The Survey of Consumer Finances is published every three years by the Federal Reserve Board. The most recent published is the 2007, the report on which was titled Ponds and Streams: Wealth and Income in the United States, 1989 to 2007. It contains voluminous tables, with very useful detail. This page reports data from Table A3A. Definitions of the various kinds of assets are on page 70 of that report.
You can read trend data in Part 2 and Part 3 of this series, for aggregate NETWORTH (Line 01 in this table) and more data is available in the SCF Chartbook.
This data may understate the concentration of wealth, since the Fortune 400 families are specifically excluded from the SCF. Their holdings represent roughly 1% of the value.
Comments follow this table.
This provides 29 lines directly from the SCF,
and an additional 33
lines which combine various related kinds of assets, or assets and
their related debts.
| Distribution
of Net Worth in Total and by Component, 2007 Dollars in billions of 2007 dollars |
||||||||||||||||
| Percentile of the
distribution of family net worth |
||||||||||||||||
| |
Original Reported Data from Ponds and Streams |
|
Top 1%, Next 9%, Bottom 90% | |
Top 5%, everyone else |
|||||||||||
| Item |
All Total |
Column pct | | <50 Share | 50-90 Share | 90-95 Share | 95-99 Share | 99-100 Share | |
<90 Share | 90-99 Share | 99-100 Share | |
<95 Share | 95-100 Share | |
| (1) |
(2) |
(3) |
(4) |
(5) |
(6) |
(7) |
(8) |
(9) |
(10) |
(11) |
(12) |
|||||
| 01 |
NETWORTH | 64,597.9 | 100.0% | 2.5% | 26.0% | 11.1% | 26.6% | 33.8% | 28.5% | 37.7% | 33.8% | 39.6% | 60.4% | |||
| 02 |
ASSET | 75,866.7 | 117.4% | 6.1% | 29.1% | 10.6% | 24.7% | 29.6% | 35.2% | 35.2% | 29.6% | 45.7% | 54.3% | |||
| 03 |
FIN | 25,703.5 | 39.8% | 2.7% | 25.1% | 12.4% | 28.2% | 31.5% | 27.8% | 40.7% | 31.5% | 40.3% | 59.7% | |||
| 04 |
LIQ | 2,822.5 | 4.4% | 6.5% | 33.0% | 11.4% | 26.2% | 22.9% | 39.4% | 37.6% | 22.9% | 50.8% | 49.2% | |||
| 05 |
CDS | 1,041.2 | 1.6% | 3.1% | 46.6% | 11.5% | 23.7% | 15.1% | 49.7% | 35.2% | 15.1% | 61.2% | 38.8% | |||
| 06 |
SAVBND | 113.7 | 0.2% | 6.1% | 55.4% | 11.3% | 19.7% | 7.6% | 61.5% | 31.0% | 7.6% | 72.7% | 27.3% | |||
| 07 |
BOND | 1,070.5 | 1.7% | 0.0% | 1.5% | 4.8% | 31.2% | 62.4% | 1.6% | 36.0% | 62.4% | 6.4% | 93.6% | |||
| 08 |
STOCKS | 4,597.5 | 7.1% | 0.6% | 9.0% | 8.0% | 30.5% | 51.9% | 9.6% | 38.5% | 51.9% | 17.6% | 82.4% | |||
| 09 |
NMMF | 4,093.0 | 6.3% | 0.4% | 11.6% | 10.3% | 30.9% | 46.7% | 12.0% | 41.3% | 46.7% | 22.3% | 77.7% | |||
| 10 |
RETQLIQ | 8,904.6 | 13.8% | 3.8% | 36.7% | 16.9% | 28.0% | 14.5% | 40.5% | 44.9% | 14.5% | 57.5% | 42.5% | |||
| 11 |
CASHLI | 834.6 | 1.3% | 6.5% | 38.5% | 13.3% | 19.4% | 22.3% | 44.9% | 32.7% | 22.3% | 58.2% | 41.8% | |||
| 12 |
OTHMA | 1,682.2 | 2.6% | 0.9% | 19.4% | 13.5% | 26.8% | 39.4% | 20.3% | 40.3% | 39.4% | 33.9% | 66.1% | |||
| 13 |
OTHFIN | 543.7 | 0.8% | 5.8% | 27.4% | 10.0% | 25.8% | 31.0% | 33.2% | 35.8% | 31.0% | 43.2% | 56.8% | |||
| 14 |
NFIN | 50,163.2 | 77.7% | 7.8% | 31.1% | 9.6% | 22.8% | 28.7% | 38.9% | 32.5% | 28.7% | 48.5% | 51.5% | |||
| 15 |
VEHIC | 2,224.7 | 3.4% | 28.6% | 45.9% | 8.0% | 10.9% | 6.6% | 74.5% | 18.9% | 6.6% | 82.5% | 17.5% | |||
| 16 |
HOUSES | 24,104.2 | 37.3% | 12.6% | 48.9% | 11.0% | 18.1% | 9.4% | 61.5% | 29.1% | 9.4% | 72.5% | 27.5% | |||
| 17 |
ORESRE | 5,358.5 | 8.3% | 2.2% | 23.4% | 14.6% | 35.2% | 24.6% | 25.7% | 49.7% | 24.6% | 40.2% | 59.8% | |||
| 18 |
NNRESRE | 2,911.3 | 4.5% | 1.2% | 17.0% | 10.8% | 35.2% | 35.8% | 18.2% | 46.0% | 35.8% | 29.0% | 71.0% | |||
| 19 |
BUS | 14,893.7 | 23.1% | 0.4% | 6.0% | 5.5% | 25.5% | 62.7% | 6.3% | 31.0% | 62.7% | 11.9% | 88.1% | |||
| 20 |
OTHNFIN | 670.8 | 1.0% | 4.0% | 21.3% | 11.1% | 23.6% | 40.0% | 25.3% | 34.7% | 40.0% | 36.4% | 63.6% | |||
| 21 |
DEBT | 11,268.8 | 17.4% | 26.7% | 46.6% | 7.7% | 13.7% | 5.3% | 73.3% | 21.4% | 5.3% | 81.0% | 19.0% | |||
| 22 |
MRTHEL | 8,418.6 | 13.0% | 25.3% | 50.1% | 7.6% | 12.9% | 4.1% | 75.5% | 20.4% | 4.1% | 83.0% | 17.0% | |||
| 23 |
RESDBT | 1,140.8 | 1.8% | 5.8% | 34.8% | 12.9% | 32.9% | 13.6% | 40.6% | 45.8% | 13.6% | 53.5% | 46.5% | |||
| 24 |
INSTALL | 1,144.8 | 1.8% | 52.8% | 35.5% | 4.3% | 3.2% | 4.2% | 88.3% | 7.5% | 4.2% | 92.6% | 7.4% | |||
| 25 |
OTHLOC | 49.8 | 0.1% | 10.8% | 36.7% | 3.0% | 16.7% | 32.7% | 47.6% | 19.7% | 32.7% | 50.6% | 49.4% | |||
| 26 |
CCBAL | 392.3 | 0.6% | 43.1% | 45.8% | 5.6% | 4.3% | 1.2% | 88.9% | 9.9% | 1.2% | 94.4% | 5.6% | |||
| 27 |
ODEBT | 122.5 | 0.2% | 28.9% | 22.4% | 6.6% | 17.6% | 24.5% | 51.3% | 24.2% | 24.5% | 58.0% | 42.0% | |||
| 28 |
EQUITY | 13,694.3 | 21.2% | 1.5% | 19.6% | 12.4% | 30.5% | 36.0% | 21.1% | 42.9% | 36.0% | 33.5% | 66.5% | |||
| 29 |
INCOME | 9,784.9 | 15.1% | 22.4% | 36.3% | 8.3% | 16.6% | 16.4% | 58.7% | 24.9% | 16.4% | 67.0% | 33.0% | |||
|
LVTfan's Calculated Aggregations
|
||||||||||||||||
| Share of Assets Held by Each Quantile |
Share of Assets Held by Each Quantile | Share of Assets Held by Each Quantile | ||||||||||||||
| All Total |
Column pct | <50 Share | <50 Share | 90-95 Share | 95-99 Share | 99-100 Share | <90 Share | 90-99 Share | 99-100 Share | <95 Share | 95-100 Share | |||||
| 31 |
STOCKS+NMMF | 8,690.5 | 13.5% | 0.5% | 10.2% | 9.1% | 30.7% | 49.4% | 10.7% | 39.8% | 49.4% | 19.8% | 80.2% | |||
| 32 |
STOCKS+NMMF+RETQLIQ | 17,595.1 | 27.2% | 2.2% | 23.6% | 13.1% | 29.3% | 31.8% | 25.8% | 42.4% | 31.8% | 38.9% | 61.1% | |||
| 33 |
STOCKS+BUS |
19,491.2 | 30.2% | 0.4% | 6.7% | 6.1% | 26.7% | 60.1% | 7.1% | 32.8% | 60.1% | 13.2% | 86.8% | |||
| 34 |
STOCKS+BUS+NMMF |
23,584.2 | 36.5% | 0.4% | 7.5% | 6.8% | 27.4% | 57.8% | 8.0% | 34.2% | 57.8% | 14.8% | 85.2% | |||
| 35 |
STOCKS+NMMF+RETQLIQ+BUS |
32,488.8 | 50.3% | 1.3% | 15.5% | 9.6% | 27.6% | 45.9% | 16.9% | 37.2% | 45.9% | 26.5% | 73.5% | |||
| |
||||||||||||||||
| 36 |
STOCKS+BUS+NNRESRE+NMMF |
26,495.5 | 41.0% | 0.5% | 8.6% | 7.3% | 28.3% | 55.4% | 9.1% | 35.5% | 55.4% | 16.4% | 83.6% | |||
| 37 |
STOCKS+BUS+NNRESRE+NMMF+ ORES |
31,854.0 | 49.3% | 0.8% | 11.1% | 8.5% | 29.4% | 50.2% | 11.9% | 37.9% | 50.2% | 20.4% | 79.6% | |||
| 38 |
STOCKS+BUS+NNRESRE+NMMF+ ORES+OTHMA |
33,536.2 | 51.9% | 0.8% | 11.5% | 8.8% | 29.3% | 49.7% | 12.3% | 38.0% | 49.7% | 21.1% | 78.9% | |||
| 39 |
STOCKS+BUS+NNRESRE+NMMF+ ORES+OTHMA+BONDS |
34,606.7 | 53.6% | 0.8% | 11.2% | 8.6% | 29.3% | 50.1% | 12.0% | 38.0% | 50.1% | 20.6% | 79.4% | |||
| 40 |
STOCKS+BUS+NNRESRE+NMMF+ ORES+OTHMA+BONDS+RETQLIQ |
43,511.3 | 67.4% | 1.4% | 16.4% | 10.3% | 29.1% | 42.8% | 17.8% | 39.4% | 42.8% | 28.2% | 71.8% | |||
| 41 |
BUS+NNRESRE |
17,805.0 | 27.6% | 0.5% | 7.8% | 6.4% | 27.1% | 58.3% | 8.3% | 33.5% | 58.3% | 14.7% | 85.3% | |||
| 42 |
BUS+NNRESRE+ORES |
23,163.5 | 35.9% | 0.9% | 11.4% | 8.3% | 28.9% | 50.5% | 12.3% | 37.2% | 50.5% | 20.6% | 79.4% | |||
| 43 |
BUS+NNRESRE+ORES+HOUSES |
47,267.7 | 73.2% | 6.9% | 30.5% | 9.7% | 23.4% | 29.5% | 37.4% | 33.1% | 29.5% | 47.1% | 52.9% | |||
| 44 |
BUS+NNRESRE+ORES+HOUSES minus MRTHEL-RESDBT |
37,708.3 | 58.4% | 2.8% | 26.0% | 10.0% | 25.4% | 35.7% | 28.8% | 35.5% | 35.7% | 38.9% | 61.1% | |||
| 45 |
VEHIC+HOUSES |
26,328.9 | 40.8% | 14.0% | 48.6% | 10.7% | 17.5% | 9.2% | 62.6% | 28.2% | 9.2% | 73.4% | 26.6% | |||
| 46 |
VEHIC+HOUSES-MRTHEL-INSTALL |
16,765.5 | 26.0% | 5.6% | 48.8% | 12.8% | 20.7% | 12.0% | 54.4% | 33.5% | 12.0% | 67.2% | 32.8% | |||
| 47 |
VEHIC+HOUSES+RETQLIQ |
35,233.5 | 54.5% | 11.4% | 45.6% | 12.3% | 20.1% | 10.5% | 57.1% | 32.4% | 10.5% | 69.4% | 30.6% | |||
| 48 |
VEHIC+HOUSES-MRTHEL-INSTALL+RETQLIQ |
25,670.1 | 39.7% | 5.0% | 44.6% | 14.2% | 23.2% | 12.9% | 49.6% | 37.5% | 12.9% | 63.9% | 36.1% | |||
| 49 |
HOUSES minus MRTHEL |
15,685.6 | 24.3% | 5.8% | 48.3% | 12.8% | 20.8% | 12.2% | 54.1% | 33.7% | 12.2% | 66.9% | 33.1% | |||
| 50 |
NFIN other than HOUSES & VEHIC |
23,834.3 | 36.9% | 1.0% | 11.7% | 8.4% | 28.8% | 50.2% | 12.7% | 37.1% | 50.2% | 21.0% | 79.0% | |||
| 51 |
FIN other than RETQLIQ |
16,798.9 | 26.0% | 2.2% | 18.9% | 10.1% | 28.4% | 40.5% | 21.1% | 38.4% | 40.5% | 31.2% | 68.8% | |||
| 52 |
NETWORTH other than VEHIC & HOUSES minus MRTHEL minus INSTALL | 47,832.4 | 74.0% | 1.4% | 18.0% | 10.5% | 28.6% | 41.5% | 19.4% | 39.1% | 41.5% | 29.9% | 70.1% | |||
| 53 | NETWORTH other than RETQLIQ, VEHIC & HOUSES minus MRTHEL minus INSTALL | 38,927.8 | 60.3% | 0.8% | 13.7% | 9.0% | 28.8% | 47.7% | 14.6% | 37.8% | 47.7% | 23.6% | 76.4% | |||
| 54 |
LIQ+CDS+SAVBNDS |
3,977.4 | 6.2% | 5.6% | 37.2% | 11.4% | 25.4% | 20.4% | 42.8% | 36.8% | 20.4% | 54.2% | 45.8% | |||
| 55 |
BOND+STOCKS+OTHMA+NMMF
|
11,443.2 | 17.7% | 0.5% | 10.8% | 9.4% | 30.2% | 49.2% | 11.3% | 39.5% | 49.2% | 20.6% | 79.4% | |||
| 56 |
CASHLI+OTHFIN |
1,378.3 | 2.1% | 6.2% | 34.1% | 12.0% | 21.9% | 25.8% | 40.3% | 33.9% | 25.8% | 52.3% | 47.7% | |||
| 57 |
HOUSES+ORESRE |
29,462.7 | 45.6% | 10.8% | 44.3% | 11.6% | 21.2% | 12.2% | 55.0% | 32.8% | 12.2% | 66.7% | 33.3% | |||
| 58 |
NNRESRE+BUS |
17,805.0 | 27.6% | 0.5% | 7.8% | 6.4% | 27.1% | 58.3% | 8.3% | 33.5% | 58.3% | 14.7% | 85.3% | |||
| 59 |
MRTHEL+RESDEBT |
9,559.4 | 14.8% | 23.0% | 48.3% | 8.2% | 15.3% | 5.2% | 71.3% | 23.5% | 5.2% | 79.5% | 20.5% | |||
| 60 |
INSTALL+OTHLOC+ODEBT |
1,317.1 | 2.0% | 48.9% | 34.4% | 4.5% | 5.0% | 7.2% | 83.3% | 9.5% | 7.2% | 87.8% | 12.2% | |||
| 61 |
"all other assets" (exc VEHIC, HOUSES & RETQLIQ) |
40,633.2 | 62.9% | 1.5% | 14.7% | 9.1% | 28.6% | 46.2% | 16.2% | 37.7% | 46.2% | 25.2% | 74.8% | |||
| 62 |
"all other debts" (except MRTHEL & INSTALL |
1,705.4 | 2.6% | 16.2% | 36.5% | 10.5% | 24.8% | 12.1% | 52.7% | 35.2% | 12.1% | 63.2% | 36.8% | |||
| Source: Ponds and Streams: Wealth and Income in the
United States, 1989 to 2007 (http://www.federalreserve.gov/pubs/feds/2009/200913/200913pap.pdf),
Table A3A and LVTfan calculations. Definitions of
asset and debt detail at page 70.
|
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Comments:
Line 01, NETWORTH, is quite
concentrated. 5% of us hold 60% of it.
10% of us hold over 70% of it. Depending on how you define "Middle
Class," the "Middle Class" might have as much as 30% of it. Half of
our population owns a total of 2.5% of NETWORTH.
NETWORTH is the sum of ASSET (Line 02) and DEBT (Line 21). ASSET is
the sum of FIN (Line 03 -- Financial Assets) and FIN (Line 14 --
Nonfinancial Assets). Within FIN, the largest category is RETQLIQ
(Line 10 -- Retirement Qualified Liquid Assets, such as IRAs and 401(k)
accounts; this does not include the value of pensions in defined
benefit plans). Within NFIN, there are two large items: Line 16 HOUSES
and Line 19 BUS, the value of privately held businesses.
Within DEBT, which represents 17.4% of NETWORTH or 14.8% of ASSETS, the
largest category is Line 22, MRTHEL -- Mortgages and Home Equity Lines
of Credit.
Two additional lines appear in the original report:
- LINE 28 reports EQUITY, which is the value of publicly held stocks,
whether they are in STOCKS, NMMF or RETQLIQ. They represent 21% of the
aggregate NETWORTH, about 10% less than privately held BUS. (See
below.)
- Line 29 reports INCOME. 33% of INCOME goes to the top 5% of
NETWORTH holders (Column 12). 22% goes to the bottom 50% of NETWORTH
holders (Column 3). Aggregate INCOME is equivalent to 15.1% of
aggregate NETWORTH.
Some Notes about the Additional Aggregations
1. Stocks and Businesses We frequently hear advertising campaigns which suggest that the majority of Americans own stock. True enough -- I think the figure is 51%. But the more important reality is that ownership of stock is quite concentrated. Line 08 STOCKS shows individually held stocks; you'll note that 82% of the value belongs to the top 5% of us, and 52% to the top 1%. The bottom half of the wealth distribution holds less than 1% of the value.
Stocks may also be held in Mutual Funds. Line 09 is "Non-Money Market Mutual Funds," and represents stocks, bonds, real estate investment trusts. You'll note that 78% of the value of NMMF's belongs to the top 5% of us. (These are mutual funds held outside of retirement accounts.) The bottom 50% of us have less than 1/2 of 1% of these assets.
Stocks might also be part of IRA's. IRA's and 401(k) accounts are reported in Line 10, RETQLIQ. RETQLIQ represents nearly 14% of aggregate NETWORTH (Column 2), slightly more than stocks and mutual funds combined. Ownership is less concentrated: a mere 42.5% is held by our top 5%, and our bottom 50% hold nearly 4% of the value. The next 40% of us have nearly 37% of retirement assets.
The big category, though, is Line 19, BUS. This is the value of privately owned companies and private equity. It represents 23% of aggregate NETWORTH. The top 1% of Americans hold nearly 63% of this value, and the top 5% hold 88% of it. These include the value in the so-called "small business" sector. (There are also many businesses, particularly ones which are tenants rather than landlords, which have little or no value to count.)
Lines 31 to 44 show various combinations of investment-related and business assets. Line 35 collects these four classes of assets. Together, they represent 50.3% of aggregate NETWORTH (column 2). The top 5% of us hold 73.5% of that value, and the top 10% hold all but about 17% of that value.
Line 41 shows BUS and NNRESRE (non-residential real estate), which together represent over a quarter of aggregate NETWORTH. The top 5% of us hold over 85% of these assets. Line 42: Add to that "ORES" -- Other Residential Real Estate -- and the top 5% have 79% of the value. Line 43 adds in HOUSES, which are a widely held asset. Line 44 nets out the debt against these assets, and we find that when debt is accounted for, the top 5% of the NETWORTH holders have 61% of the value -- in categories which together represent 58% of aggregate NET WORTH.
2. Assets Commonly Held by Ordinary People. Line 45 combines vehicles and houses. These two classes of assets represent almost 41% of aggregate NETWORTH. The top 5% hold a third of the value; the bottom 50% of us hold 14% of the value.
Line 46 nets out the debt against these assets; the top 5% of us hold 32.8% of the value.
Line 47 adds in another asset which is relatively widely held, RETQLIQ (IRA and 401(k) accounts) and omits the debt. The combined assets represent 54.5% of aggregate NETWORTH, and our top 5% hold 30.6% of them. The bottom 50% of us hold 11.4%, and the next 40% of us -- which some will call our "Middle Class" -- hold 45.6% of the value.
Line 48 nets out the mortgage and installment debt. The combined categories represent almost 40% of aggregate NETWORTH, and are the assets most widely held. The bottom 50% of us have 5% of the value; the next 40% of us have almost 45%; the next 5% have 14%, the second 4% have 23%, and the top 1% have 13%.
Line 53 is everything which is not in Line 48. Almost 48% of that value is owned by the top 1%ers, and over 76% by the top 5%.
Two related pages will follow: Part 2 looks at the distribution of Income to the various quantiles of NETWORTH holders, and how it has changed from 1989 to 2007. Part 3 looks at the changes in the distribution of NETWORTH from 1989 to 2007.
In Progress and Poverty, Henry George wrote of "an immense wedge . . . being forced, not underneath society, but through society. Those who are above the point of separation are elevated, but those who are below are crushed down." If you'd like to understand why wealth concentrates, I commend Progress and Poverty to your attention. And that book provides a simple, logical, just, efficient and economy-invigorating remedy, which can put us well on the road to solving some of our supposedly-intractable social, economic, climate and energy problems.
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