Here’s the Average Debt of Every Generation

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Here’s the Average Debt of Every Generation

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According to

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, the total debt for ********* consumers reached $17.1 trillion in 2023, with credit card debt increasing 10% from 2022 to 2023. Americans struggle with the rising general

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and real estate as they navigate their finances. To make matters worse, higher interest rates are also causing financial strain.

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Gen Z

Total average debt: $29,820

Mortgage debt: $234,485

Automobile debt: $20,305

Credit card debt: $3,262

Personal loan debt: $8,710

“When you look at the general trend of overall debt it makes sense that debt has increased coming off the high inflationary ******* over the last couple of years,” said Gloria Garcia Cisneros, a certified financial planner (CFP) and wealth manager at

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“However, you can see the trends disproportionally higher for the younger generations (Gen Z and millennials).”

Younger people struggle as they graduate college with debt and look for jobs that will pay them enough to live their desired lifestyle while managing higher prices. Younger consumers are also more likely to earn less money as they haven’t reached their peak earning years yet.

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Millennials

Total average debt: $125,047

Mortgage debt: $299,689

Automobile debt: $24,207

Credit card debt: $6,521

Personal loan debt: $16,669

“One key takeaway is that the total debt of the younger generations, particularly millennials and Gen Z, is increasing at a faster rate compared to previous generations,” noted Michael Collins, a chartered financial analyst (CFA) and founder of

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“This is largely due to rising costs of education, housing and lifestyle expenses. The ongoing issue with high levels of student loan debt for millennials has also resulted in delayed home ownership and other major life milestones, potentially impacting their long-term financial security.”

Data released by the National Association of Realtors (NAR) last year confirmed that young people are delaying their first home purchase as multiple debts are preventing them from saving for a downpayment. The median age for a first-time home buyer was 36, which is the oldest figure since NAR started collecting data.

“Buying a home was a lot more doable out of college in your 20s back in the day than now,” said Cisneros. “However, I don’t think this will be the case as future generations age toward retirement because it has become more expensive to live, and many are pushing back the dates of buying a home.”

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Since a home is often the largest item on an ********* consumer’s net worth statement, younger generations could carry more debt into their

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Gen X

Total average debt: $157,556

Mortgage debt: $278,935

Automobile debt: $27,098

Credit card debt: $9,123

Personal loan debt: $22,259

“Every generation is influenced by the norms of society as they grew up and can’t escape attitudes about credit and finance any more than they can escape their own popular music,” explained Mike Sullivan, a personal finance consultant with

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“So, we should expect Gen Z consumers to owe less than millennials, and millennials to owe less than Gen X consumers. And we should expect most baby boomers and members of the silent generation to have achieved some financial stability with little debt.”

Sullivan also mentioned that credit scores didn’t exist until 1989 and that things completely changed for Gen X consumers who grew up with unsolicited credit card offers arriving in the mail. This generation is also known for helping their ****** children financially, which could be holding them back.

Baby Boomers

Total average debt: $94,880

Mortgage debt: $191,557

Automobile debt: $21,609

Credit card debt: $6,642

Personal loan debt: $22,551

Cisneros wasn’t surprised by the lower rates of debt and amounts for baby boomers and silent generations, since “they’re approaching or in retirement, so have likely saved up funds for the decades to come and are close to paying off mortgages and other debts.

As the generations age, they can pay down debt and make better financial moves as they’re also likely more established in their careers. Baby boomers grew up during a different time when housing was affordable, and they didn’t have to wait as long as younger generations to enter the real estate market.

Silent Generation

Total average debt: $38,600

Mortgage debt: $142,644

Automobile debt: $16,054

Credit card debt: $3,412

Personal loan debt: $14,547

“It’s clear that different factors such as economic conditions, societal trends and individual decisions all play a role in shaping the debt landscape for each generation,” remarked Collins. “It’s crucial for individuals to understand their financial situation and make informed decisions about managing their debt to achieve financial stability.”

It shouldn’t be suprising that this generation has the least debt since they’ve had more time to get their finances in order and experienced a very different economic climate.

Sullivan added, “Younger consumers are at a great disadvantage in every way. But they have youth and time, and many older consumers would gladly trade with them. Instead, older consumers will transfer wealth to younger generations and help them achieve stability.”

He continued, “Gen Xers will pay off their debts with their inheritances from their parents. Millennials may be more challenged to manage their own affairs, and it will take 20 more years to see what Gen Z may do.”

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