Feel like you’re falling behind financially? You’re not alone. More than half of U.S. adults (53%) say they’re behind where they expected to be, according to a Navigator survey.
It helps to compare yourself with people your own age. Here’s what full-time workers typically earn in each decade, according to the Bureau of Labor Statistics (BLS). The figures are annualized from median weekly earnings.
No matter how old you are, here are some ways to get back on track.
Your 20s: $41,704 to $60,996
Full-time workers ages 20 to 24 earn a median of $41,704 a year. That rises to $60,996 for those 25 to 34.
Your paycheck may be smaller now, but you have something older workers can’t buy: time. The earlier you start investing, the longer compounding has to work in your favor.
The good news is you don’t need a big lump sum to start investing. Micro-investing apps like Acorns round up your everyday purchases and automatically invest the spare change in a diversified portfolio. Buy groceries for $42.30, and 70 cents goes into a low-cost exchange-traded fund (ETF).
You get matched with one of five automated portfolios designed to align with your financial goals.
All you need to do is sign up and link your cards, which just takes a couple of minutes. And if you set up a recurring deposit, you can get a $20 bonus.
Acorns
Auto-invest your spare change Of course, finding money to invest starts with knowing where it goes. Budgeting apps like Rocket Money track your spending in one place and flag recurring subscriptions you may have forgotten about.
This can help you cut unnecessary costs, and then you can manually redirect savings straight into an investment account.
Rocket Money
Automate savings, track spending and manage subscriptions Your 30s: $60,996 to $73,528
Median earnings climb from $60,996 for workers 25 to 34 to $73,528 for those 35 to 44, the highest of any age group.
Bigger paychecks often come with bigger milestones, like buying a home or starting a family. That makes an emergency fund essential. Many experts suggest setting aside three to six months of expenses in a high-yield savings or cash account where you can access the money anytime.
A Wealthfront Cash Account currently offers a base APY of 3.55% through program banks, and new clients can get an extra 0.75% boost during their first three months on up to $150,000 for a total variable APY of 4.30%³.
That's ten times the national deposit savings rate, according to the FDIC's March report⁴.
Wealthfront is also offering new clients who enable direct deposit ($1,000/mo minimum) to their Cash Account and open and fund a new investment account an additional 0.25% APY increase⁵ with no expiration date or balance limit, meaning your APY could be as high as 4.55%.
Wealthfront
Earn up to 4.55% APY on your cash Once your cash cushion is covered, you can put the rest of your savings to work. Consider a low-cost robo-advisor to save on fees.
Vanguard’s Digital Advisor, for instance, builds a personalized portfolio for you using Vanguard’s well-known low-cost ETFs and mutual funds — then keeps things running smoothly with automatic rebalancing.
With a minimum investment of just $100, it’s an easy way to get started with professionally guided investing.
The platform also offers guidance on saving for retirement and lets you set additional goals as your life evolves.
For every $10,000 in an all-index portfolio, you'll pay approximately $15 to $16 per year¹.
You can even test-drive the Vanguard experience with no advisory fees for the first 90 days.
Vanguard Digital Advisor
Automate your portfolio with a low-cost robo-advisor Your 40s: $73,164 to $73,528
Earnings hold steady in this decade: $73,528 for workers 35 to 44 and $73,164 for those 45 to 54.
With your income near its peak, the focus often shifts from growing it to protecting it, and to making sure your family is covered if something happens to you.
If anyone depends on your paycheck, term life insurance is one of the most affordable ways to protect them.
It covers you for a set period, typically 10 to 30 years, and pays a death benefit to your beneficiaries if you die during that time. Because it’s usually far cheaper than whole life insurance, it is typically recommended that families choose term life insurance and invest the savings.
With Ethos, you can get term life insurance in five minutes, with no medical exams or blood tests.
Ethos
Get life insurance in 5 minutes starting at just $2/day Your 40s are also a good time to diversify beyond stocks and bonds.
Owning multiple properties was once reserved for wealthy investors, but new platforms like Mogul let you invest in shares of single-family rental properties starting from $250.
Founded by former Goldman Sachs real estate investors, the team hand-picks the top 1% of single-family rental homes nationwide for you. Simply put, you can invest in institutional-quality offerings for a fraction of the usual cost.
These are a few examples of properties from Mogul. Browse available properties on their website.
Across the board, the platform features an average annual IRR of 18.8%. Their cash-on-cash yields, meanwhile, average between 10-12% annually.
Each property undergoes a vetting process, requiring a minimum 12% return even in downside scenarios.
With numbers like that, it's no wonder that offerings sell out in under three hours — with investments typically ranging between $15,000 and $40,000 per property.
Mogul
Build your real estate portfolio with ease starting from $250 Your 50s: $71,552 to $73,164
Earnings start to level off: $73,164 for workers 45 to 54 and $71,552 for those 55 to 64.
But your wealth may be at its highest point yet, and retirement is coming into view. Once you turn 50, the IRS lets you make extra catch-up contributions to your 401(k) and IRA.
Your financial decisions also get more complex, from when to claim Social Security to how to draw down your savings.
If you have $250,000 or more saved, WiserAdvisor can match you with up to three vetted financial advisors for free.
Simply answer a few questions about your savings, retirement timeline and overall investment portfolio.
You can then schedule no-obligation consultations with your matches to determine who is the best fit for your long-term goals.
WiserAdvisor
Get matched with 2 or 3 experts based on your needs WiserAdvisor is a matching service and does not provide financial advice directly. All matched advisors are third parties, and specific financial results are not guaranteed.
Many people in their 50s have also built substantial home equity.
A home equity line of credit (HELOC) lets you tap that equity for renovations or other big expenses without refinancing your mortgage.
AmeriSave offers competitive HELOC options that let you tap your equity without touching your primary mortgage rate.
It's well-suited for homeowners who want a mostly online, low-friction experience from a well-known mortgage lender. Just remember to evaluate the risks carefully since your home serves as collateral.
AmeriSave
Find low rates to access your home equity Your 60s: $60,580 to $71,552
Median earnings are $71,552 for workers 55 to 64 and dip to $60,580 for full-time workers 65 and older.
As retirement approaches, the priority shifts from building wealth to protecting it.
Some investors hold gold as a hedge against inflation and market swings. A gold IRA lets you own physical gold inside a tax-advantaged retirement account.
There are specific rules around gold IRAs, and some states have different tax structures for the sale of gold and silver. Choose the right dealer and custodian to help you navigate regulatory and tax hurdles.
Some companies also offer incentives, such as free IRA rollovers or free precious metals. Priority Gold, for instance, offers up to $10,000 in free silver on qualifying purchases.
If you're curious whether this is the right investment to diversify your portfolio, you can download a free gold and silver information guide.
Priority Gold
Diversify your retirement fund with a precious metals IRA Healthcare costs are another big consideration. Someone turning 65 today has almost a 70% chance of needing long-term care, according to the U.S. Department of Health and Human Services. And Medicare generally doesn’t cover extended custodial care.
Without a plan, those costs could drain your retirement savings or fall on your family. Long-term care insurance can help cover in-home assistance, assisted living or a nursing home.
GoldenCare can help you compare options based on your needs, from traditional long-term care insurance to hybrid life insurance or annuity policies with long-term care benefits.
GoldenCare
Protect your family and finances with long-term care insurance More money moves to make
Willow Wealth
Alternative investing Diversify beyond stocks with private markets.
Longbridge
Reverse mortgages Tap into your home equity to pay off debt or supplement your income.
Greenlight
Debit Card Help your kids & teens invest through Greenlight.
