Note: With the June release of the Federal Reserve's Z.1. Financial Accounts of the United States for Q1 2021, we have updated this commentary to incorporate the latest data.


Let's take a long-term view of household net worth from the latest Z.1 release. A quick glance at the complete data series shows a distinct bubble in net worth that peaked in Q4 2007 with a trough in Q1 2009, the same quarter the stock market bottomed.

The latest Fed balance sheet shows a total net worth that is 127% above the 2009 trough. The nominal Q1 net worth is up 3.8% from the previous quarter and up 23% year-over-year. The COVID-19 pandemic has had a clear impact on household net worth - notably the immediate decline due to income losses and the Federal government's reaction via the CARES Act.

Household Net Worth