A new poll has revealed how much money each age group needs to be happy – with millennials reporting an average salary of half a million dollars a year.
About six in 10 Americans believe money can buy happiness, according to a poll from financial services firm Empower based on online responses from 2,034 Americans over a one-week period in August.
The average household income in the United States is about $74,000 per year, but respondents said they would need to earn roughly $284,000 each year to feel satisfied.
Millennials reported the highest desired annual income of $525,000, more than four times higher than Gen Z, Gen X and Boomer respondents.
The study examined more than just annual income. To achieve happiness, millennials said they needed a net worth of $1,699,571 – more than three times more than Gen Z and almost twice more than Boomers.
The median household income in the United States is about $74,000 per year, but millennials reported a desired annual salary of $525,000 – more than four times higher than other age groups
There were also large differences between the genders, as male respondents set their desired net worth at $1,488,327. For women, the amount was only $880,950.
According to the company, millennials may have higher aspirations due to experiences like the 2008 housing crisis and the instability caused by the pandemic.
But for many Americans, the poll found, happiness isn’t just about achieving certain levels of wealth; it manifests itself in big and small ways.
The majority of respondents said that the ability to pay bills on time and live without debt contributes greatly to their overall satisfaction.
About half of Americans value the ability to guilt-free afford small luxuries and pay for experiences with loved ones.
For two in five Americans, buying or owning a home is as important as having a good work-life balance, while more than a third say they can retire whenever they want.
Many Americans say that the ability to treat oneself also plays a big role in happiness.
A whopping 96 percent of respondents said making a purchase increases their love for life, while 88 percent attribute this to experiences.
Millennials say they need a net worth of $1,699,571 to feel satisfied – more than three times more than Gen Z and almost two times more than Boomers
The majority of respondents said that the ability to pay bills on time and live without debt contributes significantly to their happiness
For some, the cost of happiness comes down to a cup of coffee, as 62 percent of millennials say they are willing to spend seven dollars on coffee for the joy it brings.
However, three in four Americans reported that they are more satisfied at work and with their relationships than with their overall wealth.
This may be because 67 percent say their income is not keeping up with inflation, and 42 percent say their standard of living is declining.
Respondents cited rising costs (81 percent), interest rates (66 percent) and student debt (32 percent) as major concerns.
Inflation has reached its lowest point in more than two years and the unemployment rate has remained below 4 percent for the longest period since the 1960s.
However, many Americans say their household expenses exceed their annual income.
These concerns were reflected in a poll conducted last month by The Associated Press-NORC Center for Public Affairs Research.
About three-quarters of respondents described the economy as bad. Two-thirds said their expenses had increased, and only a quarter said their income had increased.