How Much Would You Get If America's Money Were Split Evenly?

There's no question that a disproportionate share of America's wealth is concentrated among a small group of people. According to the Federal Reserve, total U.S. household wealth is greater than $167 trillion, with nearly two-thirds belonging to the top 10% of wealth holders. Imagine that wasn't the case. What if all the nation's wealth were pooled together and redistributed evenly, giving every person an equal cut? Setting aside whether such an extreme redistribution of wealth would even be possible — or a good idea, for that matter — a payout of nearly $500,000 would be a major windfall for millions of people struggling to make ends meet. For the wealthiest people in America, on the other hand, it would be a devastating blow.

If all of the $167 trillion in household wealth — including assets such as investments, real estate, and business holdings — were liquidated, tallied up, and divided evenly among the roughly 343 million Americans, each person would receive around $487,000. Whether or not this is a good thing depends on where your net worth falls in line. For Americans in the bottom 25%, whose net worth is around $27,000 as of 2022 according to Federal Reserve data, this kind of wealth redistribution would be especially great news. That much money appearing in someone's bank account would instantly make them upper class by today's standards, and if they're married with children, it would make them a millionaire. It would also be a major boon to those with net worths in the bottom 50%, as those in this group hold roughly $193,000 in net assets. The benefit starts to reverse course, however, as net worth numbers climb above that 50% mark.

For the wealthiest 25% of Americans, with net worths of about $659,000, an equal redistribution would result in a loss — though a relatively modest one compared with those in the higher echelons of wealth. The impact is more significant for those in the top 10%, who would be left with roughly a quarter of their more than $1.9 million in assets. For the roughly 1.3 million households that have reached the top 1% wealth threshold, the loss would be catastrophic. These households hold more than $52 trillion of the nation's wealth, with an average net worth of $35.5 million, according to Bankrate. Meanwhile, the top 0.1% of Americans would see almost all of their fortunes, which average $159 million, essentially disappear.

Those poised to lose money if a massive redistribution of wealth were to occur can rest easy knowing that such a scenario would be nearly impossible to pull off. The majority of Americans' wealth is not held in liquid assets, so the assets would first need to be sold to generate cash for distribution. According to Federal Reserve data, more than $49 trillion of U.S. wealth is tied up in real estate assets, while another $51 trillion is held in corporate stocks and mutual fund shares.  Some of this wealth is also tied up in retirement accounts, consumer goods, and other illiquid investments. Liquidating everything would not only create a logistical nightmare, but it would also lead to major economic repercussions.