A “good” net worth is relative to your age, income, and goals — there is no single number that applies to everyone. A useful rule of thumb is your age times your gross income divided by 10. For broad context, the median US family net worth is $192,900 (Federal Reserve, 2022 Survey of Consumer Finances).
The honest answer: “good” is relative
A good net worth depends on three things — how old you are, how much you earn, and what you are trying to fund. A 25-year-old with $20,000 and no debt is in a strong position. A 60-year-old with the same number is behind on retirement. Net worth without context is just a number. The useful question is not “is this good?” but “is this good for someone in my situation, heading toward my goals?”
Income matters because a higher earner is expected to convert more of that income into wealth. Age matters because wealth compounds — time is the input you cannot buy back. So treat any benchmark as a direction, not a verdict.
A rule of thumb: age × income ÷ 10
The most widely cited benchmark comes from The Millionaire Next Door: your expected net worth equals your age multiplied by your pre-tax annual income, divided by 10 (Stanley & Danko, summarized by Shortform). A 40-year-old earning $80,000 would have an expected net worth of $320,000 (40 × 80,000 ÷ 10).
The authors call you a strong accumulator if your real net worth is roughly double the expected figure, and a weak one if it is half. The formula breaks down at the edges — it is too harsh on people early in their careers and on high earners who just started saving — so use it as a rough gauge, not a scorecard.
What the US data actually shows
If you want population context, the Federal Reserve’s Survey of Consumer Finances is the gold-standard source. As of the most recent 2022 survey, the median US family net worth was $192,900 — the figure where half of families are above and half below (Federal Reserve, 2022).
The mean is far higher, around $1.06 million, because a small number of very wealthy households pull the average up. That gap is exactly why the median is the more honest comparison: it describes a typical family, not a distorted average.
Why net worth climbs with age
The median varies enormously by age, which is the whole point. In the 2022 data, median net worth was about $39,000 for families under 35, roughly $135,300 for ages 35 to 44, and around $410,000 for ages 65 to 74 (Federal Reserve, 2022, via NerdWallet). Older households have had decades for home equity and investments to compound. For a full breakdown, see our guide to the average net worth by age in America.
Benchmarks tied to your goals
The most useful “good” net worth is the one measured against what you actually need to fund. Retirement is the clearest example. Fidelity’s widely used guideline suggests aiming to save roughly 1x your salary by 30, 3x by 40, 6x by 50, 8x by 60, and 10x by 67 (Fidelity).
These are deliberately aspirational goalposts, not pass-or-fail lines. You may miss several and still retire comfortably, especially if you adjust your timeline or spending. The value is in giving you a target to plan against rather than guessing.
Goals change the right number
A “good” net worth for a 35-year-old planning early retirement looks nothing like one for someone happy to work until 70. Buying a home, funding college, or starting a business each shift the target. Once you know what you are saving toward, you can work backward to the number that counts as good for you — which is far more useful than any national median.
Frequently asked questions
What is a good net worth by age?
There is no fixed line, but the Federal Reserve’s 2022 median figures give context: about $39,000 under 35, $135,300 for ages 35 to 44, and $410,000 for ages 65 to 74 (Federal Reserve, 2022). Use them as reference points, not targets.
Is a net worth of $1 million considered good?
For most US households, $1 million places you well above the $192,900 median net worth (Federal Reserve, 2022). Whether it is “enough” still depends on your age, cost of living, and goals — $1 million funds a far longer retirement at 65 than at 45.
What is a good net worth for my income?
A common benchmark is age times pre-tax income divided by 10. A 45-year-old earning $100,000 would have an expected net worth around $450,000. Being roughly double that suggests you are a strong saver; well below it suggests room to accumulate more.
Should I compare my net worth to averages or medians?
Use the median. The average US net worth (about $1.06 million) is skewed upward by a small number of very wealthy households, while the median ($192,900) describes a typical family (Federal Reserve, 2022). Comparing to the median gives a fairer read.
See where you stand
The honest “good” net worth is the one that puts you on track for your own goals — and you cannot judge it until you know your number. Start by learning how to calculate your net worth, then keep it updated automatically. Rather than rebuilding a spreadsheet each quarter, Treasury connects your real accounts read-only and answers money questions in plain English, so your net worth stays current on its own. See pricing and start a 14-day free trial.