Most Americans don’t expect to ever get rich, but they think the next generation will

Although inflation has slowed to 2%, prices are still 20% higher than four years ago. Fidelity released the findings of its 2024 State of Wealth Mobility survey, which included 1,900 American adults over the age of 18, and set out to identify their thoughts on managing their money and meeting their financial goals. Here are some of the key highlights:

• Many Americans feel insecure about their wealth: Only 10% of those surveyed consider themselves wealthy; and across all income levels, 40% said they were worried about losing their money. Only 35% believe they will become rich in their lifetime. However, the survey showed about 75% of Americans think that the next generation will be rich.
• The next generation is also distrustful: While one-third of baby boomers don’t think they need a financial plan, 54% of Gen Z think they do—the highest of any generation. However, 74% of participants agree that there are more opportunities to make money than during their parents’ lifetimes.
• Talking about money with family helps: 56% said they did not discuss finances with their parents when they were children, 82% said it would have been helpful. Today, 67% of respondents say they talk to their children about family finances.

“One of the most important parts of financial planning is for people to share with their families and loved ones,” Rich Compson, head of wealth solutions at Fidelity Investments, said in an email. “Still, more than half of Americans say they never talk to their parents about family finances—something that’s important to help the next generation prepare before life gets tougher.” It confirms that the majority of Americans today are changing and giving young people in their lives the financial education they have never received.”