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Americans Say It Takes More Money to Be Financially Comfortable Now Than It Did a Year Ago According to Schwab Survey

1. Americans now require $839,000 for financial comfort, up from $778,000 last year. 2. Two-thirds believe wealth requirements have increased due to inflation and a worsened economy. 3. Younger generations are optimistic, with 43% of Gen Z believing they will achieve wealth. 4. 48% of survey respondents feel financially comfortable, or are on track to be. 5. Financial planning increases chances of achieving wealth, especially among younger investors.

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FAQ

Why Bullish?

Increased demand for financial services may boost SCHW as more individuals invest.

How important is it?

The survey results may signify an increase in SCHW's client base, driving revenue.

Why Long Term?

As more Americans recognize the need for financial planning, SCHW could see sustained growth.

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-Achieving financial comfort and wealth are more attainable for those who identify as savers, investors, and planners WESTLAKE, Texas--(BUSINESS WIRE)--Americans believe it takes $839,000 to be “financially comfortable,” according to Charles Schwab’s 2025 Modern Wealth Survey, an annual survey that examines Americans’ perspectives on saving, spending, investing, and wealth. This is up from $778,000 reported last year, but down from the $1 million Americans cited in 2023. This year’s Modern Wealth Survey also reveals that Americans now think it takes an average of $2.3 million to be considered “wealthy,” which is a slight drop year over year but is consistent with the five-year trend. While the dollar amount to be considered wealthy has remained relatively consistent over the last several years, Americans still say that the bar to achieve monetary wealth feels like it is increasing. Nearly two-thirds (63%) of survey respondents say it feels like it takes more money to be wealthy today when compared with last year, and they cite the impact of inflation (73%), a worsened economy (62%), and higher taxes (48%) as the top reasons. Forty-three percent of survey respondents cite higher interest rates and the impact on borrowing as a reason it takes more money to achieve wealth. “The concept of wealth can feel distant, abstract, or even aspirational, while financial comfort is something people might see as more tangible and associated with the everyday realities they’re facing right now,” said Rob Williams, CFP ®, managing director of financial planning at Charles Schwab. “It can be hard to navigate these concepts side by side in the form of short- and long-term financial goals. But both are important when it comes to understanding and managing your full financial life.” Wealth is about more than money Americans define wealth as more than just money. When asked what it means to be wealthy, people place equal value on happiness as they do financial success. Physical health, mental health, and strong personal relationships are also seen as key components of wealth. When it comes to happiness and wellbeing, the survey finds many Americans feel rich. Eight in 10 respondents feel wealthy when it comes to the quality of their relationships (83%), their happiness (83%), and the amount of free time they have (81%). Youthful optimism and action Consistently with previous years of the study, Gen Z sets the lowest threshold for what it takes to be financially comfortable. Younger people are also more optimistic they’re on the right track – 43% of Gen Z respondents and 42% of Millennials believe they’ll achieve wealth (or already have), versus 33% of Gen X and 20% of Boomers who say the same. The survey also finds that Gen Z and Millennials are the most likely among the generations to have documented their financial goals in a formal plan. “It’s encouraging to see that young people recognize the value of planning,” said Williams. “Having a written financial plan not only helps people define what wealth means to them but also gives them a roadmap to get there. Especially in uncertain times, planning can help turn aspiration into action.” Financial comfort and wealth feel more attainable for savers, investors, and planners The survey shows that most Americans believe financial comfort and wealth are achievable, but for many, hitting those goals can feel like a stretch. Nearly half (48%) of Americans surveyed say they are either already financially comfortable or are on track to be. A quarter (25%) say achieving financial comfort is possible but will require life changes. In terms of achieving wealth, a third (35%) of Americans think they are either on track or already wealthy while a quarter (26%) think they can get there but say it would require significant changes to their lifestyle. Across the board, achieving financial comfort and wealth are significantly more attainable for people who identify as savers, investors, and planners. About the Modern Wealth Survey The online survey was conducted by Logica Research from April 24, 2025, to May 23, 2025, among a national sample of 2,000 Americans aged 21 to 75. An additional 200 Gen Z Americans completed the study. Quotas were set to balance the national sample on key demographic variables. Detailed results can be found here. Disclosures ​The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. All expressions of opinion are subject to changes without notice in reaction to shifting market, economic, and geopolitical conditions. Data herein is obtained from what are considered reliable sources; however, its accuracy, completeness, or reliability cannot be guaranteed. Supporting documentation for any claims or statistical information is available upon request. Investing involves risk, including loss of principal. About Charles Schwab The Charles Schwab Corporation (NYSE: SCHW) is a leading provider of financial services, with 37.4 million active brokerage accounts, 5.6 million workplace plan participant accounts, 2.1 million banking accounts, and $10.35 trillion in client assets as of May 31, 2025. Through its operating subsidiaries, the company provides a full range of wealth management, securities brokerage, banking, asset management, custody, and financial advisory services to individual investors and independent investment advisors. Its broker-dealer subsidiary, Charles Schwab & Co., Inc. (member SIPC, https://www.sipc.org), and its affiliates offer a complete range of investment services and products including an extensive selection of mutual funds; financial planning and investment advice; retirement plan and equity compensation plan services; referrals to independent, fee-based investment advisors; and custodial, operational and trading support for independent, fee-based investment advisors through Schwab Advisor Services. Its primary banking subsidiary, Charles Schwab Bank, SSB (member FDIC and an Equal Housing Lender), provides banking and lending services and products. More information is available at https://www.aboutschwab.com. Follow us on X, Facebook, YouTube and LinkedIn. 0725-DHEG More News From The Charles Schwab Corporation

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