At a Glance | May 5, 2022 How the Finances of Urban and Rural Americans Differ 1 GEOGRAPHIC AREAS Where Americans Aged 25 and Older Live An urban region, as defined by the U.S. Census Bureau, has at 14% Rural 80% Urban least one urbanized area with % 80 a population of 50,000 or more, of Americans plus adjacent territory with live in an urban region a high degree of social and 6% Unidentified economic integration, as +8080 +1414+6J6J measured by commuting ties. ASSET AND DEBT VALUES Median Net Worths, Assets, and Debts By Income and Geographic Area The median net worths, median Urban total assets, and median total Rural Lower-Income Individuals Higher-Income Individuals (Under $50,000) ($50,000 or more) debt were higher for urban individuals in the higher income $18k $178k Net Worth $24k $143k cohort. This was not the case for low-income individuals, $36k $291k Total Assets $48k $222k where rural individuals had higher median assets, debts, $2k $49k Total Debt $3k $34k and net worths. ASSET OWNERSHIP Percentage Owning Various Asset Types Individuals living in rural areas Urban 51% Home were more likely to own their 60% Rural homes and vehicles. Urban 65% Vehicle 74% individuals were more likely 9% to own retirement accounts, Business 9% stocks, and mutual funds. Rural 88% Bank Accounts Americans’ finances may differ 86% due to lower population density, 17% Stock & Mutual Funds 11% infrastructure differences such 5% Bonds as less availability of broadband, 4% and their experiences with or 47% Retirement Accounts 39% exposure to various asset types. 1 A metropolitan area, as defined by the U.S. Census Bureau, is a county- or equivalent-based area that has at least one urbanized area with a population of 50,000 or more, plus adjacent territory that has a high degree of social and economic integration, as measured by commuting ties. In SIPP, metropolitan status is only determined for individuals who live in states where (1) both the metropolitan and non-metropolitan populations are 250,000 or more or (2) the state’s population is entirely metropolitan. Individuals in states not fitting into either of these categories are classified as unidentified. Otherwise, the individuals are classified as living in a metropolitan (urban) area or a nonmetropolitan (rural) area. SOURCE: Copeland, Craig, “Understanding the Finances of Rural vs. Urban Americans,” EBRI Issue Brief, no. 553 (March 3, 2022). © 2022 EBRI This report is copyrighted by the Employee Benefit Research Institute (EBRI). You may copy, print, or download this report solely for personal and noncommercial use, provided that all hard copies retain any and all copyright and other applicable notices contained therein, and you may cite or quote small portions of the report provided that you do so verbatim and with proper citation. Any use beyond the scope of the foregoing requires EBRI’s prior express permission. For permissions, please contact EBRI at permissions@ebri.org.