Research Finds 3 Million US Business Owners Average $25 Million in Wealth
Updated
Updated · CBS New York · Sep 17
Research Finds 3 Million US Business Owners Average $25 Million in Wealth
3 articles · Updated · CBS New York · Sep 17
Summary
Treasury and IRS data analyzed by Owen Zidar and Eric Zwick show many wealthy Americans built fortunes through ordinary private businesses rather than salaries, tech startups or hedge funds.
About 3 million private-business owners fit that pattern, with average wealth near $25 million; overall, roughly 5 million US households hold at least $5 million and together own wealth exceeding 13 times the Forbes 400.
Pass-through structures such as LLCs, partnerships and sole proprietorships help drive that wealth by letting profits flow to personal returns and, in many cases, qualify for a 20% income deduction.
The typical 'everywhere millionaire' is 62 and married, usually started the business rather than inheriting it, and often still runs it as a day job despite already being rich.
Zwick argues the findings point to a broader, more local path to the American Dream, with AI likely to reshape but not erase demand for tactile businesses like HVAC and distribution.