Fortune fantasies: Average Australian needs $336K to feel rich
The average Australian says they would need to make significantly more than the median salary to feel wealthy, according to new research by Finder.
A nationally representative survey of 1,081 respondents revealed the average Aussie would need to earn a whopping $336,516 per year to feel rich.
That's more than 6 times greater than the median personal income of $52,338, according to the Australian Bureau of Statistics.
The research found men ($347,395) would need to earn roughly $20K more than women ($326,929) to consider themselves affluent.
Finder data shows the average Aussie saved $645 per month in 2022 and has $30,745 in cash savings.
Despite a higher average, Finder data also shows that 2 in 3 (62%) Aussies have less than $5,000 in savings.
Sarah Megginson, money expert at Finder, said constant craving for more money can be a slippery slope.
"A small number of high-income earners can make average income figures seem impressive, but remember the typical Australian is on a salary of just over $50K.
"It's easy to get caught up in comparing yourself to others who seem like they have it all – social media can be a significant contributor with people's ritzy reels constantly on display.
"Remember true wealth is not just about money. Feeling rich can also be having a sense of satisfaction and contentment in all aspects of your life."
The research found gen Z needs the most money to feel rich by a long shot ($428,474), compared to $345,785 for millennials.
Gen X needs the least of the generations to feel wealthy ($294,705), compared to $306,505 for baby boomers.
Megginson said it was important to have financial goals, as long as they're realistic.
"Building wealth doesn't have to mean earning the most competitive income – the best thing you can do is develop great financial management skills.
"Look at how much you earn and what your everyday bills and expenses are so you know how much you can afford to spend on luxuries such as eating out and shopping.
"Free budgeting tools, like the Finder app, are a fantastic way to keep track of your income and expenses. Seeing your spending broken down by category can help you set a realistic budget and build up your bank balance."
| How much do you need to earn per year to be rich? | |
|---|---|
| Gen Z | $428,474 |
| Millennials | $345,785 |
| Gen X | $294,705 |
| Baby boomers | $306,505 |
| Average Australian | $336,516 |
| Source: Finder survey of 1,081 respondents, December 2022 |
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