Canadians are wealthier than ever. The latest statistics show that average household net worth reached $1.03 million last year and continued to rise. Total wealth has grown by 30 percent since 2019, with Millennial and Gen X wealth climbing by over 10 percent in 2024.¹

Despite facing one of the toughest job markets in decades and a difficult path to homeownership, Gen Z (born 1997 to 2012) is doing just fine. At the same age, Gen Z incomes are 50 percent higher than Boomers’, according to The Economist. By comparison, Gen X incomes were only 16 percent higher than Boomers’ at the same age, the smallest gain of any group, likely due to a weak labour market after the Global Financial Crisis. Gen Z is also saving better, contributing a greater share to retirement plans than Millennials did when entering the workforce. In 2023, the median RRSP contribution for those under age 25 was more than 20 percent higher than Millennials in 2009.³

Yet, despite rising wealth across every generation, many don’t feel wealthy. Higher living costs have strained households, while constant connectivity makes it easy for some to feel like they’re falling behind the Joneses. Wealth can be a slippery benchmark — it often feels like it’s never quite enough. Research shows that people quickly adapt.

While incremental increases provide a temporary boost in satisfaction, expectations quickly reset. In one survey, 19 percent of people with a net worth of at least US$500,000 said that “having enough money” was a constant worry. Yet, among those with a net worth of at least US$10 million, 33 percent felt the same.⁴

At the end of the day, however, it’s worth remembering: being a millionaire (in USD) puts you in the top 1.6 percent of the wealth pyramid globally.⁵

Sources:

1. https://financialpost.com/wealth/canadian-households-worth-more-million-2024

2. https://www.economist.com/finance-and-economics/2024/01/06/generation-z-is-unprecedentedly-rich

3. https://www.theglobeandmail.com/investing/personal-finance/retirement/article-retirement-savings-gen-z-canadians/

4. Your Money & Your Brain, Jason Zweig, page 127

5. Based on USD. https://www.ubs.com/global/en/wealthmanagement/insights/global-wealth-report.html