Quote from Alex Bobby on December 14, 2025, 3:48 AM

Americans now say it takes $2.3 million to be considered wealthy, according to a Charles Schwab survey. Rising costs, inflation, and shifting generational values are redefining what wealth truly means in the US.

What It Takes to Be Wealthy in America Now: Why $2.3 Million Is the New Benchmark

For decades, the idea of wealth in America was neatly summed up by a single figure: one million dollars. It was a cultural shorthand for success, comfort, and financial freedom—immortalised in pop songs, movies, and daydreams. But in today’s economy, that once-mythic number has lost much of its power. According to a new report from financial services firm Charles Schwab, Americans now believe it takes an average of $2.3 million to be considered wealthy.

The finding reflects a profound shift in how people view money, security, and success in an era shaped by inflation, rising housing costs, economic uncertainty, and changing values across generations.

The Rising Price of “Wealth”

Schwab’s Modern Wealth Survey, which polled 2,200 adults aged 21 to 75, found that perceptions of wealth have climbed sharply in just a few years. In 2021, respondents said $1.9 million was enough to be wealthy. That figure rose to $2.5 million last year and now sits at $2.3 million—still 21% higher than four years ago, even after a slight dip.

Equally telling is what Americans consider being “financially comfortable.” The average response came in at $839,000—a figure that suggests many people no longer equate comfort with luxury, but rather with stability and peace of mind.

Nearly two-thirds of respondents said it feels like it takes more money to be wealthy today than it did last year. Inflation, a challenging economy, and higher taxes were cited as the biggest factors driving that sentiment. Everyday expenses—from groceries and insurance to rent and childcare—have steadily eroded the purchasing power of savings, reshaping expectations around what it takes to feel secure.

Millionaires Who Don’t Feel Rich

One reason the wealth bar feels so high is that being a “millionaire” no longer guarantees financial ease. Brad Clark, founder and CEO of Solomon Financial, notes that many Americans technically qualify as millionaires only because of home equity.

“When you factor in all assets, there are a lot of millionaires in the U.S.,” Clark explains. “But most of that wealth is tied up in their homes, leaving investable assets often below $1 million.”

In other words, a net worth on paper doesn’t always translate into liquidity, flexibility, or a sense of abundance. With so many middle-class households crossing the million-dollar threshold through property appreciation alone, it’s not surprising that $2.3 million now feels like the true dividing line between comfort and wealth.

Wealth as Security, Not Excess

Experts emphasize that this new benchmark doesn’t necessarily represent extravagance. Instead, it reflects a desire for long-term security.

“The $2.3 million figure is not luxury for everyone, but security,” says William “Bill” London, a lawyer who works extensively with high-net-worth families. “It’s wanting to own a home, retire well, support a family, and have control over one’s time. Affluence today is more about reducing anxiety than displaying excess.”

That perspective marks a notable evolution in the American dream. Rather than focusing on visible status symbols, many people now associate wealth with resilience—the ability to weather emergencies, step away from work if needed, and plan for the future without constant financial stress.

Generational Gaps in Defining Wealth

The Schwab survey also reveals sharp generational differences in how wealth is defined.

• Gen Z respondents set the lowest threshold, saying $1.7 million qualifies as wealthy and $329,000 as financially comfortable.
• Millennials and Gen Xers place the wealth benchmark at around $2.1 million.
• Baby boomers set the highest bar, at $2.8 million.

These differences reflect both economic realities and shifting values. Older generations often define wealth in terms of assets—homes, pensions, and inheritance—while younger generations place more emphasis on flexibility, experiences, and freedom from debt.

“Younger clients are often more concerned about breathing room and time than owning a big house,” London explains. “For them, wealth is more about lifestyle than accumulation.”

At the same time, younger Americans face steeper barriers to traditional wealth-building tools like homeownership. High mortgage rates and soaring property prices have made buying a home feel increasingly out of reach, fuelling pessimism about long-term financial security.

“Millennials and Gen Z are justifiably skeptical,” says Markus Schneider, an economics professor at the University of Denver. “Homeownership was historically the primary path to wealth in America, and that path is far less accessible today.”

Beyond Dollars and Cents

Despite differing thresholds, there is broad agreement on one point: money alone does not define wealth. The Schwab survey found that many Americans prioritise non-financial factors such as happiness, physical and mental health, strong relationships, personal achievements, and free time.

Clark argues that chasing a specific dollar amount can be misleading. “If you define wealth purely by numbers, you’re likely to be disappointed when you reach them,” he says. “True wealth is using your resources to gain time and purpose. The happiest people tend to be those who feel their lives matter.”

Studies consistently show that ultra-wealth does not guarantee fulfillments—and can even amplify stress and isolation. In that context, the modern definition of wealth looks less like indulgence and more like balance.

Redefining the American Ideal

The idea that it takes $2.3 million to be wealthy may seem daunting, but it also signals a broader cultural shift. Wealth is no longer just about having more—it’s about feeling secure, adaptable, and in control in an unpredictable world.

As costs rise and traditional milestones become harder to reach, Americans are quietly rewriting what success looks like. The new measure of wealth may not be a mansion or a luxury car, but the ability to live with less fear, more freedom, and a clearer sense of purpose.

Looking Forward

As inflation, housing costs, and economic uncertainty continue to reshape financial realities, perceptions of wealth in America are likely to keep evolving. Future generations may place even less emphasis on headline net-worth figures and more on flexibility, purpose, and financial independence. Policymakers, employers, and financial institutions will also face growing pressure to adapt—whether through improved retirement systems, more accessible housing pathways, or tools that help individuals build security without chasing ever-higher wealth thresholds.

Looking ahead, the conversation around wealth may shift from “How much is enough?” to “What kind of life does financial stability make possible?” In that sense, the $2.3 million figure is not just a number, but a signal of deeper societal change—one that reflects a broader rethinking of success, security, and well-being in modern America.

Conclusion

The idea of wealth in America has evolved far beyond the once-magical $1 million mark. Today, the $2.3 million benchmark reflects not extravagance, but a collective desire for security, stability, and peace of mind in an increasingly expensive and uncertain world. Across generations, Americans are redefining what it means to be wealthy—placing greater value on time, health, freedom, and meaningful relationships alongside financial resources. Ultimately, the modern pursuit of wealth is less about accumulation and more about resilience: having enough to live well, plan confidently for the future, and reduce the anxieties that money alone can never fully erase.