Do You Make Good Money, but You’re Not Rich Yet? You Might be a HENRY.

HENRY stands for “High Earner Not Rich Yet” and is used to describe (typically) young workers who make a lot of money (from $250,000 – $500,000 household income) yet haven’t been able to build meaningful wealth due to various expenses like student loans, childcare, taxes, and more.

Do You Make Good Money, but You’re Not Rich Yet? You Might be a HENRY.

Before diving into personal finance details for HENRYs, it’s essential to understand why these high earners are having such a hard time building up wealth. Here are a few of the most pressing financial challenges faced by HENRYs.

Financial Challenges Faced by HENRYs

Student Loan Debt

According to Education Data, the average student loan debt is $40,000 per person. For HENRYs, this amount is twice as high at around $80,000. 

Most HENRYs also suffer from something called lifestyle creep or lifestyle inflation. This is basically when increased income also brings about increased spending, usually when luxuries become perceived necessities and costs subsequently balloon.

Lifestyle Creep

Home Prices

HENRYs might be struggling because the jobs that typically accompany their high salary are usually situated in high-cost-of-living areas like New York, Toronto, and San Francisco.

Another factor that heavily hits HENRYs (and all working people) is inflation. It might seem like the average wage has risen over the past two decades, but this notion quickly falls apart when factoring in inflation and the rising cost of goods.


The final thing that impacts high earners’ ability to save is their expectations of what their lives should look like. Many of these young professionals suffer from FOMO or “Fear Of Missing Out” and try to match their lives to those of their peers.


As a HENRY, you already have a good income, which means you can overcome your financial challenges with proper financial planning.

Financial Planning for HENRYs