Ruqayyah Snyder
Australia is home to some of the wealthiest people in the world, with a typical net worth of almost $US274,000 in 2021, according to Credit Suisse's annual Global Wealth Report. However, the definition of wealth varies among Australians. While some may consider wealth as having a net worth of over $US1 million, others may define it as earning over $150,000 annually after taxes or owning a home outright. In 2023, the median wealth per adult in Australia was just under $262,000 US, equivalent to about $394,000 AUD. To be considered among the top 1% of wealthy individuals in Australia, the threshold was $US5.5 million (~$8.33 million AUD) in 2023, making it the third-highest worldwide.
| Characteristics | Values |
|---|---|
| Median wealth per adult in Australia in 2023 | $394,000 AUD |
| Typical net worth of Australians in 2021 | $US274,000 |
| Number of millionaires in Australia in 2021 | 2.2 million |
| Number of "ultra-high-net-worth individuals" in Australia in 2022 | 17,456 |
| Net wealth of "ultra-high-net-worth individuals" | $US30 million |
| Amount of money needed to be in the top 1% of wealthiest Australians in 2024 | $US4.67 million ($7.07 million AUD) |
| Amount of money needed to be in the top 1% of wealthiest Australians in 2023 | $US5.5 million ($8.33 million AUD) |
| Amount of money needed to be in the top 1% of wealthiest Australians in 2021 | $US5.5 million ($8.41 million AUD) |
| Median net worth of households with inhabitants aged between 25 and 40 | $238,000 |
| Median net worth of households with inhabitants aged between 41 and 64 | $809,000 |
| Median net worth of households with inhabitants over 65 | $817,000 |
| Number of "high-net-worth individuals" in Australia in 2022 | 635,000 |
| Net wealth of "high-net-worth individuals" | $US1 million |
| Public perception of wealth in Australia | Earning over $150,000 annually after taxes, accumulating a net worth exceeding $1 million, owning a home outright |
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Median wealth per adult
The median wealth per adult in Australia is a useful metric for understanding the country's wealth distribution. According to 2023 data, the median wealth per adult was approximately $262,000 USD, which equates to about $394,000 AUD based on exchange rates at the time. This figure represents a 10% increase from 2022, showcasing a positive growth in median wealth for Australians.
It is worth noting that the median wealth per adult varies across different age groups in Australia. Data from the Grattan Institute in 2025 revealed that the median net worth of households with individuals aged between 25 and 40 was $238,000. This figure increases significantly for older age groups, with households between 41 and 64 having a median net worth of $809,000, and those over 65 reaching $817,000. These disparities highlight the impact of factors such as career progression and accumulated assets over time on wealth accumulation.
When discussing median wealth per adult, it is essential to understand how wealth is defined and calculated. In Australia, the Australian Bureau of Statistics (ABS) defines 'wealth' as the balance of assets and liabilities held by members of a household. Net worth, a crucial component of wealth, is calculated by summing up the value of all assets, such as property, superannuation, cars, and shares, and then subtracting any outstanding debts like home loans, car loans, and credit card balances. This calculation provides a more comprehensive understanding of an individual's financial position.
While median wealth per adult offers a snapshot of wealth distribution, it is also important to consider other factors that contribute to an individual's overall financial well-being. These factors can include income, employment status, and cost of living expenses, which can vary across different regions of Australia. Additionally, perceptions of wealth can differ among Australians, with some considering wealth as earning over $150,000 annually after taxes or accumulating a net worth exceeding $1 million.
In summary, the median wealth per adult in Australia was approximately $262,000 USD or $394,000 AUD in 2023, with variations across different age groups. Understanding the definition of wealth and its calculation is crucial, along with recognizing that perceptions of wealth can differ among individuals. Other factors, such as income and cost of living, also play a role in assessing an individual's overall financial position and well-being.
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Net worth
In 2023, the median wealth per adult in Australia was just under $262,000 USD, or about $394,000 AUD based on exchange rates at the time. This figure rose by about 10% from 2022 and is the second highest in the world, with only Luxembourg having a higher median wealth per adult.
The Grattan Institute also released data in 2025, which showed that the median net worth of households with inhabitants aged between 25 and 40 was $238,000, while for households between 41 and 64, this figure jumped to $809,000, and for those over 65, it was $817,000.
However, the amount of money considered wealthy in Australia varies depending on who you ask. According to a Dacxi survey, Australians' perceptions of wealth fall into three main categories: earning over $150,000 annually after taxes, accumulating a net worth exceeding $1 million, or owning a home outright.
To be considered in the top 1% of wealthy individuals in Australia, the threshold has varied over the years. In 2023, it was reported to be $5.5 million USD or $8.33 million AUD. This figure decreased in 2024 to $4.67 million USD or $7.18 million AUD, and according to another source, it doubled to $8.25 million AUD since 2021.
Additionally, the number of "ultra-high-net-worth individuals" in Australia, those with a net wealth of more than $30 million USD, is expected to grow by 40.9% between 2022 and 2027.
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Property prices
CoreLogic's national Home Value Index (HVI) recorded a 0.4% increase in property prices in March 2025, following a three-month downturn. The rise in prices was attributed to improved sentiment and borrowing capacity after the RBA's interest rate cut in February.
Perth and Brisbane have been leading the property market boom, outshining traditional prime markets like Melbourne and Sydney. According to CoreLogic data, overall home values have risen by more than 35% since the Covid pandemic in 2020, with Perth posting a 22% annual surge and Brisbane overtaking Canberra as the second most expensive city, rising 16% over the year. Adelaide also saw a significant increase of 14%, while Sydney, Darwin, Canberra, Melbourne, and Hobart had more modest gains or even slight declines.
The housing market in Australia has experienced incredible gains over the past few decades, with housing prices more than doubling since the late 1980s. This has contributed to wealth inequality, with the median net worth of households aged 41-64 being significantly higher at $809,000, compared to $238,000 for those aged 25-40.
The rise in property prices has had a direct impact on the definition of wealth in Australia. According to Credit Suisse, net worth or "wealth" includes the value of financial assets, real estate, and retirement savings, minus any debts. As property values surge, the contribution of real estate to an individual's net worth becomes more significant, pushing the threshold for being considered "wealthy" higher.
While the specific amount of money considered wealthy in Australia is subjective and dependent on various factors, property prices undoubtedly play a crucial role in shaping the perception and definition of wealth in the country.
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Household wealth
In 2023, the median wealth per adult in Australia was just under $262,000 US, which equates to approximately $394,000 AUD based on exchange rates at the time. This figure represents a 10% increase from 2022. When compared internationally, only Luxembourg, a country with a significantly smaller population, boasts a higher median wealth per adult.
While the median net worth provides a snapshot of household wealth in Australia, there are notable differences across age groups. Data from the Grattan Institute in 2025 revealed that the median net worth of households with individuals aged between 25 and 40 was $238,000. This figure increases significantly for older age groups, with households between 41 and 64 exhibiting a median net worth of $809,000, and those over 65 reaching $817,000.
The concept of wealth is multifaceted and can be perceived differently by various segments of the population. According to a Dacxi survey, Australians define wealth through a combination of annual income, net worth, and homeownership status. Specifically, earning over $150,000 annually after taxes, accumulating a net worth exceeding $1 million, and owning a home outright are all considered markers of wealth by a significant portion of Australians.
While the definition of wealth may vary, achieving a level of financial security and stability is generally seen as a positive pursuit. Household wealth can provide opportunities, peace of mind, and the means to weather unforeseen financial challenges. It is important to remember that wealth is relative and subjective, and what constitutes wealth for one household may differ significantly for another, depending on their unique circumstances, goals, and priorities.
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Retirement savings
To achieve this level of comfort, the Association of Superannuation Funds of Australia (ASFA) recommends a lump sum of $595,000 for a single person and $690,000 for a couple retiring at 67. These figures are based on a yearly budget of $51,630 for an individual and $72,663 for a couple, assuming full home ownership and good health. However, if your retirement plans include regular overseas travel, dining out, driving a newer car, and shopping, you will likely need a higher income.
The ASFA estimates that the Age Pension is sufficient for a "modest" lifestyle with a lump sum of around $100,000 in superannuation. Additionally, Moneysmart advises retirees to aim for 67% of their annual pre-retirement income to maintain their pre-retirement lifestyle, provided they have paid off their mortgage. For example, a household income of $150,000 should target $100,000 per year during retirement.
It is important to note that the amount of money required for retirement depends on individual circumstances, including age, health, lifestyle choices, and life expectancy. Australians tend to spend less when they retire, even if they are wealthy. Therefore, it is crucial to plan and calculate the resources needed for retirement, taking into account the desired lifestyle and associated expenses, such as holidays, hobbies, clothing, and health insurance.
To build wealth for retirement, individuals can invest in financial assets, such as the stock market or other financial instruments. Higher-risk investments like ASX or international shares may be suitable for those with a higher risk tolerance or a longer time horizon until retirement. Property or fixed-interest options are also popular choices. Additionally, an emergency fund is crucial to protect retirement savings and maintain financial stability during unexpected expenses.
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Frequently asked questions
According to a 2024 report, you need a net worth of $4.67 million USD or $7.07 million AUD. This figure has dropped from $5.5 million USD or $8.33 million AUD in 2023.
In 2023, the median wealth per adult in Australia was $262,000 USD or $394,000 AUD.
A Dacxi survey found that Australians define wealth through three main lenses: earning over $150,000 annually after taxes, accumulating a net worth exceeding $1 million, or owning a home outright. However, the reality is that the threshold to enter the top 1% is much higher, at over $7 million.
Inflation has made the term "millionaire" almost meaningless, as the median house price in Sydney, for example, has become extremely high. Additionally, rising property prices have contributed to an increase in the number of millionaires in Australia.
Australians are considered the wealthiest people in the world, with a typical net worth of $US274,000 in 2021. However, the cost of living is also higher in Australia, so while Australians may have a higher net worth, their purchasing power may not be significantly higher compared to citizens of other countries.
