Wealthiest US households drive growth to $10T, but which accounts are most favored?

The investable wealth of US households ballooned by $10.3 trillion over the past year, marking a 13.3% increase, but new research shows that the gains have been concentrated among the wealthiest.

Drawing on detailed government data and Hearts & Wallets' proprietary database of over 80,000 US households, the Portrait of US Household Wealth 2025 report released today (June 25) provides insights into the shifting contours of retail investor wealth.

At the end of 2024, there were more than 132 million households controlling $88.2 trillion in investable assets, accounting for 58% of total household wealth, and split roughly two-to-one between taxable accounts ($56.2 trillion) and consumer-controlled retirement accounts ($32.1 trillion).

IRAs have emerged as the fastest-growing retirement vehicle, totaling $16.8 trillion, while defined contribution (DC) is $11.9 trillion. IRAs account for slightly more than half of retirement accounts and 19% of investable assets overall in dollar terms.

But the stats underscore a widening wealth gap with those households with $10 million or more capturing $5.3 trillion of the total growth in investable assets, while lower-asset households remain heavily reliant on cash and savings, with limited exposure to capital markets.

“Advice and solutions must extend beyond retirement to reflect the reality of taxable asset growth,” said Laura Varas, CEO and founder of Hearts & Wallets. She emphasized that real estate, a rising component of household wealth at $34.7 trillion, also deserves more attention in wealth planning.

Real estate equity now accounts for nearly a quarter of household wealth ($34.7 trillion) and has grown faster than any other component over the past seven years, increasing its relative share from 17% in 2015 to 23% in 2024. Investable assets are the leading component of total household wealth of $150.8 trillion.

Saving behavior is also evolving. Two-thirds of US households now actively allocate savings across account types, up from 60% in 2019. A growing number (32%) are saving at least 10% of their household income.

Bank savings accounts and CDs remain the top destinations for household savings (used by 55%), followed by employer-sponsored retirement plans (42%) and IRAs (30%). The 5-year trend at the national level shows rising incidence of saving into ESRPs and IRAs, both up 5 percentage points, and bank savings/CDs, up 4 percentage points.

“Choosing where to save is just as important as how much to save,” said Amber Katris, subject matter expert at Hearts & Wallets. “Too much focus on retirement accounts can hinder households from achieving other key goals, like homeownership or education.”