- A new analysis from Investopedia reveals that the “American Dream” now costs $3,455,305.
- For many people, the American dream includes getting married, buying a home, and having children.
- However, due to the rising cost of living, the classic image of success in the United States is becoming a thing of the past.
Rising costs are putting the ‘American Dream’ out of reach for most Americans, according to a new analysis Investopedia.
Common milestones associated with success in the United States, such as marriage, children, homeownership, cars, and medical care, are estimated to cost $3,455,305 over a lifetime, according to the economic news site.
Meanwhile, Americans with a bachelor’s degree earn an average lifetime income of about $2.3 million, according to data from Georgetown University’s Education and Workforce Center.
For those with less education, the life associated with the American Dream is expected to be even more out of reach.
For many people, the American Dream includes marriage. And the cost of weddings has become expensive.
Investopedia used data from wedding planning website The Knot in its analysis and calculated that the average cost of a wedding is now $30,000, $2,000 more than last year.
According to Investopedia, the average cost of raising two children by the age of 18 is currently estimated to be around $500,000.
Additionally, the site estimates that the average lifetime cost of a home with a 10% down payment and a 7.2% 30-year fixed mortgage is currently about $796,998.
Investopedia also estimates that the average family will spend $934,752 on health insurance over their lifetime.
Between housing, car, medical and childcare costs, Americans who plan to live on 80% of their pre-retirement income in retirement should be able to save at least $715,968.
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