Household wealth increased during pandemic, finds Fed

Wealth in American households jumped a remarkable 37% surge during the pandemic, driven by unprecedented government aid, lockdowns, and surging home and stock values, reports the Federal Reserve.

From 2019 to 2022, the median net worth of US families rose to $192,900 (adjusted for inflation), the largest three-year increase in Fed survey history.

The rich and poor wealth gap also shrank a little in the same period, likely due to pandemic relief efforts. Median family income saw a modest 3% growth and debt remained stable.

The year 2021 saw one in four families grappling with substantial income fluctuations. Bankruptcies dropped to 1.3%, down from 2% in 2019.

More median families owned homes in 2022. It has become less affordable due to rising prices and mortgage rates.