Despite being the land of opportunity, the American Dream remains frustratingly out of reach for most Americans, with a mere 31% believing they’ve financially “made it” in life. The surprising twist? Millennials are leading the pack in financial confidence, with 34% claiming they’ve achieved financial success – the highest percentage among all generations.
The comprehensive survey of 2,000 employed Americans, conducted by Talker Research for BOK Financial, reveals a complex landscape where traditional markers of success are evolving, and external factors weigh heavily on financial aspirations. For those still climbing the corporate ladder, there’s hope: 54% believe they’re well on their way to financial success in their lifetime.
However, the picture becomes less optimistic with age. Only 27% of baby boomers feel they’ve reached financial success, and among those who haven’t, just one-third believe they ever will. The survey found that Americans consider their path to financial success threatened by various external factors, including presidential elections (46%), interest rate changes (45%), and the job market (42%).
What exactly does it mean to ‘make it’ financially in today’s America?
The goalposts have shifted significantly, with 79% of respondents saying their definition has evolved over time. The magic number appears to be around $234,000 in net worth – though reaching that milestone faces modern obstacles like the high cost of living (42%) and inflation (26%), with some citing their own spending habits (7%) as a barrier.
“The uncertainty around the economy, politics and other external factors can weigh heavily on people — and are right now,” says Jessica Jones with BOK Financial Advisors, an affiliate of BOK Financial, in a statement. “And financial headwinds like high inflation and interest rates can make it feel like it’s harder to get ahead, but baby steps are key. If someone is struggling to see success in their financial future, it’s important to just get started, even with a small savings account.”
Nearly half of baby boomers (48%) and Gen X respondents (47%) point to higher cost of living as a major obstacle, compared to just 34% of Gen Z. Meanwhile, younger generations – Gen Z (28%) and millennials (30%) – are more likely to cite inflation as their primary concern.
The markers of financial success have also undergone a dramatic shift. Today’s Americans consider owning a home (78%) and a vehicle (64%) as necessary indicators of financial success, while traditional milestones like having children (40%) or getting married (34%) – which were crucial for their parents’ generation – have become less significant. Modern indicators now include having an established long-standing career (48%) and earning a college degree (30%).
When it comes to spending, Gen Z (27%) and millennials (31%) direct the largest portion of their money toward family expenses, while Gen X (43%) and baby boomers (50%) prioritize retirement savings. Younger generations are planning ahead too, with Gen Z expecting to start retirement planning at around age 41, and millennials at age 46.
Interestingly, Gen Z shows both practical and personal financial priorities. While they’re the most confident about planning their financial future without professional help (70%), they also lead in prioritizing purchases that make them happy (20%). In contrast, baby boomers express the least confidence in their financial future during retirement (33%) and their ability to plan without professional assistance (49%).