The question of how much money the wealthiest Americans keep in savings is more complex than a simple bank balance. While figures like Elon Musk or Jeff Bezos remain private, U.S. government data provides insights into the financial habits of the top income earners. The difference between the rich and the rest isn’t just about earnings; it’s about how those earnings are managed.
Income Tiers of the Wealthiest 10%
To be in the top 10% of American earners, you need a minimum income of roughly $149,000 per year, though the average is around $190,422. The top 5% start at $353,000 annually, while the top 1% requires an income of at least $794,000. These figures are distinct from wealth, which considers net worth (assets minus liabilities) and is far higher for inclusion in those tiers.
Bank Savings vs. Total Wealth
The richest Americans don’t keep the bulk of their wealth in bank accounts. Instead, their net worth is primarily tied to investments, real estate, and other non-liquid assets. However, they still hold a larger proportion of their annual income in liquid savings than most. According to reporting from Motley Fool:
- The median bank account balance for the top 10% by net worth is about $128,000.
- The average savings account balance for this group is approximately $111,600.
- The median transaction account balance (checking and savings combined) is $8,000.
Retirement Savings: A Vast Divide
The “magic number” for retirement savings is often cited as $1.26 million. The top 10% of wealthy Americans are well on track to meet or exceed that amount. The Federal Reserve’s Survey of Consumer Finances shows the median retirement savings for the top 10% exceed $900,000, compared to just $87,000 across all households with retirement accounts. This disparity highlights the massive advantage in financial preparation.
Building Wealth: Lessons from the Rich
While replicating the wealth of the richest Americans may seem impossible, adopting their financial habits can significantly improve your savings. Starting small, such as setting aside a fixed amount weekly (even $10), can lead to substantial growth over time through market investments. Tools that round up purchases and deposit the difference into savings accounts also provide a simple way to accumulate wealth gradually.
Consistent, disciplined saving, combined with strategic investment, is the key to long-term financial success. The wealthy don’t just earn more; they manage their money more effectively.
