Lifetime consumption in group A is $2.7 million versus $2.475 million in group B, Kevin Bryan notes

Lifetime consumption in group A is $2.7 million versus $2.475 million in group B, Kevin Bryan notes
Group A surpasses B in total consumption

Kevin Bryan analyzes two hypothetical groups, A and B, to compare earnings and savings patterns over a lifetime. In group A, individuals aged 20-35 earn $30,000 annually, those aged 35-50 earn $50,000, and those aged 50-65 earn $100,000, with an average age of 40. In group B, everyone earns $55,000 annually with an average age of 50. Both groups save 10% of income each year with zero interest.

Bryan finds that lifetime consumption is higher in group A at $2.7 million compared to $2.475 million in group B, even though group B has a higher median income ($55,000 vs. $50,000) and median wealth ($165,000 vs. $70,000).

Bryan has previously examined large disparities in individual fortunes, arguing that extreme wealth gaps relative to celebrities and CEOs may pose political risks in a past analysis. In an earlier note, he also discussed the Hewlett Foundation’s decision to shift funding from arts and the environment to major economic nonprofits, including a $4 million commitment detailed in a separate report. Both topics reflect his ongoing focus on income, wealth, and their broader implications.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.
Weekly Top Bonuses
up to $2,500
deposit bonus for all clients
CLAIM BONUS
Your capital is at risk.