The newest age group entering the workforce is Gen Z. And like most generational differences, they have a different approach to many things - including money. So, how are Gen Z doing financially? What's the average net worth of Gen Z? Let's dive in.

First, it's important to realize that the Gen Z Age Range today is 12 to 27 years old. For the sake of talking about money and net worth, we're only going to focus on 22 to 27 year olds. Because, let's be honest, the net worth of 12 year olds isn't going to help us understand much.

Why should we can about Gen Z's net worth? Well, like the millennials before them, the media continues to portray young adults in this country as unable to get head. But is that really the case? Let's dive in.

Related: Millennial Net Worth By Age

Who Is Gen Z?

Gen Z is technically anyone born between 1997 and 2012 (always subject to change - with more people calling those born after 2012 Gen Alpha). Basically, these people are roughly 11 to 26 today. That's roughly 72 million Americans today. We more fully break down the Gen Z age range here.

What makes them unique as a generation? Well, Gen Z is the youngest generation in the workforce today. And they're entering the workforce during unprecedented events - like the Covid pandemic. This generation also had many formative years living through virtual schooling and other never-before-tried activities. 

When it comes to money, Gen Z does have some of the highest student loan debt rates of any generation in history. The average Gen Z will graduate college with roughly $32,000 in student loans. See this article on the average student loan debt by graduate class/year.

So, it's really a mixed bag when it comes to Gen Z. Like millennials before them, they're really hard to define financially. Especially at such a young age.

When looking at net worth for Gen Z, these are all factors to consider.

Factors To Consider About Gen Z Net Worth?

When I think of the main factors that fall into Gen Z net worth, here's what we need to consider.

First, we need to consider when the Gen Z individual graduated. If Gen Z is roughly 11 to 26 today, some haven't even graduated college yet. However, if you're 26 today, you likely graduated from college 4 years ago - or 2019. That was right before the Covid pandemic.

Second, we need to look at the average salaries of graduates by year. NACE has a great survey that they conduct to look at the average salary of college graduates each year. Look at how much inflation has impacted starting salaries!

Note: The "Class of" date is the year most of your age group graduated a 4-year college (you wouldn't likely be negative if you didn't go to college). For example, if you're 27 in 2023, you likely graduated college in 2019, and high school in 2015. This could be slightly off depending if you're older or younger for your age, or you graduated high school or college early. 

Here's how that looks:

Note: Gen Z has some of the lowest college attendance rates of the last few generations. More Gen Z individuals are skipping college and jumping right into the workplace. This can have a positive boost on net worth much earlier than those that did go to college. At 18 or 19, you have the potential to earn more money without student loan debt. However, since roughly 60% of Gen Z is still attending college, it's a big factor in the overall net worth picture. Most of our data also relies on college graduation data.

Third, we need to discuss student loans. Student loans are a huge factor in Gen Z net worth, so we want to consider the average amount of student loan debt Gen Z had when the graduated (data here). 

Finally, we do have to make some assumptions about saving. Remember, net worth is all about assets minus debt. But income plays a huge role and how much income is saved and how much debt is paid off really makes a difference. For the "average" Gen Z, I'm going to look at average savings rates for the calculation. For the above average Gen Z, we're going to factor in IRA and 401k savings, as well as home equity.

Gen Z Net Worth By Age

As we compare the net worth of Gen Z by age, I want to look at average and stretch goals. I think it's important to always consider the average, but I also want to leave you with a stretch goal to get yourself in the top 1%.

Remember, net worth is assets minus liabilities. As we discussed earlier, the main assets we're focusing on is savings, based on income. The main liability for Gen Z is student loan debt, but other forms of debt (specifically auto loans and mortgages) can seriously impact net worth as well.

Finally, I want to re-emphasize that these are just our estimates. The Federal Reserve data lumps everyone under 35 into one bucket, so while we have some starting points, things can always skew one way or another.

With that in mind, here's the Federal Reserve Data for under 35:

Under 35:

• Median Net Worth: $39,000
• Average Net Worth: $183,500

However, I think it's a great starting point for discussion, so let's jump into it. Remember, we're pulling and estimating based on some very sparse data points, as well as negative net worth for younger cohorts. This is an estimate! But based on years of experience, we think it's a fairly accurate estimate. 

Average Gen Z Net Worth By Age

Here is the Gen Z Net Worth by Age estimate:

Yes, the "average" net worth for Gen Z (who are now in the workforce) is negative. We put the average of everyone at -$19,496. The key year is 27 - that's when we're seeing Gen Z make the jump from negative to positive.

It's clear that both Covid and inflation are having a profound effect on this generation. Covid stifled wage growth in 2020, which hurt the Class of 2020. Inflation is helping the class of 2022-23 with wages, but the costs of goods are also skyrocketing. 

Notes: This assumes that students don't work or work marginally during school, maintain an average amount of student loan debt, and get average employment after graduation

High Achiever Gen Z Net Worth By Age

Now that you've seen what average is, what does it take to be above average? Well, anything better than the chart above is above-average. But I want to give you a stretch goal. I call this the high achiever Gen Z net worth by age.

How do you get here? A few key areas:

• Eliminate Your Student Loan Debt (Read: How To Eliminate Your Student Loan Debt)
• Boost Your Income by 25% (Read: How To Boost Your Income)
• Save at least 25% of your income - can be through both personal savings or through employer matches to a retirement plan. (Read: How To Save For Retirement)

This chart below is calculated basically the same as the "average" net worth above, but with being student loan debt free, and having 25% higher income. Also, raising the savings rate by 25%.

What are some of your thoughts on this? Do you think an 23 year old can have $20,859 saved up just one year after college graduation? I think it's definitely possible - especially the high achievers that started working at 16 (or earlier) and saved a bunch, minimized student loans, and invested.

I think that these high achiever net worth amounts are very do-able. They are a stretch, but not unheard of. And these amounts will clearly make you above average. Probably on track to be a millionaire in your 40s.

How To Boost Your Net Worth

Now that you know the average and above average net worth, how do you get there? It's time to start looking at ways to boost your net worth. 

First, t's essential to track your net worth. I'm a fan of Empower, because it's free, has great tools, and it's online. Check out Empower here. But Empower isn't the only app or tool that can help. Check out our full list of the Best Budgeting Apps here.

The great thing is that you're still young and you have a ton of time on your side. Time is the biggest ally you have in building wealth. But if you want to grow it (and fast), here are two more key areas to focus on.

Boosting Your Income - As mentioned earlier, income is one of the key drivers in building assets and eliminating debt. The more income you have, the easier it is to grow your net worth. I want to challenge you to earn at least an extra $100 per month. We have a great list of ideas to get started. I'm a firm believer that everyone can earn more if they try. I personally went to college full-time, worked full-time, and managed to side hustle as well. 

Eliminating Your Debt - One of the biggest struggles Gen Z have is overcoming a negative net worth and making it positive. Eliminating that student loan debt is key. Leverage your additional income but also look at student loan repayment strategies to help lower that debt.

Final Thoughts

Compared to the average millennial net worth when they were this age, it does seem that Gen Z is doing better. However, while Gen Z may be earning more, and have a slightly higher (albeit negative) net worth than the previous generation, they are facing big headwinds when it comes to the cost of living.

They're making more, but everything is costing more. As such, it can be harder to grow your net worth. Combine that with rising student loan balances, and it's challenging to get ahead. 

The fact is, average is just that - average. It means that there are people doing better, and people doing worse. Keep working on your own situation to improve it and shoot for the high achiever numbers.

More From The College Investor:

Simple Facts

Here are some common questions when it comes to millennial net worth.

What is the average net worth of millennials?

The average net worth of millennials is $549,600. However, this varies quite a bit across the millennial age range. The median net worth of millennials is $135,600.

What is the millennial age range?

Millennials were born between 1981 and 1996, making them roughly 28 to 43 today.

What is the average millennial starting salary?

Millennial starting salaries vary quite a bit by graduation year. Starting salaries have ranged from $40,818 to $52,569.

What is the average millennial student loan debt?

Millennials have graduated with anywhere $18,217 to $29,812 in student loan debt on average, depending on the year they graduated.

Are millennials doing well?

There is a big divergence in millennial success. Many millennials are doing extremely well, but others are struggling. There are plenty of millionaire millennials, but there are also many millennials in poverty.

How To Boost Your Net Worth

Now that you know the average and above average net worth, how do you get there? It's time to start looking at ways to boost your net worth. 

As I mentioned above, it's essential to track your net worth. I'm a fan of Empower, because it's free, has great tools, and it's online. Check out Empower here.

The great thing is that you're still young and you have a ton of time on your side. Time is the biggest ally you have in building wealth. But if you want to grow it (and fast), here are two more key areas to focus on.

Boosting Your Income - As mentioned earlier, income is one of the key drivers in building assets and eliminating debt. The more income you have, the easier it is to grow your net worth. I want to challenge you to earn at least an extra $100 per month. We have a great list of ideas to get started. I'm a firm believer that everyone can earn more if they try.

Eliminating Your Debt - One of the biggest struggles millennials have is overcoming a negative net worth and making it positive. Eliminating that student loan debt is key. Leverage your additional income but also look at student loan repayment strategies to help lower that debt.

Conclusion

The fact is not everyone is average or above average when it comes to net worth. But knowing where you stand is incredibly important. It can validate your current financial plan, or it could provide motivation for you to make financial changes in your life.

Don't be discouraged if you're not hitting the bar yet. Follow the strategies we discussed and start working towards building real wealth.

What are your thoughts? Are you a millennials that's above average or below? What do you think is the driver of that?

More Article From The College Investor:

Editor's Note: This article was originally written in 2016, and there was no data available to figure out millennial net worth. As millennials have aged and even the youngest being in the workforce for a good amount of time, their net worth has been growing, and the data has been increasing. A large amount of our analysis comes from the most recent Federal Reserve Survey on Consumer Finances, which was published in October 2023. This article has been updated to reflect the latest data on millennial net worth.

Property taxes are typically your largest homeownership expense after paying your mortgage. Any way to save on your property taxes can be a big win for your budget!

Home ownership can be a true joy. The thought of holding your very own keys in your hands and being able to point and say “That’s my house”.

That’s until it’s time to pay property taxes. The average property tax in California is $4,694 per year whereas in places like New Jersey and Connecticut, it ranges from $6,400-$9,300 per year. This is undoubtedly not one of the joys of home ownership.

Now of course, we all want to be great citizens and do our due diligence to help with infrastructure and projects that benefit our communities. However, there is no reason to be overpaying your property taxes.

There are ways to legally reduce your property tax bill - let's dive in.

How Property Taxes Work

In simple terms, property taxes are local taxes paid on real estate you own, including both the land and buildings on the land. The amount of property tax you owe is typically based on the assessed value of the property (i.e. what the property is worth).

Some states, notably California, assess your property taxes on the sales price you purchased the property for. For example, if you buy a home for $500,000, your property taxes will be roughly 1.2% of the value, or $6,000 per year. In California, they don't re-assess your property value unless you substantially change your property. This is how some amazing beachfront property pays very little in taxes.

However, in other states, they may re-assess your property value every year, or every-other year. In Texas, the state law is that every property must be reassessed AT LEAST every three years. The result is the amount that you pay in property taxes may change based on the new assessed value.

If you want to dispute your property tax bill, it almost always is about disputing the value of your property. Here's how to do that.

Contact Your Local/County Tax Office

A simple Google search for “local or county tax office” and the name of your city will give you the list of appropriate offices in your local area.

Once you have collected that information, call or visit one of these offices and ask them about what your options are when it comes to reducing your property taxes especially if you believe you might be paying too much.

This truly is a situation of “if you never ask you will never know”. Once you ascertain all the options available to you, you can then go ahead to implement the ones that will save you the most money.

Note: Local government offices are notoriously underfunded and understaffed which means that if you choose to send an e-mail it could get lost. Calling or booking a physical appointment is more likely to yield you productive results.

Find Out The Current Value Of Your Property

For most people, the #1 driver of their property tax is the value of their home. Other than a few small "flat taxes", the largest portion of property taxes is a percentage of the value of the home - say 1%.

It's important to note what the county or city thinks your property value is, and what you think the value of your property is. Get a copy of your home’s current assessment record from the County Assessor’s Office. This will potentially give you further grounds to save on your taxes.

Being in the know of how your local government assesses properties in your locality is extremely useful as well. For instance, in some states property tax is based on a capped percentage on the purchase price of your home while others have been known to raise or reduce your tax bill based on fluctuating market prices.

Finding out exactly how that number is calculated will help you determine if you are paying the right rate or not.

Another way to find out the true value of your property is if you've recently had an appraisal done. For example, maybe you recently refinanced your home and you have an updated appraisal from your bank. This can be a great tool in helping you understand the current value of your property.

Appeal Your Property Taxes Or Property Assessment

It is likely that this might be one of the options that will be presented to you by the local/county tax office.

The sad truth is that, sometimes the County Assessor's Office, the people who appraise and place a value on homes and properties, are woefully understaffed and yet are responsible for the whole county.

Being busy like that also means that the probability for errors to have been made when the property was first appraised is very high. It is also possible that a neighbor of yours who has a much bigger/more expensive property than yours may even be paying taxes lower than yours as a result. This is where you can begin to appeal your current tax bill.

Every local tax office will handle tax appeals differently. In general, it will work along the following lines.

• File an official appeal form with your local/county tax office
• Get in touch with the County Assessor’s Office and go over the value of your home together to ensure your home was assessed correctly and that there are no errors
• An appraiser may be sent to your home to come and re-appraise your property taking similar properties around you into consideration. You can exercise your power here by walking the property with the appraiser to make sure they get everything right.
• If further evidence is needed, you might have to attend a hearing of your case to defend your case
• If it does happen that your home was incorrectly appraised and as a result you are paying higher taxes, this information will be communicated to the County Assessor’s Office and steps to reduce how much you are paying on property taxes can be processed from there. If you are owed a refund as a result of over-paying, you will receive that from your local/county tax office as well. 

Research What Similar Properties and Your Neighbors Are Paying

You don’t need to ask your neighbors what they are paying for property tax. You can find property tax information for your home and properties similar to yours using information from the county tax office.

Make sure you compare based on parameters like:

• Size
• Bedroom Count
• Bathroom Count
• Garage/No Garage
• The year the home was built
• Acreage that surrounds the home
• Premium views (e.g of the ocean, a lake, mountains etc)

If your research shows that you are paying considerably more than properties around you that have similar characteristics, you can arm yourself with this knowledge to further push your appeal.

You can also use real estate websites like Zillow and Redfin to find out what homes similar to yours have sold for in the last 30-90 days and the taxes they are paying to gain a good idea of what you should be paying.

Find Out If Your Are Eligible For A Tax Break

States and local governments have different property tax breaks if you are a senior citizen, a veteran, active military , disabled or experiencing severe financial hardship. You may have to file the necessary paperwork to prove that you fall into one of these categories but it is worth it.

Many locations also a homeowners or homestead exemption. This means that if you live at the property as your primary residence, you get a small tax break. However, it usually requires that you file a specific form. Make sure you file this form if you haven't.

Other states and local governments will also give you a tax break if you use alternative sources of energy for your home such as solar power.

There Are Services To Help

In some states and locations there are services that can help you try to get your property taxes lowered. They basically do all the steps above for you - but for a fee. Sometimes the fee is a flat-rate service whether or not they can save you any money. Other times you'll pay the company a percentage of the savings when they are successfully able to lower your property taxes.

One service that has been leveraging technology to help is Ownwell. This company will let you know up front if they think they can save you money, and they only charge a percentage if they are successful. They operate in several states as well. Check out our Ownwell review here.

Some Key Points To Remember

These are all the steps you can take to lower your property tax bill and pay the taxes you have to pay and nothing more than that. I personally have been able to use an appraisal from refinancing my home to lower my property tax bill. I simply filed an appeal with my county, sent them my new appraisal, and they agreed. For about 30 minutes of work, I was able to save a few hundred dollars.

However, if you don't have something recent, it could be useful to use a service.

While you take these steps it is important to remember that you will still need to pay your taxes for the current year while you research and appeal your case.

It is also important to note that if you do decide to appeal, it could take 1-2 years for that property tax bill to come to its’ correct level.

We do think it is worth the fight regardless because it will save you from 10, 20 or even 30 years of overpaying in taxes when you could have put the money towards investments.

Have you ever been able to successfully lower your property taxes?

Capital One Shopping is a mobile app and browser extension that allows you to earn rewards when you shop. It takes the work out of having to look through flyers or shop around for savings. 

But how does Capital One Shopping work, and how does it compare to other shopping rewards apps, such as Rakuten and Honey?

Our full review explore's Capital One Shopping’s features to help you determine if it’s a good fit for your situation.

What Is Capital One Shopping?

Capital One Shopping is a money-making app and browser extension designed to help you find deals before you make a purchase. The tool launched as Wikibuy back in 2014, but has since been rebranded to the current Capital One Shopping rendition.

What Does It Offer?

Let’s take a closer look at what Capital One Shopping has to offer.

Apply Coupon Codes Automatically

Coupon codes help you save money when shopping online. But manually tracking down the appropriate coupon code for an item can take time. I know I’ve spent way too much time going down the rabbit hole to find a coupon code for a specific purchase.

Since installing Capital One Shopping, my checkout process has been much smoother. Instead of hunting down a code manually, the tool automatically runs through a list of possible codes when you ask it to ‘try codes.’ It's a helpful feature that can save you money and time. 

Compare Prices Across Sites

Many websites sell the same exact items, but at varying prices. Capital One Shopping can compare prices across thousands of retailers, to find incredible deals.

It’s especially useful for Amazon shoppers because the tool runs in the background as you browse Amazon products. It typically only takes the tool a few seconds to determine if you can find a better deal elsewhere.

Earn Rewards

Capital One Shopping gives you the chance to earn credits for certain purchases at over 100,000 stores online. As you collect credits, you can redeem them for e-gift cards from retailers that you know and love.

It’s worth pointing out that you’ll need to activate the Shopping Rewards before you make the purchase. Otherwise, you’ll miss out on those rewards. In general, it takes between 30 to 90 days for the Shopping Rewards credits to hit your account.

Price Watch Feature

If you have a specific item in mind, you can set up a price watch to find out when the item goes on sale. When items are on your watch list, you can quickly assess if the price has changed at all. With some patience and luck, you can score some great deals by using this feature. 

Are There Any Fees?

Capital One Shopping is a completely free tool. You won’t have to pay to use this tool to find savings. 

How Does Capital One Shopping Compare?

Capital One Shopping isn’t the only tool you can use to save money. Here’s how it stacks up:

Rakuten is a shopping rewards website that offers cash back on your purchases at select stores. One big difference between Rakuten and Capital One Shopping is that you can redeem your rewards via check or PayPal at the end of every quarter, which is more flexible than the e-gift cards offered by Capital One Shopping.

Honey is yet another browser extension designed to help you find the most lucrative coupon codes without manually searching for them. It also offers a watchlist to help you track prices. Sometimes, you can tap into cash back opportunities, which can be redeemed as gift cards or via PayPal.

How Do I Open An Account?

To sign up with Capital One Shopping, head to capitaloneshopping.com. From there, decide if you want to download the mobile app or the browser extension.

If you opt for the browser extension, you’ll need to install it, which is a very quick process. Once that's done, you can sign up for an account. Be prepared to provide your email address, zip code, and a password. Once you activate the account, you're ready to start shopping with Capital One Shopping. 

Is It Safe And Secure?

Capital One Shopping says that it won’t sell your personal information. However, it’s a good idea to read through the fine print to ensure you are comfortable with how the platform uses and protects your information. 

How Do I Contact Capital One Shopping?

If you need to get in touch with Capital One Shopping, you can email help@capitaloneshopping.com.

The mobile app earned 4.7 out of 5 stars in the Google Play Store and 4.9 out of 5 stars in the Apple App Store. The high scores bode well for a positive experience. On the other hand, the 1.3 out of 5 star rating on Trustpilot (based on 163 reviews as of April 2024) indicates that many customers have had a less than satisfactory experience. 

Is It Worth It?

If you aren’t using a free tool to optimize your shopping experience for a lower price tag, then Capital One Shopping is absolutely worth considering. You can use the free tool to lower your costs when shopping for things you already planned to purchase.

The major downside is that you can only redeem the shopping credits for select gift cards. Make sure to review the list of retailers to confirm you are happy with the gift card selection. If you aren't, consider working with either Honey or Rakuten for online shopping savings because the rewards are available through PayPal.

Check out Capital One Shopping here >>

Capital One Shopping Features

Here's a crazy stat: the oldest millennials are closer to receiving AARP than they are from when they graduated college.

AARP (American Association of Retired Persons) is the nation's largest nonprofit, nonpartisan organization dedicated to empowering Americans 50 and older to help live their lives in the best way possible with access to tools, advocates, and financial resources that help with items ranging from tax preparation to access to community assistance funds for members.

But ignoring that fact, did you know that AARP is now open to anyone ages 18 and up? They offer a variety of resources and benefits to help its members save money. Here are a few ways that AARP can help you lower your spending.

Household Discounts

AARP can save you money when it comes to your everyday expenses. Wireless providers such as ATT and Consumer Cellular offer discounts for regular cell phone plans. Along with your cell phone, you can also save on money sending packages and other services provided by UPS. Other discounts include ones on groceries, gas, and items for your furry companions such as pet insurance.

Speaking of insurance, AARP offers exclusive benefits to members. While you have to qualify for Medicare for some exclusive rates such as ones from United Healthcare and Delta Dental Insurance Company, you can be any age to take advantage of discounts for eyewear at stores like Target and gym memberships. You can also secure discounts on prescription medicine at retailers such as CVS, Walmart, and Walgreens.

Save Money On Travel

Millennials take advantage of their vacation days. It’s estimated that millennials take the largest number of international and domestic vacations when compared to their peers from the Baby Boomer and GenX demographic. Millennials also shared their travel budgets which stated they planned to spend anywhere between $3,650 to $4,560 on travel for the upcoming year. With vacation costs rising, you can save money by using your AARP membership.

Budget, AVIS, and Expedia are all AARP partners that offer discounts on upcoming car rentals. Best Western, Hilton, Embassy Suites Wyndham offer discounts for hotel rooms off of the best available rate for the length of your stay. You can also save big on theme parks like Disneyland, Disney World and Universal Studios. Members can also score exclusive deals for cruises and flight travel packages.

Related: Best Credit Cards To Maximize Travel Rewards

Discounts on Financial Products

AARP partners with financial companies to bring you discounts on common financial tools. For example, Marcus: By Goldman Sachs offers a rate bonus on its high-yield savings account and Barclays has exclusive offers on its credit cards. You can also open a Health Savings Account (HSA) through Optum Financial with reduced fees. 

There are also financial tools to help with your taxes, plan for retirement and services if you find yourself the victim of fraud. 

AARP also offers services to help ensure you and your family are looked after should something happen to you. Trust & Will offer discounts off of estate planning and New York Life offers long term care insurance as well as multiple life insurance policies to fit you and your budget. Long term planning is something that you can (and should do) at any age.

This membership definitely has you covered when it comes to insurance. For even more insurance needs, The Hartford and Allstate offer special rates for AARP members on auto insurance, renters insurance, and roadside assistance. There’s also insurance mobile homes, motorcycles, recreation vehicles, boats and watercrafts plus collectible vehicles. Basically, if you need insurance, AARP likely has a discount for it.

Save On Entertainment

Fun can be had at any age and that’s what makes AARP great with discounts you can use when you’re out and about. If you feel like skipping out on cooking dinner tonight, you can grab deals at places such as Carrabas Italian Grill, Papa John’s, Cinnabon, Jamba, Outback Steakhouse, and more. 

You can also grab discounts on theme park tickets or streaming services like Paramount Plus at a lower rate than a non-member.

AARP Theater also offers multiple movie and theater showings on demand. You can also see concerts, musicals and dance performances all from the comfort of your own home. It’s a great way for those of us who also prefer to stay home or have limited mobility.

Free Financial Education

Besides discounts, AARP also provides a wealth of knowledge and free resources at no additional cost to their members. Financial topics include information about budgeting, retirement planning, debt, taxes, and social security. They also offer free tax assistance and additional support to help advocate for those who need additional help such as home care service or long term insurance.

Get AARP Rewards

Last but not least, AARP offers rewards to members when they complete certain tasks, such as completing surveys and games. You can also earn rewards for activities such as syncing your fitness tracker and logging doctor visits. Rewards can later be turned in for gift cards to retailers such as Amazon and Kroger. Every little bit adds up when it comes to saving and these gift cards can be used for groceries, gifts and other household items one may need.

How To Sign Up

To sign up, visit the AARP website to register. An AARP membership for 2024 is priced at $16 for the entire year. You can get a discount if you pay for a membership if you pay in advance for years to come. At this low rate, you pretty much only need to use your membership once to cover the annual fee.