Here are each generation’s definitions of financial success—and how to get there

As you get older, your definition of financial success may have changed. Your financial metric, which indicates what it means to be successful, may have declined over the years.

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In fact, the salary you think determines financial success has a lot more to do with your age than you think. Here’s a study from financial services company Empower that showed wide differences in how much members of different generations believe they need to earn each year to be financially successful.

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Let’s start with everyday Americans. According to the study, the average person in this country believes that a salary of just over $270,000 per year qualifies them as financially successful.

You might think that’s pretty high. According to the Bureau of Labor Statistics, average weekly earnings for the nation’s more than 120 million full-time wage and salary workers were $1,165 (not seasonally adjusted) in the third quarter of 2024. That’s about $61,000 per year.

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As you might expect, the amount varies greatly by generation. According to the study, each generation needs to earn the following per year to be financially successful:

• Boomer: $99,900

• Generation X: $212,000

• Millennials: $181,000

• Generation Z: $588,000

The study showed that it is also about what you can buy with your money.

“Only 27% view wealth as the highest measure of financial success,” Empower said. “Rather, most Americans say happiness (59%) is the most important measure – being able to spend money on the things and experiences that bring you the most joy, doing what you love, followed by the luxury of leisure (35%). . Pursue personal passions.”

Why is it important? According to Axios, “In an environment where workers are increasingly disgruntled, research from financial services firm Empower finds that younger workers expect double the salary of their older counterparts to succeed.”

No matter your age, there are ways to secure a higher salary or increase your overall income. Here are a few suggestions from United Way:

• Ask for a raise. You want to make sure you are paid fairly for what you are worth in today’s market. You can ask a few times before you decide that it is time to move to another organization where you will earn more.

• Go back to school. You may be able to find a better-paying job if you have additional skills or higher education, or you may be able to secure a raise and a higher position with your current employer.

• Turn a hobby into a profitable business. You may have skills like writing or painting that can help you make a lot of money.

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