73% of Americans Feel Prosperous Right Now — Here's the Surprising Reason
Americans feel better about their own lives than they do about the country as a whole.
Nearly three in four Americans say they feel prosperous, according to Northwestern Mutual’s inaugural Personal Prosperity Index. Yet 73% believe the cost of basic necessities has gotten worse over the past six months. Another 69% say the national economy worsened during that period and 68% say the same about the political climate.
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Those views are not as contradictory as they may seem. The surprising reason is that Americans define prosperity closer to home. Their finances, health and relationships carry more weight than the economy, politics or financial markets.
Market research firm Ipsos surveyed 2,545 U.S. adults on behalf of Northwestern Mutual. The average prosperity score was 68 out of 100, which Northwestern Mutual classified as “good.”
Why Prosperity Feels Personal
According to the index, household income and household finances tied for the top spot, with 36% of respondents saying each had a great deal of impact on their sense of prosperity.
Relationships with loved ones followed at 35%. Emotional health came in at 31%, followed by physical health at 30%.
National issues ranked lower, with 27% citing the political climate as having a great deal of impact, 25% citing the national economy and 16% citing financial markets.
The index also measures more than wealth. Its six components include having enough money to cover necessities with some left over, living a full life, having love, feeling happy, finding peace and enjoying meaningful work.
The Federal Reserve’s latest survey of household financial well-being found similar responses. Near the end of 2025, 73% of adults said they were doing OK financially or living comfortably. Yet only about one-quarter rated the national economy as good or excellent.
The Fed asked about financial well-being rather than prosperity, so the results are not apples-to-apples. But both surveys found that Americans view their own circumstances more favorably than the national economy.
Financial Security Is Uneven
The Northwestern Mutual survey found that 32% of Americans said their household finances had worsened over the previous six months, compared with 22% who said they had improved. Among those whose finances declined, 79% cited the rising cost of living.
Money problems spilled into other areas of life. Among respondents whose emotional health had worsened, 50% cited financial stress as the top factor. Financial stress outranked work stress, health concerns and relationship problems.
The index also showed a gap between generations. Gen Z and millennials each posted an average prosperity score of 66, compared with 72 for baby boomers and older adults. Only 59% of Gen Z said they had enough money for necessities plus extra, compared with 79% of baby boomers and older respondents.
Financial planning was also associated with higher scores. People working with a financial adviser scored 74 on average, compared with 66 among those without one. People with a professional financial plan scored 75.
Personal Optimism Has Its Limits
The Northwestern Mutual survey also asked what Americans expect over the next six months.
Among respondents, 42% expect their physical health to improve. Another 34% expect better emotional health, while 31% expect stronger relationships and 26% expect higher household income.
But 61% expect the cost of necessities to get worse and 58% expect the national economy to decline.
People may not feel good about where the country is headed, but many still feel good about where their own lives are
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.
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