Fastest Growing Wealth Among Generations: An Unexpected Reveal
A New Era of Wealth: Millennials Take the Lead
The COVID-19 pandemic hit hard in 2020, leaving many grappling with financial struggles. But the story is different for millennials - they're leading a wealth revolution.
Despite the market chaos caused by the pandemic, millennials managed to weather the storm and emerge stronger. Wealthfront's latest report reveals that millions of dollars were added to the net worth of U.S. millennials from Q3 2019 to Q3 2024, a stunning four-fold increase.
Millennials' account balances grew by an impressive 137% between early 2020 and early 2025, with the number of "Wealthfront millionaires" - those with over $1 million in assets - skyrocketing by 144%. And the good news doesn't stop there - since Wealthfront accounts often exclude real estate and retirement savings, their true wealth is likely even greater.
Not only have millennials outpaced their predecessors, Gen X and baby boomers, in wealth accumulation; they've also left younger generations, such as Generation Z, in the dust. According to a 2024 report, Americans under 40 saw their average wealth rise by a substantial 49% between 2019 and 2023.
So, what's behind this millennial wealth surge?
Savvy Finance Moves
Building wealth requires careful planning and smart financial decisions. Millennials have proven themselves to be masters of both. Their financial progress can be attributed to several key factors:
- Investing Consistency: millennials have shown an impressive dedication to steady investing, even during turbulent market conditions.
- Retirement Savings Focus: by putting a high priority on their future, millennials have made great strides in building their retirement savings.
- Smart Real Estate Purchases: many millennials have found success in real estate investing, with the values of their properties increasing significantly since 2020.
In short, millennials have proven they're not afraid to take calculated risks and commit to long-term financial strategies, enabling them to build lasting wealth despite economic uncertainty.
Looking ahead, if millennials continue to focus on their financial future, they're poised to maintain and even extend their financial success in the years to come.
- Millennials, despite the turbulence in the finance and investing market caused by the pandemic, have managed to significantly increase their net worth, with millions of dollars added to their worth from Q3 2019 to Q3 2024, a four-fold increase.
- The account balances of millennials grew by an impressive 137% between early 2020 and early 2025, and the number of "Wealthfront millionaires" - those with over $1 million in assets - skyrocketed by 144%, suggesting their true wealth is likely even greater as their accounts often exclude real estate and retirement savings.
- Millennials have outpaced their predecessors, Gen X and baby boomers, in wealth accumulation, and have left younger generations, such as Generation Z, in the dust, with Americans under 40 seeing their average wealth rise by a substantial 49% between 2019 and 2023.
- Savvy financial moves, such as consistent investing, a focus on retirement savings, and smart real estate purchases, have contributed to millennials' financial success, as they commit to long-term financial strategies and take calculated risks to build lasting wealth despite economic uncertainty.
- If millennials continue to focus on their financial future, they're poised to maintain and even extend their financial success in the years to come.
