Tom Van Riper at Forbes.com has an interesting article and slideshow that talks about how American families have changed financially over the past few decades.
Mr. and Mrs. Median’s $46,326 in annual income is 32% more than their mid-’60s counterparts, even when adjusted for inflation, and 13% more than those at the median in the economic boom year of 1985. And thanks to ballooning real estate values, average household net worth has increased even faster. The typical American household has a net worth of $465,970, up 83% from 1965, 60% from 1985 and 35% from 1995.
I find it interesting that when looking at the numbers we are clearly doing better than previous generations in terms of income and building wealth, yet the general feeling from the middle-class is that times are tough and we are not doing as well. It probably has something to do with the younger generations feeling a part of an entitlement society where it is just expected to be successful and do better than those before you.
Author: Jeremy Vohwinkle
My name is Jeremy Vohwinkle, and I’ve spent a number of years working in the finance industry providing financial advice to regular investors and those participating in employer-sponsored retirement plans.