Older Americans Now Hold 73 Percent of U.S. Wealth as Younger Generations Fall Further Behind

Federal Reserve data shows that Americans over age 55 now hold approximately 73 percent of total U.S. household wealth, while families headed by adults under 35 saw their inflation-adjusted median net worth fall 23 percent between 2022 and 2025.

Baby Boomers, who represent about 20 percent of the population, control approximately 51 to 52 percent of total household wealth, totaling between $83 trillion and $97 trillion. The oldest age bracket, those 75 and older, now holds roughly 15 times the median wealth of the youngest bracket, up from 9 times just three years prior.

Analysts point to several structural factors driving the divide. Between 1990 and 2024, median home prices rose by more than 400 percent, while median household incomes grew by less than 200 percent. The average age of a first-time homebuyer hit a record 40 in 2025, leaving many younger households shut out of the primary wealth-building asset that historically benefited Boomers.

Younger generations, particularly Millennials and Gen Z, carry the bulk of the nation's $1.8 trillion in student debt, which limits their ability to save and invest early in their careers. Pandemic-era savings that briefly boosted younger household wealth have largely been depleted.

An estimated $124 trillion is projected to pass from older generations to heirs and charities by 2048. However, Cerulli Associates data shows that 50 percent of these transfers will originate from the top 2 percent of households. Most middle-class heirs are expected to receive modest inheritances too late in life to significantly alter their housing or retirement trajectories.

Economists describe a system where power and resources are increasingly concentrated in later life, contributing to financial instability among younger workers. This backdrop has been linked to shifting political coalitions as younger voters respond to an economy that has favored older asset-owners.