Brutal Recession Destroyed Americans' Wealth, Net Worth Down 40% In 3 Years (Forbes) [View all]

[jannyk]

Just how bad have the last three years been for some Americans? A Fed survey has some brutal data today showing that both median family income and net worth dropped dramatically over the last three years.

The median family net worth dropped a staggering 40% to $77,300 in 2010 from $126,400 in 2007, the Fed said in its Survey of Consumer Finances which is released every three years. The median family income dropped as well from $49,600 in 2007 to $45,800, or a 7.7% drop.

Middle-class families faced the brunt of the declines with those in the 60th to 80th percentile of income seeing a 40.4% drop in net worth from $215,700 to $128,600. Families with a net income in the the 20th to 39.9th percentile of income saw a 35.4% drop in net worth from $39,600 to $25,600.

The Fed’s survey, which was conducted in 2010, shows just how badly some Americans were hit by the recession. The daunting figures are the result of one of the worst economic periods the U.S. has seen since the Great Depression. Of course, the net worths of Americans are directly tied to the value of their homes which have sunk dramatically in the period.

http://www.forbes.com/sites/halahtouryalai/2012/06/11/brutal-recession-destroyed-americans-wealth-net-worth-down-40-in-3-years/

Fed Chart


And that's only through 2010!