The data show the median household had a net worth of $579,200 in 2019-20. This figure captures the total value of assets such as real estate, shares and superannuation, and deducts a household's liabilities such as credit card debt and home loans.
Australians wanting to be in the country's top 1% for wealth need to have an individual net worth of US$5.5 million ($8.3 million), Knight Frank's 2023 Wealth Report has found.
But the number might surprise you. To be considered in Australia's highest percentage of wealth, you must have a total net worth of a staggering US$5.5 million (A$8.26 million).
Australia's median wealth per adult is USD$181,361, positioning the middle class above the global average.
Household wealth
Research has found that couples aged between 50 and 70 years have the highest median net worth (nearly $900,000), while singles aged between 30 and 40 years have the lowest median net worth ($50,000).
Additionally, statistics show that the top 2% of the United States population has a net worth of about $2.4 million. On the other hand, the top 5% wealthiest Americans have a net worth of just over $1 million.
While 7 figures in superannuation may sound great, the reality is most people heading into retirement won't have anywhere near that amount. According to the Association of Superannuation Funds of Australia Limited (ASFA), Australians aged between 60-64 have a median balance of $178,808 for men, and $137,051 for women1.
So if you're on $100k or more, congratulations, you're in the top 20% of Aussie income earners. If not, don't worry, you're in the good company of 80% of Aussies.
$100,000/year is above an average salary and if you're frugal enough, on $100,000/year, you should be able to live a good life and save some money too. Usually if you consider living in desirable locations of cities like Melbourne and Sydney, most of your income will be consumed in the house rents.
Middle-income class refers to households with income between 75% and 200% of the median national income. Upper-income class refers to households with income above 200% of the median national income.
Average household debt grew by 7.3 per cent to $261,492 in 2021-22, according to the latest figures from the Australian Bureau of Statistics (ABS).
The nation's richest 1% has $8.3million in assets
Australians with a six-figure salary can consider themselves among the nation's richest earners while most Sydney homeowners are part of the global elite, it has been revealed.
Someone is considered a millionaire when their net worth, or their assets minus their liabilities, totals $1 million or more.
You might need $5 million to $10 million to qualify as having a very high net worth while it may take $30 million or more to be considered ultra-high net worth. That's how financial advisors typically view wealth.
What's the Difference Between Mass Affluent and High Net Worth? The biggest difference between mass affluent and high net worth individuals is the amount of assets they've amassed. High net worth individuals have even more assets than the mass affluent. A high net worth individual has over $1 million in liquid assets.
Someone earning $200,000 a year would be among the top 3.5 per cent of Australians who fall into the top tax bracket which cuts in at $180,000 a year. Mr Derbas suggested in the video that singles living in the Harbour City would do incredibly well on the same salary.
According to the Association of Superannuation Funds of Australia's Retirement Standard, to have a 'comfortable' retirement, a couple who own their own home will need an income of about $70,500. A single person will need an annual income of more than $50,000.
The average Australian would need to earn over $300,000 a year to consider themselves as officially "rich", new research has found.
Four in five Australians earn less than $100,000 with new tax figures revealing the federal budget is increasingly reliant on the nation's best-paid 1 per cent to cover the cost of growing services and infrastructure.
How much income tax do I pay if I make $100,000? If your taxable income is $100,000 a year as an Australian resident for tax purposes, your income tax will be $22,767. Your average tax rate is 22.77% and your marginal tax rate is 32.5%.
Telstra and retail giant Wesfarmers dropped out of the top 10 in the report released on Thursday, as BHP was revealed to be the single largest taxpayer. The company paid $7.3 billion in 2020-21, up from $4.6 billion the prior year. The company's BHP Iron Ore (Jimblebar) entity paid $2.4 billion.
For the past few years the figure of $1 million has often been quoted as the ideal amount in superannuation to retire on. It can be a frightening figure to quote as most Australians will struggle to reach it. It also doesn't appear to be true.
The amount of money it takes to make it into the top 1 per cent of the wealthiest Australians has doubled to $8.25 million since 2021, according to a new report.
So, how much does one need to retire in comfort? If you're single, you'll need more than $500,000, assuming you own your own home, according to the Association of Superannuation Funds of Australia Retirement Standard. That figure is worryingly higher than the average super balance.