10 Signs You're Wealthier Than The Average American (Even If You Feel Broke)

The typical American is fielding plenty of financial strain today. Inflation is on the rise again, impacting virtually every aspect of the consumer lifestyle, and with fresh warfare happening abroad, new concerns over the price of gasoline and other essentials are being added to the list. Economic pressures seem to have been top of mind for many over the last few years, with little support coming into the fold to alleviate the worries. A prolonged downturn in financial fortunes has many tightening their belts and thinking about how they stack up against the average.

Plenty of Americans feel they're behind financially, given all these stress points. In 2025, Navigator found that 63% of Americans rate the economy "negatively," while 53% "feel behind where they thought they would be financially." A majority harbors dour outlooks on the state of the national economy and their own finances, but plenty actually have more fiscal stability than they might initially think. These 10 signs of financial strength aren't shared by everyone, but plenty of Americans who are feeling left behind likely exhibit a number of these signs, indicating they're in better shape than the emotional stress response to financial worry might otherwise suggest.

One of the most prominent signs of an American existing ahead of the financial curve is the ability to float small or even moderately sized emergency expenses without having stress about where coverage will come from. The emergency savings reserve is a seemingly underrated financial tool that many have not prioritized in their own budgeting. Bankrate found in its 2026 Emergency Savings Report to 24% of Americans have no emergency savings whatsoever. Considering how often financial pundits others harp on about the importance of this cash reserve, that's a significant number living without the critical financial backstop.

Other data points suggest similar vulnerabilities even among those who have set money aside for emergencies. 53% of Americans don't have enough to cover a $1,000 emergency expense without issue, which means they would need to dip into a loan of some kind or actively plan to rely on credit cards, personal loans, or friends and family to cover this kind of expense. Even if your emergency fund isn't built up to the recommended size, capable of covering three to six months' worth of expenses, crossing this $1,000 threshold or other similar benchmarks ultimately means you are ahead of most Americans in this department.

Saving is something virtually all Americans say they do. A NerdWallet study found in 2023 that even though most don't have the ability to cover a $1,000 emergency spending requirement, 89% of Americans say they save regularly. The study also found that the median savings figure is about $250 per month. This combination of factors suggests that most savers are either pushing most of their funding into retirement accounts that they intend on leaving off limits, or set money aside that they ultimately need to dip into before the month is out to cover other bills and routine expenses.

If you are someone who consistently saves for the future and doesn't have to touch that funding to make ends meet before the next round of deposits arrives, you are likely in a better financial position than most. Similarly, with a savings volume that surpasses the median figure, you're probably better off than the average American saver, even if most of that capital is headed to accounts you hope to not touch for many years. For those experiencing a constant pressure to dip back into their savings account, some new, frugal spending and savings habits and a more realistic interim savings goal may be required. Saving less but being able to keep it there is a big psychological win that can snowball new and improved budgeting habits and targets.

According to Allianz Life's Retirement study for 2025, nearly half of all Americans don't have a written financial plan of any sort. About half of Americans also lack basic financial literacy (via GFLEC). These figures tie into a particularly scathing financial statistic about the American consumer experience: Less than 17% of high school graduates were required to take financial literacy courses during their K12 education. Thanks to this general lack of knowledge about how to manage finances and balance a budget, many consumers across the country lack specific knowledge about their own financial situation. Plenty won't know the ballpark figure of how much they owe in total debt, many homeowners won't have a firm grasp on their level of equity in their property, and still others won't know how much money they have saved at any given time.

A basic handle on how much you have in your emergency fund, the value of your retirement accounts, and other savings assets working to support overall financial health really is a basic feature of good stewardship. With these figures in mind, you can make better decisions about how to leverage your cash flow to prevent your household finances from becoming overextended. These datapoints also help consumers make more informed decisions about new lending products, payoff strategies, and more. Flying blind is a recipe for disaster, but it's totally avoidable with a semi-regular check-in across your accounts.

The concept of setting a budget and sticking to it seems relatively simple. The average consumer earns a paycheck deposited every other week or monthly, giving them funding to live their life until the next salary deposit arrives. Of course, this kind of short-term thinking, bouncing from one paycheck to the next, isn't the kind of thing that the typical consumer will want to maintain. A typical budget includes the prioritization of debt reduction, emergency savings, and other elements that help build a moat for the future. While 86% of people say they use a budget, surprisingly, less than 25% report that they are consistently able to stick to the figures they've laid out for themselves (via Investopedia).

Many have to dip into credit accounts or rely on help from friends or family members to make ends meet. Failing to stick to your budget might also take on the form of limiting deposits into a savings account, even though you had earmarked cash for this action item. Routinely sticking to your budget feels like something that everyone should be able to do, but living paycheck to paycheck (something that more than half of high earners experience, too) makes it increasingly difficult manage on a consistent basis. If you can maintain this equilibrium, you are part of a surprisingly small community.

The average salary for an American worker today is roughly $67,000, while the average household debt is a little over $105,000 (via CNBC Select). This means that a single-earner household will typically carry more debt than their yearly paycheck can cover while a double-earning home surpasses it. According to TransUnion, credit card balances average just over $6,700 across the American consumer landscape, and student loans also make up a large portion of the typical employee's blend of financial obligations, all fueling a consumer's debt-to-income ratio (DTI). This is the repayment obligation on your borrowed money divided by the income you receive to manage these obligations. They stand alongside other financial demands like covering the grocery bill or getting gas for the car.

Lenders (such as Freddie Mac) want to see a DTI at or below 36% when considering applicants for new lending products, including credit cards, mortgage loans, and more. As a result, this is a good target for consumers seeking to reduce their debts. On the other hand, borrowers with a DTI already below this threshold will want to consider it a hard cap on how much they can or should borrow when looking for financing to support a new car purchase or shopping for a new home. The aggregate DTI across the nation in 2025 was 81%, according to Landmark Wealth Management, with a debt service ratio (the percentage of an average household's income spent on payments) averaging 11.2%, for reference, adding another target figure into the mix.

Groceries are an essential spending category that no household can do without. Even so, LendingTree reported in March 2026 that half of all Americans experience at least some level of struggle when budgeting for food, and a significant majority experience food insecurity or have worried about paying for groceries in the last month. Almost all Americans (about 90%) have "changed how they shop for groceries to offset higher food prices," according to the research. Concerns over inflated prices at the grocery store hit wallets hard. Everyone has to eat, but rising prices thanks to complicated import regulations, the impacts of climate change, and a bevy of other conditions beyond our control make this a more fraught task in recent times.

With so many people worrying about their food bill in one way or another, if you are someone who doesn't need to check your balance before writing up your grocery list or heading to the store, you are standing on firm financial footing. Even if you feel you have to tighten your belt a little because of unsustainable price rises, worries over how you'll fund the grocery bill exist as another step further along the road of financial insecurity. Frugal spending is a savvy approach, but budget juggling signals a different, more dangerous position.

Financial advisors cost money to work with, taking roughly 1% of your portfolio value annually as a fee for their services. Because of this cost, many people choose to go it alone and manage their investments without additional support from professionals. Plenty of savers have lots of direct experience in the market and can make smart investment decisions on their own. Therefore, the choice to work with a financial professional as you chase your retirement or other financial goals perhaps exhibits a slightly weaker correlation to wealth levels and financial stability than some other signs you might consider.

Even so, many who have developed a strong financial standing do choose to work with an advisor because they know the value that these professionals bring to the table. It's been found that over the course of entire retirement savings journey working with a financial advisor can ultimately double your portfolio's value. If that's not worth the 1% cut then nothing is! Financial advisors can help you make targeted stock picks, while tailoring your overarching strategy to better support the goals you have in mind. They also help keep you accountable, urging you to remain on track with your targets and all the actions that are required along the way. These include things like a consistent commitment to making contributions, firm rebalancing and portfolio diversification efforts, and a custom blend of risk and stability.

Money troubles are a key worry for many couples, and there are some specific things couples should talk about when it comes to money, especially before getting married. Capital One reported in 2020 that 77% of its study's participants in a survey reported "feeling anxious about their financial situation." Five years later, Northwestern Mutual reported that 69% of Americans "say that financial uncertainty has made them feel depressed and anxious." Add another person into the equation and money worries can quickly become magnified. Stress over the gulf between what a partnership wants and can afford often leads to tension, which can ultimately result in fights that bleed out into other realms of the relationship.

If you don't experience this underlying issue in your partnership, you're more financially stable than most. One-third of couples fight about money, specifically (via Psychology Today), and roughly the same number of Americans say they're "uncomfortable discussing finances in their relationship," according to Talker Research. Money worries can be a sticking point for some. It can form the basis of a personal feeling of inadequacy that creeps into other areas of the relationship. But open and honest communication about existing problems, hopes and opportunities, and more can unlock far greater trust and mutual respect for couples who have struggled in the past with this issue. This isn't an issue you have to remain stuck with, but it is one that frequently creates limitations for people experiencing broader financial stresses.

Budgets are a big deal for consumers, and sticking to the confines of your budget regularly can be a strong indicator that you're wealthier than the average American. But budgets break in a few different ways. Some consumers may see some of their non-essential spending shrink to make ends meet. Others have to make even harder decisions about how to fund the life they lead. This can present itself in the form of living above your means. Essentially, this is the practice of consistently spending more than you make. Usually, this involves tapping into a line of credit to support overspending, but it can also mean leaning on friends or family members for support or even selling some of your belongings to generate the additional cash flow required.

A full 26% of Americans spend more than they make, and 44% have difficulty managing all their bills, according to reporting by Investopedia. This suggests that nearly half of Americans have to make tough choices about what essential spending categories to underfund each month, or fully fund everything but sinking further into debt with each passing paycheck or month. Living below your means sounds like an obvious and necessary financial choice, but it's one that a notable percentage of American consumers have trouble maintaining.

Some people actively seek to go down the DIY route when something breaks in the house or an upgrade gets added to the to-do list. Approaching tasks with the DIY mindset is an industrious and generally frugal way of thinking, and plenty of people take great satisfaction from tackling jobs around the house on their own without professional help. There's a kind of seize the day mentality that comes into play here, and it can be immensely rewarding to finish a job with your own two hands. But numerous households require rather than prefer DIY upgrades, repairs, and maintenance. The cost to hire a plumber averages roughly $340 (via Angi), exterminators run a homeowner around $170 on average according to Angi, and electricians charge an average of $350 to complete a job, according to HomeAdvisor.

Many household budgets can't spare the cash to cover these kinds of sudden expenses. Couple that pressure with the reality that pesticides, a few traps, or a couple of hours spent on YouTube learning how to perform a repair yourself can often be much cheaper (at least in the short term). If you don't legitimately have to perform the job yourself to keep from blowing the household budget wide open, you're probably in better shape financially than most. If you can afford it, you'll also typically enjoy a better end result by hiring a professional to handle the job alongside a range of other benefits.