Baby boomers, those aged between 45 and 64, may make up less than a quarter of Australia's population but they hold more than half of the nation's wealth. That's according to a study by McCrindle Research, which broke down the household net worth of different generational groups as well. We also found out that the top 20% of the richest Australians hold 62% of the country's private wealth while those at the bottom end of the scale have less than 1%.
The wealth distribution imbalance isn't just a problem the US; the richest 20% of Australians have an average household net wealth of $2.5 million while the poorest 20% have around $35,500; in other words, the richest Australians have 71 times more wealth than the poorest. Wealth includes a combination of accumulated income and assets that are owned.
The median price for a house currently sits at $720,000.
The top 20% will most likely be baby boomers given that they hold 53% of Australia's private wealth. Here's a breakdown of wealth distribution between different generational groups in the country.
|Group||% of Population||Average Household Net Wealth||% of Wealth in Australia|
|Generation Y (age 25-34)||15%||$268,800||7%|
|Generation X (age 35-44)||14%||$573,300||14%|
|Younger Baby Boomers (age 45-54)||13%||$944,900||23%|
|Older Baby Boomers (age 55-64)||12%||$1,239,700||30%|
|Builders (age 65+)||15%||$1,040,550||26%|
As you can see, baby boomers collectively make up a quarter of Australia's population yet they own over half of the nation's wealth.
"It's a generation that has experienced an economic miracle," McCrindle social researcher Mark McCrindle said.