BiggerPockets Money Podcast – Episode Summary

Episode Title: Net Worth By Age In 2025 (Are You Above Average?)
Hosts: Mindy Jensen & Scott Trench
Release Date: October 7, 2025

Episode Overview

In this data-driven episode, Mindy Jensen and Scott Trench break down U.S. net worth by age percentiles using the latest Federal Reserve data. The hosts explore what it takes to hit the top 10%, 5%, and 1% net worth brackets at different life stages, both with and without home equity. They also conjecture on the practical strategies and career moves required to move up the net worth ladder—and why many listeners may be much closer to those goals than they think.

Key Discussion Points & Insights

1. Defining Net Worth & the FIRE Portfolio

• Net worth is total assets (cash, investments, real estate, businesses, vehicles, etc.) minus total liabilities (all debts).
  • “Net worth is the total value of everything you own, all your assets, minus the value of everything you owe, your liabilities.” — Scott (01:14)
• FIRE (Financial Independence, Retire Early) net worth focuses only on assets that can fund future lifestyle, excluding primary residence, vehicles, and most personal property.

2. Net Worth Percentile Data by Age (Based on Latest Federal Reserve Survey)

• Data covers percentiles (25th, 50th, 75th, 90th, 95th, 99th) for U.S. households, with and without home equity, and is considered representative despite being a few years old (data from 2022/2023; new data pending for 2026).
  • The spread of wealth is dramatic:
    “Many, many, many, many, many times the amount of wealth—65 times the amount of wealth in the 18 to 24 year old range, 70 to 80 times in the 25th percent. It escalates from there.” — Scott (04:01)
• Positive net worth is surprisingly widespread.
  • “Even in the bottom 25th percentile of wealth in this country, we’ve got positive net worth all the way from 18 to 80 plus.” — Scott (04:01)
  • At age 30–34, median net worth is $88,000; top 10% is $538,000; top 1% is $2.6 million.

3. Home Equity’s Role in Net Worth

• Lower percentiles: Home equity can be most or all of net worth.
  • 50th percentile: 50–70% of net worth is home equity.
  • Top 1%: <15% in home equity, with most wealth diversified into other assets.
• “Housing is an expense. It is, generally speaking, a liability for the ordinary American the way that it is typically purchased.” — Scott (12:00, 13:47)
• Key takeaway: To reach higher wealth percentiles, build assets outside of your home.

4. Strategies to Reach Top Percentiles by Age

In Your 20s

• Top 10% is most accessible by:
  • Avoiding debt, working & saving early, investing, maximizing retirement accounts, and maybe side hustling.
    • “A lot of people can get into this top 10% range by simply not making any mistakes and following that very basic playbook in their 20s.” — Scott (15:11)
  • Alternative to college: Pursue trades with marketable skills.
• Top 5% requires higher income/some entrepreneurship, aggressive saving, investment, or house hacking.
• Top 1%: Needs a “cheat code” (elite income, entrepreneurship, house hacking, serial business success, or substantial luck).
  • “You’re going to need to be pulling some other levers ... all about elite income and super high upside bets that pay off pretty quick.” — Scott (17:58)

In Your 30s

• Top 10%: ($538k age 30–34, $864k age 35–39):
  • Strategic job hopping to boost salary, skill development, avoiding lifestyle creep, and possibly geographic arbitrage.
    • “Simply moving companies is going to get you a significantly higher income than if you stay at the same company.” — Mindy (19:22)
• Top 5%: ($800k–$1.4M)
  • More aggressive career moves (e.g., joining startups), scaling real estate, adjacent side hustles.
• Top 1%: ($2.6M–$4.7M)
  • Requires big wins: high-level entrepreneurship, major promotions (executive level), business exits, major real estate success, or extreme salary+discipline.
    • “You have a very sophisticated tax optimization structure ... you are really more of the entrepreneur or the elite income earner.” — Scott (22:51)

In Your 40s

• Top 10%: ($1.18M–$1.42M)
  • Continuation of strategies from 20s/30s; compounding is key.
  • “If you just do the basics … keep investing, you can get there.” — Scott (24:17)
• Top 1%: ($7.8M–$8.7M)
  • Needs sustained elite income or a “big event” (business sale, FAANG-type windfall, high-level company roles).
    • “A little bit of luck or, or a business outcome ... you got to do something different to get to this level here.” — Scott (26:35)
  • Noteworthy: Net worth jumps at this age often tied to inheritance or business outcomes.

In Your 50s

• Top 10%: ($2.56M–$2.67M)
  • Accumulation from consistent investing, salary raises, and home equity compounding.
    • “...25 years of compounding is going, this is the millionaire next door ... these people are probably ... in their home for a long period of time.” — Scott (35:01)
• Top 5%: ($4.4M)
  • Often includes upper middle class/occasional elite salary years or real estate/business growth.
• Top 1%: ($13.2M–$15.3M)
  • Elite business or professional outcomes, inheritance, or decades of high-level entrepreneurship.

In Your 60s

• Top 10%: ($2.9M–$3M)
  • Continued accumulation, most often via consistent, moderate strategies.
    • “...not that far out of reach for a middle class family who has just been responsible over the course of a career.” — Scott (39:38)
• Top 5%: ($6.3M–$6.8M)
  • Sustained investing, some “outlier” income years.
• Top 1%: ($17.8M–$22M)
  • Requires major entrepreneurship, business ownership, or substantial inheritance.
    • “Everybody who didn’t inherit wealth ... probably had an extraordinary career and had a very sophisticated approach to managing their money across a lifetime.” — Scott (42:05)

5. Memorable Quotes & Moments

• “To recap what you said at the beginning, 75% of Americans have a positive net worth in every age bracket. That’s fascinating.” — Mindy (06:34)
• “Housing is an expense ... the less housing your primary residence is as a percentage of your wealth, the higher the correlation with a elite level of net worth.” — Scott (13:47)
• “You can do almost anything you could dream of with 20 million bucks, sort of buying Brad Pitt’s house or whatever in Malibu.” — Scott (43:19)
• “Luck is when preparation meets opportunity or luck is when hard work meets opportunity... strategic bets. You are doing on purpose.” — Mindy (33:19)

6. Timestamps for Important Segments

• Defining Net Worth & FIRE: 01:07–02:44
• Net Worth Data by Age Breakdown: 02:49–06:34
• Major Percentile Benchmarks by Age: 06:48–08:59
• Role of Home Equity: 12:00–13:47
• Strategies by Decade:
  • 20s: 15:11–19:16
  • 30s: 19:18–23:55
  • 40s: 24:17–27:32
  • 50s: 34:09–39:26
  • 60s: 39:38–43:19
• Final Wrap & Listener Challenge: 44:19–45:10

Final Reflection

Mindy and Scott emphasize that with consistent, intentional strategies—solid saving, investing, and avoiding major mistakes—most BiggerPockets Money listeners can reach the top 10% or 5% for their age group. However, breaking into the true elite (top 1%) generally demands extraordinary events: business wins, inheritance, or years of exceptional income.

They encourage listeners to assess where they are and engage with the community to discuss their own journeys and strategies.

Community Invitation
"Tell us how you stack up and what you’re doing to get into the top 1%, top 5%, or top 10%... join our Facebook group ‘BiggerPockets Money.’" — Scott (44:19)