What Should Your Net Worth Be Right Now? Ep #203

What should your net worth be? Where do you compare to the average investor? As a listener of this podcast, I think you are an above-average person. So what should your net worth be if you are above-average? In this episode of Best in Wealth, I share seven traits that make you an above-average person. Then I will share what the net worth of an above-average person might look like. Do nit miss this episode!

Outline of This Episode

• [1:07] Do you compare yourself to others?
• [3:50] The average net worth in America based on your age
• [6:11] The traits that make you an above-average person
• [12:34] The net worth of an above-average person

The average net worth in America based on age

According to the latest Federal Reserve Consumer Financial Survey, the average net worth per age is:

• Under 35: $76,000
• Between 35–40: $288,000
• Between 45–54: $727,000
• Between 55–64: $1.2 million

I do not love these numbers. Why? They do not account for above-average people and they are skewed by the numbers of the super-rich. The median net worth in America is much lower than reported in the survey at $97,300. $97,300 accounts for all age groups and net worth’s.

I do not want a skewed number. And I think we need to push ourselves to financial freedom as quickly as possible.

The traits that make you an above-average person

Here is what I believe makes an above-average investor:

1. You must be a hard worker. You have to put in the time to be successful. Do not expect great things to happen if you are not working hard.
2. You must take responsibility for your actions. You are in control of yourself. Do not blame others for the situation you are in.
3. You need to believe in yourself. If you do not believe in yourself, you will never be an above-average person.
4. You need to spend less than you make. You need a great spending plan to do that. People that find themselves in debt spend their whole lives trying to get out of debt.
5. You need to be committed to saving for the future. The first line item in your spending plan should be the percent you are saving for the future. You should all strive for 15% of your gross income (if not more). Max out your 401k, IRA, and investment accounts.
6. Understand compounding interest. You need an investment policy statement that dictates how you invest (stocks, real estate, bonds, etc.).
7. You need to look in the mirror and say, “I’m going to be disciplined.” Be disciplined with your spending plan, the amount of money you are going to save, and how much you invest.

If you implement all of these steps, I believe you are an above-average person.

The net worth of an above-average person

I do not have data to support these numbers. But it is a good place to start. What could your net worth be if you are an above-average person?

• By 30: $250,000 or more
• By 35: $429,000
• At 40: $660,000
• At 45: $914,000
• At 50: $1.25 million
• At 55: $1.68 million
• At 60: $2.1 million

We all spend time comparing ourselves to others—but everyone is different. We will all have a different net worth depending on our unique retirement plan and how we want to live out our days. Listen to the whole episode to learn more about net worth and working your way toward financial freedom.

Resources Mentioned

• Changes in U.S. Family Finances from 2016 to 2019

Connect With Scott Wellens

• Schedule a discovery call with Scott
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• Visit Fortress Planning Group
• Connect with Scott on LinkedIn
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• Fortress Planning Group on Facebook

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Podcast Disclaimer:

The Best In Wealth Podcast is hosted by Scott Wellens. Scott Wellens is the principal at Fortress Planning Group. Fortress Planning Group is a registered investment advisory firm regulated by the Securities Act of Wisconsin in accordance and compliance with securities laws and regulations. Fortress Planning Group does not render or offer to render personalized investment or tax advice through the Best In Wealth Podcast. The information provided is for informational purposes only and does not constitute financial, tax, investment or legal advice.

About the author, Scott Wellens

Scott Wellens, CFP® is an investment advisor and founder of Fortress Planning Group. After earning his Bachelor of Science degree from the University of Wisconsin-Oshkosh, Scott quickly ascended to become a Vice President of North American Sales at a major regional provider of telecommunications infrastructure. While financially successful in this role, Scott searched for ways to pursue his passion related to financial literacy and providing financial freedom for both his own family and others. During his search, Scott became curious about the significant gap he found in the financial services sector: he was unable to find a comprehensive financial planner that maintained a family stewardship lens without being attached to financial products. Scott decided to fill that gap by creating his own planning firm that maintains a strong passion for comprehensive, unbiased wealth planning that is genuinely client-centered.

Scott resides in Menomonee Falls, WI with his family. He is the father of three active and independent daughters who keep him on his toes. Scott is an active community member, serving on the Hamilton Education Foundation Board, serves as a Dave Ramsey Financial Peace facilitator and leads the All Pro Dad’s group at their local elementary school. Scott enjoys spending his free time visiting state parks with his family, reading, and watching the Milwaukee Bucks and the Green Bay Packers win ball games.

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