals. It enables them to pursue their passions, take calculated risks, and enjoy greater independence.

Your deposits are automatically insured to at least $250,000 at each FDIC-insured bank.

Key Findings. 48.6% of Americans consider themselves to be “broke,” and 66.2% feel they are “living paycheck to paycheck.” There is a gender gap in the results: Females are more likely to consider themselves “broke” at 55.8%, compared to males at 41.1%.

What is considered good money in America? ›

“Good income is relative to the average household income in America, which is $78,000 right now.” Real median household income in the U.S. was $78,250 in 2019 and fell to $74,580 in 2022, according to the Census Bureau. "You're not a bad person. You're not a horrible income earner. You're not lazy.

Based on that figure, an annual income of $500,000 or more would make you rich. The Economic Policy Institute uses a different baseline to determine who constitutes the top 1% and the top 5%. For 2021, you're in the top 1% if you earn $819,324 or more each year. The top 5% of income earners make $335,891 per year.

Key Takeaways. Net worth is the difference between the values of your assets and liabilities. The average American net worth is $1,063,700, as of 2022. Net worth averages increase with age from $183,500 for those 35 and under to $1,794,600 for those 65 to 74.

Recent MarketWatch Guides survey results indicate that 66.2% of Americans feel like they're living paycheck to paycheck. Respondents struggling to make ends meet span demographics, including genders, generations and incomes.

More than a quarter of US adults are struggling financially. 72% of Americans reported “living comfortably” or “doing okay,” according to December 2023 data from the Federal Reserve.

Nearly two-thirds of middle-class Americans say they are struggling financially: 'Gasping for air' A majority of middle-class Americans are experiencing financial hardship that they expect will continue for the rest of their lives, according to a new poll.

1. Financial health declined for the first time in five years of Pulse research, as the proportion of people considered Financially Healthy decreased over the past year. The percentage of people considered Financially Healthy decreased from 34% in 2021 to 31% in 2022.

The most common signs of a financially stable person include having little to no debt, being able to make and stick to a budget, having a healthy amount of money in savings, and having a good credit score.

At least 20% of your income should go towards savings. Meanwhile, another 50% (maximum) should go toward necessities, while 30% goes toward discretionary items. This is called the 50/30/20 rule of thumb, and it provides a quick and easy way for you to budget your money.

Recent MarketWatch Guides survey results indicate that 66.2% of Americans feel like they're living paycheck to paycheck. Respondents struggling to make ends meet span demographics, including genders, generations and incomes.