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How Americans Make and Spend Their Money, by Age Group

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If you’re like most people, your income and spending changes significantly as you get older.

In the most common career trajectory, earlier years coincide with a lower salary as skills and experience grow. Then, peak earning years are achieved in late adulthood, and eventually retirement comes onto the horizon.

Is this typical earnings arc supported by data?

Income and Spending, by Age

The data visualizations in today’s post come to us from Engaging Data and they use Sankey diagrams to display data from the Bureau of Labor Statistics (BLS) showing differences in how various age groups in America earn and spend their money.

The four charts below will show household data based on the age of the primary resident:

  1. Less than 25 years old (Very early career)
  2. Between 25-34 years old (Early career)
  3. Between 45-54 years old (Peak earning and spending)
  4. More than 75 years old (Retirement)
    1. Let’s take a look at the collection of data, to see how it shakes out.

      Less than 25 Years Old – $31,102 in spending (94.6%% of total income)

      These contain an average of 1.9 people (1.3 income earners, 0.3 children, and 0.0 seniors)
      Less than 25 Years Old

      For the average household with a primary resident under 25 years old, total income is $32,893.

      The biggest expense is housing (24.3% of spending), followed by vehicles (10.8%), gas and insurance (9.3%), food at home (7.7%), and dining out (7.6%). For this younger cohort, education is also a significant expense at $2,333 per year (7.5% of spending).

      Between 25-34 Years – $48,928 in spending (70.8% of total income)

      These contain an average of 2.8 people (1.5 income earners, 1.0 children, and 0.0 seniors)
      Between 25-34 Years Old

      In this age range, earning potential starts to rapidly expand with experience – and households make double that of the previous category (Under 25 years old).

      Housing remains the biggest expense (25.9% of spending), followed by gas and insurance (9.2%), household expenses (8.2%), food at home (8.1%), and then vehicles (8.1%).

      Between 45-54 Years – $64,781 in spending (64.6% of total income)

      These contain an average of 2.8 people (1.7 income earners, 0.7 children, and 0.1 seniors)
      Between 45-54 Years Old

      This age range is notable because it has both the highest income and the highest spending. It also represents a time of peak savings, with the average household stashing away $19,159 per year.

      Expenses are similar to the previous category. Housing is the biggest expense (22.0%), followed by gas and insurance (9.0%), food at home (7.9%), vehicles (7.9%), and household expenses (6.7%).

      Over 75 Years Old – $40,211 in spending (95.6% of total income)

      These contain an average of 2.6 people (0.2 income earners, 0.0 children, and 1.4 seniors)
      Over 75 Years Old

      Not surprisingly, here we see salary contributing just $7,891 per year to total income, with social security supplementing income with $25,057 per year.

      For this older segment, health insurance (8.2%) jumps up to become the second most important expense. Meanwhile, driving and housing both drop in their respective allocations.

      The Typical Earning Arc?

      The data confirms that conventional wisdom around the typical earning trajectory for Americans seems pretty accurate.

      For more breakdowns, check out how Americans spend their money based on income levels or education levels.

      Did you find any surprising anomalies in the numbers?

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The Wealthiest People in the World, Outside of America

This graphic shows the wealthiest people in the world that live in countries either than America, from luxury moguls to India’s titans.

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The Wealthiest People in the World, Outside of America

This was originally posted on our Voronoi app. Download the app for free on iOS or Android and discover incredible data-driven charts from a variety of trusted sources.

Today, nine of the top 10 wealthiest people in the world are American, largely due to fortunes in big tech—but looking beyond U.S. borders tells a different story.

In Asia, people in the highest echelons of wealth are energy and industrial titans, while the richest in Europe run luxury conglomerates and major consumer firms. Many of these companies are well known globally, and several are only known within their region.

This graphic shows the richest people that live outside of America, based on data from Bloomberg.

The World’s Richest: A Global Perspective

Here are the wealthiest non-American people in the world as of January 2024:

RankNameCountryNet Worth
Jan 2024
1Bernard Arnault🇫🇷 France$183B
2Mukesh Ambani🇮🇳 India$108B
3Carlos Slim🇲🇽 Mexico$101B
4Françoise Bettencourt Meyers🇫🇷 France$97B
5Gautam Adani🇮🇳 India$96B
6Amancio Ortega🇪🇸 Spain$85B
7Zhong Shanshan🇨🇳 China$62B
8Gerard Wertheimer🇫🇷 France$47B

France’s Bernard Arnault, with a net worth of $183 billion, is the world’s richest person thanks to the success of LVMH, the luxury conglomerate he runs.

With brands including Louis Vuitton, Fendi, and Christian Dior, LVMH is among the largest public companies in Europe, reaching a $444 billion valuation in 2024. Last year, the company witnessed record revenues driven by sales in its fashion and leather divisions.

Latin America’s richest person is Carlos Slim, with a fortune of $101 billion. Slim’s net worth is equal to nearly 8% of Mexico’s GDP. His wealth is largely derived from his ownership of América Móvil, Latin America’s largest mobile-phone operator, as well as his conglomerate, Grupo Carso.

The world’s richest woman is Françoise Bettencourt Meyers, also from France. According to Bloomberg, Bettencourt Meyers’ controls one-third of L’Oreal, and is the chairwoman of her family’s private equity firm, Tethys Investments.

As China’s richest person, Zhong Shanshan is chairman of bottled water company, Nongfu Spring. The company is listed on the Stock Exchange of Hong Kong, where it raised $1.1 billion from its 2020 IPO. He is also involved with Beijing Wantai Biological Pharmacy Enterprise, a producer of vaccines.

While the richest people in America are heavily concentrated in tech, not one on this list derives the majority of their wealth from the sector, illustrating a clear departure from this trend.

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