Household Income Distribution in the U.S. Visualized as 100 Homes
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Household Income Distribution in the U.S. Visualized as 100 Homes

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U.S. household income distribution visualization

Household Income Distribution in the U.S. Visualized as 100 Homes

Income inequality and wealth disparity have been frequent topics of conversation, even before the pandemic upended the economy.

Now, rising inflation and interest rates, and a possible recession on the horizon are bringing these societal divides into sharp focus.

In the above visualization, U.S. households are parsed out into a neighborhood of 100 homes and then grouped by income brackets, using recent data from the U.S. Census Bureau.

The Neighborhood Breakdown

American households vary widely on their respective incomes. The largest cluster of homes, representing nearly 20% of all American households, are in the $25-$49.9k income bracket.

Here’s a look at the share of households in each income bracket and the number of homes they represent.

Household IncomeShare of TotalNumber of Homes
Under $25K18.1%18
$25K-$49.9K19.7%20
$50K-$74.9K16.5%17
$75K-99.9K12.2%12
$100K-$149.9K15.3%15
$150k-$199.9K8.0%8
Over $200K10.3%10

In our hypothetical neighborhood, 18 of the households are in the lowest income bracket. People in this category have a wide variety of jobs, but personal care aides, cashiers, food and beverage positions are some of the most common. As a point of reference, the poverty line for a family of four currently sits at $26,496.

On the flip side, in this small community of 100 houses, 33 earn six figures and typically have at least one family member in a corporate or medical role.

The American Middle Class

The middle class in America has shrunk significantly in the past 50 years, going from 61% of adults being middle income in 1971 to 50% in 2021.

Here’s a look at the economic class breakdowns by annual household income, based on households with three people (Note: the average U.S. household has 2.6 people):

  • Upper class: >$156,000
  • Middle class:  $52,000-$156,000
  • Lower class: <$52,000

Although these definitions and conditions don’t align exactly with the buckets we use in the main houses visualization, they come pretty close.

In the neighborhood of 100 homes, 38 homes could be considered low income, while 18 are high income. Meanwhile, sitting in the $50-149.9k middle range of household income are 44 homes.

The Larger Trends

The pandemic had an extremely adverse impact on earnings and income worldwide, and the U.S. was no exception.

Median household income decreased 2.9% to $67.5k between 2019 and 2020, the first decrease since 2014. Additionally, the number of people who worked full-time jobs, year-round decreased by around 13.7 million.

That said, when looking at the longer-term trend, the median income for those considered middle class has jumped by 50% over the last five decades. Here’s a look at the median incomes in each economic class in 1970 vs. 2020:

 1970 Median Household Income (in 2020 $)2020 Median Household Income% Change
Low Income$20,604$29,96345%
Middle Income$59,934$90,13150%
Upper Income$130,008$219,57269%

With a recession⁠ highly likely to occur in the U.S., and rising inflation causing increases in the cost of basic, everyday goods, budgets may get tighter for many households in America, and incomes are likely to be impacted as well.

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Personal Finance

How Do Americans Spend Their Money, By Generation?

This interactive graphic shows a breakdown of how average Americans spend their money, and how expenses vary across generations.

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Annual Expenditure in the U.S. by Generation

How Americans Spend Their Money, By Generation

In 2021, the average American spent just over $60,000 a year. But where does all their money go? Unsurprisingly, spending habits vary wildly depending on age.

This graphic by Preethi Lodha uses data from the U.S. Bureau of Labor Statistics to show how average Americans spend their money, and how annual expenses vary across generations.

A Generational Breakdown of Overall Spending

Overall in 2021, Gen X (anyone born from 1965 to 1980) spent the most money of any U.S. generation, with an average annual expenditure of $83,357.

GenerationBirth Year RangeAverage Annual Expenditure (2021)
Silent1945 or earlier$44,683
Boomers1946 to 1964$62,203
Generation X1965 to 1980$83,357
Millennials1981 to 1996$69,061
Generation Z1997 or later$41,636

Gen X has been nicknamed the “sandwich generation” because many members of this age group are financially supporting both their aging parents as well as children of their own.

The second biggest spenders are Millennials with an average annual expenditure of $69,061. Just like Gen X, this generation’s top three spending categories are housing, healthcare, and personal insurance.

On the opposite end of the spectrum, members of Generation Z are the lowest spenders with an average of $41,636. per year. Their spending habits are expected to ramp up, especially considering that in 2022 the oldest Gen Zers are just 25 and still early in their careers.

Similarities Across Generations

While spending habits vary depending on the age group, there are some categories that remain fairly consistent across the board.

One of the most consistent spending categories is housing—it’s by the far the biggest expense for all age groups, accounting for more than 30% of total annual spending for every generation.

GenerationAverage Spend on Housing (2021)% of Total Spend
Silent (1945 or earlier)$16,65637.3%
Boomers (1946 to 1964)$21,27334.2%
Generation X (1965 to 1980)$26,38531.7%
Millennials (1981 to 1996)$24,05234.8%
Generation Z (1997 or later)$15,44937.1%

Another spending category that’s surprisingly consistent across every generation is entertainment. All generations spent more than 4% of their total expenditures on entertainment, but none dedicated more than 5.6%.

GenerationAverage Spend on Entertainment (2021)% of Total Spend
Silent (1945 or earlier)$2,0274.5%
Boomers (1946 to 1964)$3,4765.6%
Generation X (1965 to 1980)$4,6945.6%
Millennials (1981 to 1996)$3,4575.0%
Generation Z (1997 or later)$1,6934.1%

Gen Zers spent the least on entertainment, which could boil down to the types of entertainment this generation typically enjoys. For instance, a study found that 51% of respondents aged 13-19 watch videos on Instagram on a weekly basis, while only 15% watch cable TV.

Differences Across Generations

One category that varies the most between generations and relative needs is spending on healthcare.

As the table below shows, the Silent Generation spent an average of $7,053 on healthcare, or 15.8% of their total average spend. Comparatively, Gen Z only spent $1,354 on average, or 3.3% of their total average spend.

GenerationAverage Spend on Healthcare (2021)% of Total Spend
Silent (1945 or earlier)$7,05315.8%
Boomers (1946 to 1964)$6,59410.6%
Generation X (1965 to 1980)$5,5506.7%
Millennials (1981 to 1996)$4,0265.8%
Generation Z (1997 or later)$1,3543.3%

However, while the younger generations typically spend less on healthcare, they’re also less likely to be insured—so those who do get sick could be left with a hefty bill.

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Money

Mapped: The World’s Billionaire Population, by Country

Collectively, worldwide billionaire wealth is nearly $12 trillion. This map breaks down where these 3,311 billionaires live around the globe.

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Visualized: The World’s Billionaire Population

The world’s billionaires—only 3,311 individuals—represent almost $11.8 trillion in wealth. The global billionaire population continued to grow in 2021, increasing by 3%. Over the same period, billionaire wealth also increased by 18%.

This map uses data from the Wealth-X Billionaire Census to visualize where the world’s billionaires live and breaks down their collective wealth.

Note on methodology: The report uses proprietary data from Wealth-X. Billionaire status is determined by assessing an individual’s total net worth, including publicly and privately held businesses and investable assets. To determine a billionaire’s location, Wealth-X used their primary business address.

Billionaires by Region

We’ll begin by zooming out to look at how various continents and world regions rank in terms of their billionaire population.

North America is home to most billionaires, worth $4.6 trillion. The U.S., unsurprisingly, accounts for the majority of this wealth, with 975 billionaires and a collective net worth of $4.45 trillion.

RankRegionNumber of billionairesCollective Billionaire Wealth
#1North America1,035$4.6 trillion
#2Europe954$3.1 trillion
#3Asia899$2.9 trillion
#4Middle East191$519 billion
#5Latin America and the Caribbean146$465 billion
#6Africa46$104 billion
#7Pacific40$89 billion

In regional terms, Europe’s billionaire wealth is growing the fastest, up 22% year-over-year in 2021. In contrast, the year-over-year change in the Middle East was -12.5%.

Asia is inching towards Europe, holding almost a quarter of all billionaire wealth worldwide, compared to Europe’s 26.5%.

Wealth in Africa will also be important to watch in coming years. Although only home to 46 billionaires currently, the change in billionaire wealth increased by almost 17% year-over-year. Additionally, while they no longer live there, a number of the world’s billionaires hail from African countries originally.

Billionaires by Country

Now, let’s look at the ranking broken down by the top 15 countries:

RankCountryNumber of BillionairesCollective Billionaire Wealth
#1🇺🇸 US975$4.45 trillion
#2🇨🇳 China400$1.45 trillion
#3🇩🇪 Germany176$602 billion
#4🇮🇳 India124$384 billion
#5🇬🇧 UK120$266 billion
#6🇭🇰 Hong Kong SAR114$287 billion
#7🇨🇭 Switzerland111$365 billion
#8🇷🇺 Russia107$475 billion
#9🇸🇦 Saudi Arabia71$192 billion
#10🇫🇷 France68$294 billion
#11🇮🇹 Italy68$207 billion
#12🇨🇦 Canada60$131 billion
#13🇧🇷 Brazil52$159 billion
#14🇸🇬 Singapore50$99 billion
#15🇦🇪 UAE45$181 billion

China is an obvious second in billionaire wealth to the United States, with famous billionaires like Zhang Yiming ($44.5 billion) of TikTok and Zhong Shanshan ($67.1 billion), whose wealth primarily comes from the pharmaceutical and beverages industries.

That said, Chinese billionaire wealth actually decreased 2% last year. It was India that came out on top in terms of growth, seeing a 19% increase in 2021.

Billionaires by City

Looking at cities, New York is home to the most billionaires—with 13 added billionaire residents last year—followed by Hong Kong.

RankCityCountryNumber of Billionaires
#1New York City🇺🇸 U.S.138
#2Hong Kong🇭🇰 China114
#3San Francisco🇺🇸 U.S.85
#4London🇬🇧 UK77
#5Moscow🇷🇺 Russia75
#6Beijing🇨🇳 China63
#7Los Angeles🇺🇸 U.S.59
#8Singapore🇸🇬 Singapore50
#9Shenzhen🇨🇳 China44
#10Mumbai🇮🇳 India40
#11Dubai🇦🇪 UAE38
#12Hangzhou🇨🇳 China35
#13São Paulo🇧🇷 Brazil34
#14Istanbul🇹🇷 Turkey33
#15Paris🇫🇷 France33

Billionaire Wealth in 2022

Billionaires have significant power and influence, not in the least because their collective wealth is equivalent to about 11.8% of global GDP.

In recent billionaire news, Gautam Adani’s wealth has been soaring, most recently hitting the $145 billion mark, making him the third-richest person in the world according to Bloomberg’s Billionaire Index. However, not all billionaires are holding on to their wealth. Patagonia founder, Yvon Chouinard, recently transferred ownership of his company to an organization that fights climate change.

Over the last decade, billionaires have been grown their fortunes considerably, with wealth increasing at a faster rate than the growth in the number of billionaires themselves. According to Wealth-X, collective billionaire net worth grew by an astonishing 90% in the last 10 years.

But in the shorter term, the situation is often more volatile. With markets reeling in 2022, Bloomberg reported that billionaires lost a record $1.4 trillion over the first half of the year. Once the year is over and the final numbers are in, it will be interesting to see how the billionaire landscape shapes up in comparison to the more long-term trend.

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