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11 Steps To Increase Your Net Worth Above the Average 70-Year-Old

It’s never too late to boost your financial health.

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Updated Oct. 9, 2024
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The average net worth of an American in their 70s is roughly $1.6 million, according to Empower, a retirement plan administrator. That’s a big number, yet many seniors have far less in their retirement reserves.

Empower says the median net worth for this age group is just $371,603. The median is the number at which half are above it, and half are below it.

Regardless of how much you have in savings today, it’s not too late to improve your financial standing. Here are some key ways 70-year-old investors can build wealth and create a stress-free retirement.

Steal this billionaire wealth-building technique

The ultra-rich have also been investing in art from big names like Picasso and Bansky for centuries. And it's for a good reason: Contemporary art prices have outpaced the S&P 500 by 136% over the last 27 years.

A new company called Masterworks is now allowing everyday investors to get in on this type of previously-exclusive investment. You can buy a small slice of $1-$30 million paintings from iconic artists, all without needing any art expertise.

If you have at least $10k to invest and are ready to explore diversifying beyond stocks and bonds,see what Masterworks has on offer. (Hurry, they often sell out!)

Talk to a financial planner

moodboard/Adobe mature couple sitting on sofa with financial advisor

Navigating finances in your 70s can be complex. So, talking to a financial advisor is often a good first step toward building wealth. An advisor can offer personalized advice and help create a plan to grow your net worth.

Whether it’s optimizing your investment strategy, creating a plan to leave an endowment or legacy, managing taxes, or planning for long-term care, expert guidance can make a big difference for those interested in making wealthy money moves.

Want to learn how to build wealth like the 1%? Sign up for Worthy to get ideas and advice delivered to your inbox.

Buy rental real estate

karamysh/Adobe house for sale real estate sign in front of a house

Investing in rental properties is another way to grow wealth during your senior years. Real estate can offer retirees a steady stream of income and asset appreciation.

If managing properties feels overwhelming, consider putting money into a real estate investment trust (REIT) as a more “hands-off” alternative.

Build a CD ladder

Andrii/Adobe certificate of deposit document on table

A CD ladder allows you to stagger the maturity dates of multiple certificates of deposit (CDs). This strategy provides a stable and predictable income stream during retirement, with minimal risk involved.

Sites such as Raisin allow you to compare CD terms, rates, and conditions at banks and credit unions nationwide.

Get a free stock valued between $5 to $200

Secret: You don't need thousands of dollars to buy thousand-dollar stocks or create a diverse portfolio.

Robinhood offers a method of investing called “fractional shares.” On its own, one share of a single stock could cost a lot of money, making it difficult to diversify. Robinhood allows you to buy pieces of stock instead, so you have the option to build a diverse portfolio quickly.

Let’s say you want to invest $250, as an example.

With that amount, you could build a relatively diverse portfolio with an investment of $50 in a big tech stock, $50 in a retail stock, $50 in an energy stock, $50 in a manufacturing stock, and $50 in a bank.1

Even better news? Add a Robinhood Gold membership, and you’ll get access to 5.00% APY2on your uninvested cash3and the ability to buy and sell stocks 24 hours a day, 5 days a week.

Open and fund a Robinhood account and earn up to $200 in stock

Manage your income with a tax professional

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Taxes can take a significant chunk of your retirement income. However, crafting the right strategy — especially with regard to Social Security and required minimum distributions — can reduce the bite of taxes.

A tax professional can help you devise a plan to minimize your tax burden while keeping you on track for financial growth.

Consider downsizing your home

Monkey Business/Adobe Labelling Boxes Ready For Move

Downsizing to a smaller home can reduce the size of — or even eliminate — mortgage payments. Buying a smaller home also might help you cut the cost of insurance and property upkeep.

These reduced expenses allow you to invest the savings elsewhere, such as in stocks, CDs, or rental properties. And with less house to manage, you will have a lot more leisure time.

Consider a reverse mortgage

William W. Potter/Adobe house paper model US dollar hessian bags on a wood balance scale

Reverse mortgages allow homeowners 62 and older to convert part of their home equity into tax-free income.

While this can provide financial flexibility, it comes with risks, such as high fees and potential complications for your children or heirs. Carefully weigh the pros and cons before committing to this option.

Delay filing for Social Security until age 70

chuck/Adobe social secruity

By waiting to claim Social Security beyond full retirement age, you can boost your monthly benefit by up to 8% per year through the age of 70. After age 70, there is no benefit to waiting any longer to file for Social Security.

Waiting to file can make a significant difference in your income over the long term, especially if you are healthy and expect to live into your 80s or beyond.

Keep close tabs on your spending

Phushutter/Adobe Female accountant making calculation

Tracking spending is crucial in retirement. By controlling unnecessary expenses — such as frequently dining out or shopping too much for the grandkids — you can save money.

Every bit you save can be redirected toward retirement income and growing your net worth.

Pay off debts

fizkes/Adobe 70s spouses check documents

Eliminating high-interest debt can free up more money to invest.

Focus on paying off credit cards, personal loans, and other high-interest debts first, as they tend to erode wealth faster than lower-interest debts.

Earn up to a $300 bonus and grow your money with up to 4.20% APY

This powerful combination checking + savings account from SoFi® allows you to earn up to a $300 bonus with direct deposit and grow your money with up to 4.20% APY.4

This is one of the top accounts we’ve seen, and offers like this can be rare. You work hard, and now it’s time to make your money work for you — with SoFi, you can grow your money with hardly any effort!

SoFi has no account or overdraft fees5 and additional FDIC insurance up to $2 million on deposits is available through a seamless network of participating banks.67 Plus, you can receive your paycheck up to 2 days early.8

How to earn up to $300: Sign up and make a direct deposit within the first 25 calendar days of the promotional period, then collect a $300 cash bonus with a direct deposit of $5,000 or more.

SoFi is a Member, FDIC. 7

Open your SoFi account and set up direct deposit

Don’t overindulge on fancy cars and vacations

DragonImages/Adobe test drive concept

Luxury cars and extravagant vacations can drain retirement savings fast. Opt for more practical spending, such as reliable, economy cars and trips close to home.

Also, look for ways to make vacations more budget-friendly, such as traveling with a friend to split the lodging costs, or planning trips abroad during the off-season.

These small lifestyle adjustments can help keep your finances on track, ensuring more money is available for long-term investments.

Consider an annuity

Vitalii Vodolazskyi/Adobe Annuity written

Purchasing an annuity can be among the best ways to supplement your Social Security and retirement funds.

An annuity provides a guaranteed lifetime income stream. Not all annuities are created equal, and they often come with fees and restrictions.

However, for some individuals who are 70 or older, an annuity might be a good idea. Work with an expert to determine if this is the right option for your retirement goals.

Bottom line

Syda Productions/Adobe senior woman with papers

You can build wealth in your 70s with the right strategies. From delaying Social Security to investing in real estate, there are many ways to increase the size of your nest egg.

Start by making smart spending choices and seeking professional advice to ensure your financial future stays bright.

Masterworks Benefits

  • Invest in art like a millionaire for a relatively low cost
  • Art investments have outperformed the S&P 500 by over 131% for 26 years
  • Purchase shares of artwork by top artists
  • Hedge against inflation and diversify your portfolio