What it takes to be "financially successful" by generation
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The average American thinks a salary of just over $270,000 a year qualifies them as "financially successful," but there are huge disparities between generations, according to a new study.
Why it matters: In an environment where workers are increasingly resentful, the study by financial services company Empower finds younger workers expect double the salary of their older peers to be a success.
By the numbers: Boomers born before 1964 generally think they can be a success on salaries just under $100,000 a year, while those born between 1965 and 1996 are closer to $200,000.
- But the youngest workers, the Gen Z cohort born between 1997 and 2012, think they have to earn almost $600,000 a year to really make it.
- Even with those lofty targets, 71% of Gen Z respondents said they expected to achieve financial success in their lifetimes, more than any other age group.
- "Americans believe success is about self-determination not a pre-determination — which is quite powerful," Rebecca Rickert, head of communications at Empower, told Axios via email.
Zoom out: It's another way of looking at how Americans think about where they are and where they want to be.
- A 2023 financial happiness survey, also by Empower, found the more people already earned, the more they felt they need to make to be happy.
