These Financial Statistics Of The Average Person Are Eye-Opening 

Risk management should always come first, the reason many traders lose money is not simply due to inexperience or a lack of knowledge of the market, but because of poor risk management

I've come to realize that the key to amassing wealth lies in making sound investments. I purchased my first home at the age of 21 for $87,000 and sold it for $197,000. My second home, acquired for $170,000, was later sold for $320,000, and my third property, purchased at $300,000, fetched $589,000, with buyers covering all closing costs and expenses. Not reaching a million before retirement feels like an unfulfilled goal..

I admire the financial independence of people, But you can live better if you work a little more. After watching this I think there are people out there, on the extreme, who plan to die early just to be able to retire early. To each their own but to me, retirement isn't just about not having to work, it's about having the freedom to do whatever you might reasonably want, such as travel, buying things, enjoying life, etc. I don't think I could retire with less than $3m in income-generating investments, maybe $2m at the very minimum. I plan to work until I'm at least 45

Investing in alternative income streams that are independent of the government should be the top priority for everyone right now. especially given the global economic crisis we are currently experiencing. Stocks, gold, silver, and virtual currencies are still attractive investments at the moment.

My family’s company use to add 15% of our employees salary each into a profit sharing plan. That plan had a average 11% growth rate over the years. One year our company pretty much broke even in our company profit but we still put in 10% that year for the employees. When we sold the company we had employees with over $1,000,000 in there profit sharing accounts and that was in 1996. We had 235 employees. I would say we were a pretty good company to work for. Thanks Dad.

Success is not built on success. It's built on failure, It's built on fraustration. it's built on fear that you have to overcome. I pray that anyone who reads this will be successful in life

Fun fact: If you watch Chris, you’re most likely doing better financially than the average person.

These are very valuable rules for anybody who wants to get rich. Unfortunately, most people who will watch this video will not really be able to apply the principles. We may not want to admit, but as Warren Buffett once said, investing is like any other profession-- it requires a certain level of expertise. No surprise that some people are losing a lot of money in the bear market, while others are making hundreds of thousands in profit. I just don't know how they do it. I have about $89k now to put in the market.

I told a family member some years back that I was going to focus on growing my income through investing and try to only spend money made this way. They said I was an idiot. At age 40 I will cross 2k / month in dividends alone. It's a good feeling.

Knowing the 65+ demographic has only $88k in retirement savings is terrifying.

I wish i learnt most of these principles about seven years ago. A lot of people have been trapped strongly in the matrix-- Go to school, get a job, and then slave your whole life. Many miss out on life-changing information that could have great effect on their finances. I played with the stock market sometime in 2020, and I was surprised at how well it turned out. I want to put in $90k more into the market. I heard people are making really great returns despite the downturn. Any recommendations?

Understanding personal finances and investing will most likely lead to greater financial independence. By being knowledgeable about money and investing, individuals can make informed decisions about how to save, spend, and invest their money. A trader made over $350k in this recession influenced market.

never compare yourself financially with anyone else. That's the ultimate way to feel bad. The best way is to compare yourself to how you were last year or previous. That is a game you can win. If your expenses exceeds your income that is the only thing to worry about.

Add this to the school curriculum

I was a company for about 10 yrs. (Medical field) The same year new management came in, I was diagnosed with cancer. Had surgery and treatment and went back to work after 3 months. The following year I was let go, as I was going back to check if the cancer was gone. Fortunately, I had saved 6 months of emergency funds. You just never know what life is going to throw at you

In High School, back in the late 70's, we actually had a personal finance class as an elective. At the beginning of the semester we would bring in the newspaper business section to learn how to read symbols, prices, etc and we picked stocks to buy and trade with a pretend $10k to see who did the best by the end of the semester. I came in 2nd. We also learned about insurance, credit card and auto loan dangers, banking, mortgages, etc. This was LAUSD of all places and it turned out pretty well for me. I don't know why they don't teach this today.

wow this is nice

I'm 64 and have been comfortably retired since age 62. I started investing into mutual funds at age 26 with about 10% of my income. I preach to my adult children to invest at a young age. By doing so you have the "Time Value" of money on your side. Time to grow that nest egg is HUGE!!!

Increase your income. Reduce your expenses. Save and invest the difference. Stay out of debt.

very interesting

Do you know expenditures are different for each countries

We are currently in the jaws of the worst bear markets I have seen, the average stock has been cut in half, and the only way to make money this year has been to either short or to trade long in very short time frames. I'm still at a crossroads deciding if to liquidate my dipping $117k stock portfolio, what’s the best way to take advantage of this bear market?

Wow! I earn significantly less than most people my age but I am proud to say I have almost double what I should for my age saved in retirement.

I'm terrified to be in financial crisis at any point of my life. Financial literacy should be taught in school, I had no idea about investing until I was well into my 30s and had pissed away 5 years of respectable income.

Best advice to start investing as early as possible, just $100 a month can add up.

The pandemic has shown us just how quickly decades of planning, investing and saving can be completely upended. This could mean your current financial plan might leave you without enough money to last your retirement. A recent Vanguard study found that, on average, a hypothetical $500K investment would grow to over $3.4 million under the care of an advisor over 25 years, whereas the expected value from self-management would be $1.69 million, or 50% less.

Insightful

A single $35,000 6 year auto loan in your twenties or thirties is like taking a few million dollars away from your retirement. And there are people that live their entire lives with car loans. It’s insane

Could you include links to your citations in the description at the bottom? That'd make your videos more useful for deeper dives as follow ups.

Eye opening

I've worked in financial services for 20+ years and I can tell you the two most important financial decisions anyone can make are #1. Picking your parents and #2. Knowing when and how you will die.

I retired 7 years ago at age 62, my wife retired two years later also at age 62. To day, we have not touched a dime of our retirement savings. We made a point to retired debt free and planned for that. It's interesting just how far your Social Security will take you when you are debt free. Right now we have the freedom to to anything we want any time we want. It just doesn't get any better than that.

Starting early is the best way of getting ahead to build wealth, investing remains a priority. The stock market has plenty of opportunities to earn a decent payouts, with the right skills and proper understanding of how the market works.

I am wayyy behind and whats troublesome is to think how far ahead I am of others.

yeah right. but..................

I’m about at the average for my age group in every category except net worth, probably because I don’t own a home. But it’s pretty disturbing that so many people have so little saved up.

educating

Great video really put everything into perspective.

There is one fact that I rarely see mentioned. Retiring at 62 is only a disadvantage if you live past 78 years old. You have to live past 78 to end up collecting more total social security income. As of 2020 the average US life expectancy is 77.28 years. I'll take an extra 5 years of retirement while I'm in better health vs. having a bit more income in my final years when I probably won't be able to make the most of it.

One thing I realize as I watch this video. I need to stop comparing myself to others. I am doing much better than most. As my income goes up, so does the income of those around me. The people I work with, the places I go. There is always someone better off. I wish I could be happy with where I am at and stop fearing/stressing the future. Not for myself, but for my family.

The bit about credit cards and how the debt is a product of spending on unneeded things…so real

The key to a comfortable retirement is the lifelong savings habit. Parents, teach your children the joy and pleasure of saving money. My Dad, from the time I was around ten, took us on monthly trips to the bank to deposit our money into our passbook accounts. We learned that saving was fun ... seeing those numbers increase every month. We weren't saving FOR something in particular, we were saving just for the accomplishment and joy of saving per se. I recollect my Dad taking me to the county fair and giving me fifty cents for rides and food (this was long ago, when that was real money). Short story short, I couldn't bear to spend the money; I saved it and deposited it a few weeks thereafter. Okay, that's a little weird/extreme in hindsight. These childhood lessons stay with you through the rest of your life. Thanks, Dad, for parenting me to a comfortable retirement.

I watched a video like this years ago to make my own first 'financal road map' and seeing how the numbers have shifted is jarring. People working a $30K/year job and truly getting ahead as individuals in today's economy isn't realistic.

I feel very lucky that back when I was in college the credit card companies wouldn't give you a card if they didn't think you'd be able to pay. My income was tiny, and I lived frugally. I never got into spending money for things I didn't need, even after I started doing better financially. It is a lot harder for people today, because the companies extend credit IN ORDER TO get people into debt, and the advertisers make young people think they are entitled to all the things they can buy with their card, even if they can't really afford them.

I’m doing better than most people as far as saving and investing for retirement… but these average numbers are worrisome!

In retirement lifestyle adjustment is a key factor based on retirement savings / income.

I'm doing better than most. House and cars are paid off. Basically no debt which is key for retirement. I been investing for decades so I'm doing good there as well. It can be done but you have to live within your means and be self disciplined in spending and saving and you should be investing as well. Its very important to teach your children these values as well.

One should try to keep their save rate for retirement consistent regardless of external factors. Try to grow to one's target save rate. Rule #1: PAY YOURSELF FIRST (retirement and short-term financial goals) Rule #2: Refer to Rule #1 Rule #3: Spend what remains wisely.

Love the videos! I think its tough for most to start down the path. They believe just because they didnt start at age 22 or before that they will never achieve Fianancial Independence.. but the fact is that most of us didnt truly start until our late 20’s or even early 30’s and we are doing just fine

I'm above average in every category at the age of 29. I dropped out of college. $0 debt. Haven't had a car payment in 9 years. I pay off my credit card in full every month to avoid interest and to receive the cash back bonus. I learned to just live in my means and not worry about competing with my neighbors.

This is an informative and timely video about personal finance. Thank you! Have you done a video tutorial on health insurance and life insurance options and pros and cons in retirement?

Wow. I'm doing better than the average 65 year old at 33. So why do I feel so poor. Oh well. Steady as she goes.

If you were to somehow teach this exact video in schools across the world to kids starting in 3rd grade, boy would this be a much easier, happier world with less stressed out people! Awesome job!

At times because of a lower income ($64K) I feel like I'm behind. This has made me feel better. At 50 my condo is paid off (purchased for $97k in 2005, now worth $200k) and my net worth (not including car and miscellaneous items) is over $700k. Zero debt. None. Being careful with spending and investing early really does make a big difference even if you don't make a lot. I feel sorry for people that did not have good financial role models.

Love watching these… always walk away feeling like im killing it

Lots of great information Chris. Hopefully by the time I retire most of my big expenses will be paid off and I can enjoy living a modest life.

Scary numbers. We are retiring early mainly due to the fact that well, we blow the avg and median numbers out of the water. Our investments have vastly out earned our household salaries over the past years. 2022 was a little down year but no worries on that as we keep 4 years cash on hand to cover those downturns. Soooo glad I woke up to some personal finance learning 20 years ago. It has made for an easy and wonderful life. When I try to help show others how they can do this, they scoff and offer all kinds of excuses, so I stopped. Not going to waste my time if people don't want to change.

It’s crazy the extent that car payments and irresponsible credit card spending are keeping people poor.

Always amazing. Thank you sir.

my city average person makes $3million a year. offer someone a $100 an hour job and they laugh like thats shit pay

I always wish in videos talking about average in finances they add the median too. 52k a years average with median 42k is a very different story than 52 average with median 62k. Just cause average can be skewed so much by high outliers or clumping on the bottom.

I won the Retirement Game. I overestimated my expenses in retirement. One of the secrets is to retire with zero debt. House paid off, New car paid off. I need to start spending more money. Everything I don't spend, I put into crappy 11 month 3% CD's. I could go into the Market, but I still have a bad feeling about it. I managed to get through the Bush crash with minimal damage.

Thoughtful analysis.

We are retired in Baja Sur MX. The cost of living is far less here. One strategy is live in another country, or another place in your country where your income will go much farther. Example. Our home taxes in USA was near $4 K. In Mexico? Less than $100 per year. Gas costs about $4 per gallon, however, we drive less and have an economical SUV. Food - extremely less here unless you shop at Walmart, or COSTCO. We do not have to heat our home and on ocasión use AC. Live in the shade - plus regular sea breezes. Health insurance? We pay $1,200 USD for a family of three - 100% coverage plus prescriptions are covered. I could go on - but just realize often it is less about how much you make compared to how much you have to spend. There is entire country where you can live having likely a better quality of life than you have now. Get a little gutsy and adventurous, there is nearly a whole world you can choose to live for less and get far more out life. God bless.

It's very hard nowadays to save for retirement but there is also many people who are very irresponsible. So many live beyond their means and take on unnecessary debt.

I'm behind in terms of annual income, but for my age group, I'm ahead in terms of net worth, spending, and retirement/savings. So this at least makes me feel better. Still pretty disturbing that many or most people/households have little saved up.

One item making a big impact on what a person needs to live on in retirement is housing costs. Years before I retired my home was paid for so I did not have to carry a mortgage. So unless you have a very expensive home with high property taxes, maintenance, insurance, etc. your housing expenses can vary greatly. Also transportations cost can vary greatly if you buy new instead of used, insurance and registration cost vary between new and used. Add to it you do your own maintenance.

One month into Covid lockdown and half the country was starving and/or facing homelessness. That says enough about how the country is doing financially.

Me with 100k for retirement, 15k in the bank and a 110k salary at 30years old. "Things will be ok."

Average age of retirement in the USA 61-64 (depending on what source you read)...average life span in USA is 76-78. That's not much time to enjoy retirement! Work hard, budget, save aggressively, invest early and consistently...then enjoy your freedom earlier! #FIRE

This comment is targeting those folks that are currently serving in the US Military. I HIGHLY recommend that you stay in the military until you reach at least the 20 year mark and are eligible for a military pension. I retired from the US Navy at 38. At that point I started receiving 1/2 my base pay for the rest of my life. Plus I have a fantastic medical insurance thru military Tricare. This allows me to go to any local doctor, not VA. I receive amazing healthcare and it only cost me $25 a month in a "maintenance fee"! Now being retired, having my pension and little to no health insurance expenses is HUGE for my ability to retire comfortably!! So if you can hang in there and do the 20 years, you will reap the rewards at retirement!! Obviously at 38 I was able to go into the workforce and start a whole new career!

Too bad younger people won't ever see their social security. Paying into a system that I'll never see a dime of.

I’m screaming bs about the average person making 26 dollars an hour 😂😂😂

As a single person, I'm doing good. I own a home, bought in 2020 with a great rate. Credit score over 800. Only debt is a business credit card that I hope to have paid off soon. Saved money last year to invest this year. Only paying mortgage, normal utility bills, and business credit card. Glad I don't have a car payment.

Interesting Info. Is there viewer feedback indicating this "sketching Sharpie marker" style of video is desirable? I see quite a few channels using this and I'm not sure why.

great video thank you

I've been investing with TERESA JENSEN WHITE's guidance for a few years and I couldn't be happier. Her company has given me the best ROI while preserving my capital and has the most thorough investment guidance out there. It also never burns my money with speculation or poor philosophies of risk management.

The distribution of saving is likely a bell curve. It would be interesting to see the normal (discarding both the highs and lows).

I graduated college in the early 1990's with an engineering degree. My company offered full tuition re-imbursement at the time, so i went bacn to school part-time for an MBA. I took a Finance class, and it changed my life. Learning the Time Value of Money was the single most important topic, I've ever studied. And, after taking engineering classes, it was relatuvely simple. I started saving with automatic monthly deposits to various mutual funds. Some 30+ years later, my biggest worry is paying capital gains taxes on the distributions. That's a good problem to have.

I'm uneducated, live in a southern state with VERY little opportunity. Never been given anything. Very generous to others. Worked very hard since 13, now 45. My net worth is over 1 million. Anyone can do it.

I have over $1 million in savings, 61 years old and zero debt. Start saving early and payoff debt.

Average household is $10k of credit card debt? wtf

This video information is very fascinating. 👍

Love this video :)

You mixed a lot of single person numbers with household numbers. Not apples to oranges comparison

In 1972, a wise man advised me to join our companies 401K program and save at least 5%. I took his advice and saved 10% whenever I was able. Another wise man advised me to never rent, own your home, he told me to start small…. Buy a starter house in a below the median neighborhood. BTW, another wise man told me I’d be old longer than I’d be young, so far all three wise men were correct 😀. I wish I had someone to pass this wisdom to.

We opened a Roth ira with fidelity, but I can not figure out how to put that money into stocks? I have watched so many videos but not one shows exactly how to do this? Please help

Great info this should be required reading/ viewing for Anyone over 14 years old

I spent all my money on a 2012 BMW with 120K miles

Absolutely terrifying statistics. We are well ahead of the median and average, but I believe we are behind where we need to be and constantly stress over it.

$500k to retire in today's dollars will be worth WAY less in the future. Unless politicians get spending under control I would expect the value of money to decrease 100% per decade. If I thought 1 million was enough today I'm planning for at least $3 million in 30 years.

Great video :)

31 years old here. at 21 I was promoted at my company and offered a 401k with match. I've put in 10% of my gross income since day one, plus 3.5% match from my employer. After 10 years, my 401k account alone is worth a respectable number, and that doesn't include my personal account or my pension fund. 14k for a median retirement savings of people my age is TERRIFYING.

Would love to see a link on what is being reported here as 'the median' total retirement savings for 'all adults in all age groups', as its not even in the ballpark of $65,000. The Median total retirement saving, including the roughly 40% who have nothing, in all age groups, is just $5,000. The median total retirement saving at the age of retirement, with including the households with nothing, is just $16,000, and this is A HouseHold total savings, not a per person amount. Living in The US, the country with the second highest poverty rate out all all the 34 First World Countries, has many raminfications. Having nothing to retire with is just one of them.

Thankfully, being a full time musician on the road for a 90s country star and (only) making (an inflation adjusted average) 35-40k/yr, I also bought a duplex at 40 years old (1 year after hired on the road), lived in 1 side and rented out the other, greatly reducing my housing cost (no more rent payment, but an appreciating property instead). After 4 years, also rented out the side I lived in, purchased a house with an unfinished basement (duplex payment now completely covered by the rents, plus part of my house payment), built (ALL by myself) an entire 1br/1bath apartment in my basement (LOTS of work, but I did it, over 2 years), rented THAT out which now meant all mortgages completely covered by rents, PLUS nearly all my personal utilities covered by rents as well... I now have 2 appreciating properties, being payed for by others. 8 years later, bought ANOTHER additional (bigger, nicer) duplex, kept 1 side rented while remodeling the other (I did ALL the work myself, again... learned from books and youtube, by the way), the rented side covering nearly the entire mortgage. Finished remodeling, rented that side of the duplex, then started remodeling the other side (for higher possible rent), finished and re-rented that side as well. You get the picture here. 3 properties, all being paid for, my net worth skyrocketed above what my mere "musician income" produced, and because of being willing to work hard (but only when I wanted to, through those now 20 years), my net worth is near $1million. I recently sold the original duplex (June 2022, very peak of the market), reinvested that into stocks (big portion into TSLA.. Tesla.. watch and see over the next 10 years! 😉), and I'm considering retiring at the end of this year. I'll be turning 62 7 months after that, collecting my $1000/month social security, additional to rents and $50k in savings that will get me through 4-5 years before beginning to slowing skim monthly from the stocks portfolio (well into 6 figures). The moral of the whole story?? Real estate. Buy (and live in) rentals. There's your big money. Live frugal, but also enjoy life. I eat out fairly often with good friends, and go to Disney World 7-10 days yearly, as well as a few scattered, less costly trips in between... all in a meager actual "work" income, over the past 20 years, of less than $40k. Be smart 😉 All in all, we eventually (and very soon) leave this life behind. Consider THAT a lot. I could write a book about THAT condideration! Love much while you're here. It matters 💞 (See me here on my own youtube channel. Message me there! 😀)

I absolutely love the info... would someone be able to share sources for this info? I am trying to debate someone who doesn't believe this.

Median HH income is $52k, average spending is $67k, we got a spending problem…but hey, average FICO is high so people can borrow what they’re short, averaging $9k credit card debt. People have to know those median net worth numbers are really low, it’s more of an indication there’s a bigger issue, and not where it needs to be to secure a good retirement.

I didn't depend on my savings for retirement. My main focus was on my pension, SS and living expense. When my calculated income equaled my living expense, I would retire. That happened when I was 68 years old. I am comfortably retired for 23 years and running. One cautionary comment is take care of your health and have medical insurance.

You need to explain the difference between median and average. Most people think they are the same, and they are very different.

I'm so glad to realize financial education is crucial 20 yrs ago, now I started seeing the compound interest benefit from the monthly money that I put away from my small paycheck.