The latest Consumer Finance Survey released by the Federal Reserve in the United States revealed that, adjusted for inflation, the median net worth of American households rose by 2% from 2022 to 2025 to $215,900.
The report, compiled by the Federal Reserve Board’s Division of Research and Statistics, was published in October. Data was derived from the triennial Survey of Consumer Finances (SCF), which surveyed 4,367 households in 2025. All amounts in the report have been adjusted for inflation in 2025 US dollars.
During the same period, the average net worth of households increased by 7% to $1,241,500. The report noted that the larger increase in the average compared to the median typically indicates faster growth of assets among the wealthier segment, but the overall wealth inequality level remained relatively stable compared to 2022.
The report concluded that between 2022 and 2025, with a mild economic expansion and high inflation, the incomes and net assets of most households grew modestly, but the proportion of households experiencing financial pressure was on the rise.
Retirement accounts rank second among the financial assets held by American households, after transaction accounts such as checking and savings. These retirement accounts include individual retirement accounts (IRAs), as well as employer-sponsored accounts like 401(k), 403(b), and Thrift Savings Plan (TSP) for federal employees.
In 2025, 54.9% of households held retirement accounts, up by 0.6 percentage points from 2022. Among account holders, the median account balance increased by 11% to $106,000, while the average balance rose by 23% to $451,100.
The report also analyzed households where the head of the household is under 64 years old and generally not yet retired. The participation rate in retirement plans for such households was 65.1%, slightly higher than the 64.4% in 2022. These retirement plans include both 401(k), IRA, and traditional defined benefit pension plans.
The participation rate for young families saw the most significant increase. The percentage of households with heads under 35 years old participating in defined contribution plans or IRAs rose from 42% in 2016 to nearly 50% in 2025.
In terms of age groups holding IRAs or defined contribution accounts, the average balance for the 55 to 64 age group was $672,000, up from $588,500 in 2022; $415,800 for the 45 to 54 age group; $182,400 for the 35 to 44 age group. The under 35 age group was the only one with a decrease in average balance, from $53,800 to $48,400, but the report noted that the median balance for each age group increased.
There was a divergence in net asset changes among different age groups. For households with heads under 35 years old, the median net worth decreased by 23% to $33,000, and the average by 33% to $135,400. The report attributed this mainly to a decline in equity appreciation from 2019 to 2022.
For households with heads 75 years old and above, the median net worth increased by 37% to $504,900, and the average by 10% to $1,962,200. This age group, whether retired, close to retirement, or just retired, became the highest in net assets. The report indicated that this growth was mainly driven by the increased value of retirement accounts.
Income distributions showed that the median net worth of the top 10% of households by normal income increased by 31% to $3,669,900, while the median for the bottom 20% of households decreased by 6%. The median net worth for households owning their own homes increased by 6% to $458,900, while for renters or others, it decreased by 7% to $16,000.
In terms of income, the median household income in 2024 increased by 7% to $82,200, while the average income decreased by 6% to $145,200. The report noted that the decrease in the average income was primarily due to a decline in income among the highest income group.
The report also highlighted an increase in debt pressure for some households. In 2025, 19.6% of households reported having missed loan payments in the past year, up from 12.2% in 2022; the percentage of those overdue for more than 60 days rose from 4.9% to 8.2%.
From 2022 to 2025, the average interest rate for 30-year fixed-rate mortgages increased from 4.2% to 6.7%, and credit card average interest rates rose from 14.6% to 21.4%. The median debt-to-income ratio for households with debt increased by 2 percentage points to 15.4%.
Regarding housing, the homeownership rate stood at 65.6%, roughly unchanged from 2022. The median net value of homes for owner-occupied households increased from $218,900 to $230,000. The report estimated that, based on the median house price, an 80% loan, and property taxes, monthly repayments accounted for approximately 33% of median household monthly income, the highest since modern SCF records began, up from 26% in 2022.
The SCF has been conducted consistently every three years since 1989. The definition of “household” in the report closely aligns with the “household” definition used by the US Census Bureau and may include single-person households. The median value represents the figure in the middle of a distribution, less influenced by the extreme values of high-asset households; while the average can be skewed higher by top-tier households.
Net worth, as calculated in the report, is derived by subtracting household liabilities from assets and does not include future benefits from social security and defined benefit pensions. The report explained that the present value of these two types of benefits depends on assumptions such as future work, inflation, and lifespan, making it challenging for conversion.