Upperclassman is a status that so many people strive for, but there isn’t just one metric that proves you’ve gotten there. There are many markers for this financial condition, and they exist in a strange, overlapping way. On the one hand, the Pew Research Center reports that upper-class workers from 2022 earn an average of $169,800 or more. This number will vary slightly depending on where you live, but regardless of where you live, earnings aren’t the only indicator of class. One of the most important action items that actually gets less attention than you might think among the upper class is saving for retirement. Unfortunately, staggering 401(k) contributions seems to be an area shared by both upper-class earners and others. Based on 2025 According to Vanguard, the average 401(k) balance for those earning more than $150,000 is about $377,000, with the median number just over $221,000. That may sound like a lot, but it’s actually quite alarming.
Wealth is a give and take, so even some of the highest earners can spend most of their income on essentially frivolous expenses and leave their coffers behind when it comes time to pay for some of the most essential items. Wealthy earners are sometimes overly focused on luxury right now—many see buying a luxury home or car as a status symbol—but not being able to fully fund your retirement accounts can leave you in a financial hole later, no matter how much you earn.
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By the time you turn 67 (or the full retirement age currently set for Americans), experts say you’ll want to put away ten times your salary. For the upper class, these numbers would be quite high. Even after falling below the average number, many upper-class people still won’t have an annual salary to save in a 401(k), let alone a multiple of it. Often, the more people earn, the more people prioritize retirement savings, so the average retirement savings of the highest net worth individuals may surprise you. Those with the highest earnings average more than twice their income, while earners who take home between $75,000 and $99,999 have an average 401(k) balance between 1.09 and 1.45 times their earnings. Meanwhile, those earning less than $75,000 can save less than a year’s salary.
So while higher earners tend to have trouble prioritizing their retirement savings, they are often better at it than others. Similarly, while Social Security isn’t designed to make anyone rich, those who earn more during their working years can expect to receive a larger benefit in retirement. On the other hand, those with lower incomes are more likely to rent. This may not be the ideal housing arrangement for many people, but it does provide more flexibility to save for retirement that higher earners may not have.