When Your Net Worth Reaches This Number, You Might Be Considered Mass Affluent

The term "upper class" generally refers to households with significant wealth and a lifestyle that affords them luxury homes, extensive travel, and financial freedom. However, that portion of the population aren't the only ones living comfortably. A section of the middle class known as the mass affluent is also made up of households in comfortable financial situations, though their holdings are much more within reach for the average individual than some of the assets you need to be considered upper class. Mass affluent households typically have net worths between $100,000 and $1 million, making at least $75,000 per year. According to SmartAsset, around 26% of the U.S. falls into this category, and 40% of it is made up of baby boomers.

People who are considered mass affluent may spring on recreation and travel more frequently than those with lower net worths or incomes, and likely have more cash on hand. But despite exhibiting many characteristics associated with the upper class and high-net-worth individuals, SmartAsset reports the brunt of most mass affluent people's wealth comes from their home's value. However, folks with higher incomes and savings tend to have much more of their wealth in investments.

Meanwhile, Pew Research reports that middle class incomes at large fall between $56,600 and $169,800. Seeing as the mass affluent class' $75,000 annual income minimum falls well within that range, most mass affluent individuals are likely to hold much more in financial assets than the lower middle class.  

Breaking into the mass affluent class requires financial discipline, but it's still an attainable goal for many. Eliminating high-interest debt like credit cards can be a big help in reaching this level of wealth, as carrying credit card debt can damage your net worth. Embracing strategies to pay down debt, such as tackling balances with the highest interest rates first or paying more than your minimum balances can be a big help in this regard. Being mindful of the debts you take on can also set you up for success, as there's such a thing as good debt — like a mortgage — that could ultimately increase your net worth if a property's value goes up. 

However, surveys show that households with high net worths that have broken out of the middle class have done so by investing in the markets. Those in the mass affluent class have largely done the same, but to much more attainable degrees. The Federal Reserve's Survey of Consumer Finance (SCF) reveals that those with net worths in the top 10% of all Americans held a median of $313,000 in stocks as of 2022. However, the median stock holdings for those in the 25th through 75th percentiles — which includes everyone in the mass affluent class — fell between just $1,400 and $8,000. This distribution suggests that you don't need to make some radical financial move to break into the mass affluent class. Making thoughtful investments within your means could just as easily boost your net worth over time.