Affluent Americans Struggle to Feel Financially Secure

A recent study by Northwestern Mutual reveals that financial security is elusive even for affluent Americans. Only 36% of millionaires in the U.S. feel wealthy as of 2025, highlighting a shifting perception of wealth.

Key Findings from the Northwestern Mutual Study

The study, published in early November, draws upon a Harris Poll that surveyed 4,626 Americans, including nearly 1,000 individuals with investable assets exceeding $1 million. It finds that many wealthy individuals still experience financial anxiety about their futures.

• Affirmatively, 36% of millionaires consider themselves wealthy.
• Nearly half (49%) believe their financial planning needs improvement.
• Only 53% expect to leave an inheritance or contribute to charity.

Concerns of Wealthy Americans

Despite their financial status, many millionaires worry about their retirement. The primary concern is outliving their savings. Mark Mascarenhas, a wealth adviser, observes that the definition of wealth varies based on location and social circles. In expensive regions like New York or Los Angeles, $1 million may no longer suffice.

Liz Windisch, a financial planner, reiterates this notion, stating that clients often compare their fortunes with wealthier peers. This can lead to feelings of inadequacy, even for those with significant assets.

Demographics of Millionaires in the U.S.

The United States boasts approximately 24 million millionaires, the highest number worldwide in dollar terms, according to the UBS Global Wealth Report. The report notes that more than 1,000 new millionaires have emerged daily, leading to the term “everyday millionaires” for those with assets under $5 million.

According to the 2022 federal Survey of Consumer Finances, the average American in their 50s now holds a net worth exceeding $1 million. Household wealth has surged, particularly during the pandemic.

Financial Comfort vs. Wealth

Surveys indicate that the threshold for being deemed wealthy has risen. The Charles Schwab Modern Wealth Survey sets this bar at $2.3 million. However, merely being financially comfortable may require a net worth of around $800,000.

Financial expert Rob Williams explains that the distinction between being wealthy and comfortable often hinges on one’s needs and desires. Many view wealth as the ability to fulfill not only needs but also wishes.

The American Dream: Financial Costs

Inflation has escalated the cost of realizing the American dream, now estimated at $5 million. This figure encompasses essential components such as retirement and homeownership.

Six-Figure Earners in Survival Mode

Interestingly, many six-figure earners do not share the same sense of security. A recent Harris Poll indicates that one in three six-figure earners feel financially distressed. Two-thirds believe that their income does not equate to wealth.

Many report relying on credit cards for day-to-day expenses, reflecting a significant shift in how high-income individuals perceive their financial stability.

Conclusion

The findings underscore a growing disparity in financial perception among affluent Americans. As inflation changes the economic landscape, even those with substantial wealth face challenges in achieving true financial security.