A study analyzing data from 2000 to 2015 shows that entrepreneurs tend to earn more than paid employees as they age, with self-employed individuals making up to 70% more by age 55, but significant income inequality exists among the self-employed, with most income concentrated among the top earners. The findings challenge stereotypes about entrepreneurs and highlight their potential for higher earnings and growth, especially in small businesses and trades.
The U.S. housing market is showing signs of improvement as mortgage rates decline slightly and home-price growth slows, leading to increased affordability and a potential shift in market dynamics, although challenges remain due to high prices and rates.
US household debt has reached a record $17.94 trillion, with credit cards and auto loans seeing significant increases. Despite this, most households are managing their debt due to rising after-tax incomes, which have outpaced inflation for 18 months. The debt-to-income ratio has improved to 82% from 86% in 2019. However, delinquencies are still rising, indicating financial stress for some households. Factors contributing to higher debt include population growth, increased online spending, and high inflation, while a strong job market supports wage growth.
Procter & Gamble and Walmart are two dividend stocks that are worth considering for long-term investors. Procter & Gamble has a long history of annual dividend raises and impressive sales growth, while Walmart, as the world's largest retailer, offers steady capital appreciation and a solid global sales footprint. Both companies have room for dividend growth and are positioned to remain industry leaders in the future.
Baby boomers currently own a staggering $75 trillion in wealth, including stocks, real estate, pensions, private businesses, and cash, compared to Generation X's $40 trillion and millennials' $8 trillion. However, as millennials enter their prime earning years, they are expected to catch up with older generations. Market analyst Ed Yardeni predicts that within the next two to three years, millennials will surpass baby boomers in disposable income share, and by 2029, they will outpace Generation X. Additionally, it is estimated that over $70 trillion will be inherited by younger generations, providing further opportunities for wealth accumulation.
