The Millionaire Myth: Understanding the Number of U.S. Households and Individuals with a Net Worth of $1 Million

As of 2023, it was estimated that there were around 22 million households in the United States with a net worth of 1 million or more. This statistic reflects the growing number of individuals and families who meet this income benchmark, which can fluctuate due to changes in the economy, stock market performance, and real estate values.

Breakdown by Major Factors

Financial institutions and wealth management firms often provide the most accurate and up-to-date statistics on wealth distribution within the United States. According to recent reports, approximately 8% of the adult population have a net worth of $1 million or more. Reports from the Swiss bank Credit Suisse 2022 indicated that there are 24.5 million millionaires in the U.S. or 9.7% of the adult population.

High Net Worth Individuals

A subset of the millionaires is the high net worth individuals (HNWI), who have investible net assets of at least $1 million. These individuals typically exclude residences, cars, and other physical assets from their net worth calculations. The HNWIs in the U.S. account for about 1.5% of the adult population.

According to the Credit Suisse 2019 wealth report, there are over 19 million individuals in the U.S. who have a net worth of at least $1 million. This means that a significant portion of the U.S. adult population falls into this category, highlighting the wealth discrepancies within the country.

Age Distribution of Millionaires

Age is a significant factor in determining the number of millionaires in the U.S. Approximately 12% of American households have a net worth of $1 million or more. This amounts to an estimated 15.36 million households. The percentage of millionaires increases with age, with 18% in the 65-69 age bracket and up to 21% in those 80 and over. This trend suggests that experience and investment strategies play a crucial role in building significant wealth.

It is worth noting that these figures can vary depending on the specific data source and the time period considered. To stay current, it is advisable to consult the latest reports from financial institutions or wealth management firms. A Net Worth Percentile Calculator from the Center for Economic and Social Research at the University of Southern California can provide additional insights into the wealth distribution across different income groups.

Conclusion

The United States is indeed a wealthy nation, with significant numbers of individuals and households achieving a net worth of $1 million or more. Understanding the dynamics of wealth distribution can help policymakers, financial planners, and individuals make informed decisions about their financial futures.

For the latest and most accurate figures, refer to the latest reports from reputable financial sources.