Kevin O’Leary is one of the most well-known entrepreneurs of our time. And his no-nonsense approach to business, as evidenced by his interactions with Shark Tank guests, has gained him both respect and notoriety.
With an estimated net worth of around $400 million as of early 2025, Kevin O’Leary isn’t afraid to throw his money around. Earlier this year, he made a bid for TikTok, and he currently has his hands in ventures that range from wealth management to wine.
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O’Leary is also aware that the key to financial success is getting started at a young age. Today’s 20- and 30-somethings, though, have the challenges of student loan debt, rampant inflation, and exorbitant interest rates to contend with.
Related: Suze Orman issues warning on claiming Social Security early
Not surprisingly, 36% of Gen Zers and 44% of millennials are unhappy with the amount of savings they have, according to a 2025 Yahoo Finance/Marist Poll.
Federal Reserve data from 2022 (the last year it's available) puts the average transaction account balance for Americans under 35 at $20,540. The median balance is only $5,400, which tells us that’s more representative. Transaction accounts include savings and checking.
But O’Leary thinks young Americans should be thinking big in terms of their savings. He suggests a specific milestone to hit by age 33.
Related: Kevin O’Leary’s net worth ahead of possible TikTok purchase
Kevin O’Leary’s savings recommendation
O’Leary posted on LinkedIn, “I tell young people all the time, by the time you hit 33 years old you should have at least $100,000 saved somewhere. Make that your goal. That's the age when it's really time to start getting FOCUSED on saving. You want to be in a good place when you're 65, but it starts now!”
Having $100,000 saved by age 33 sets the stage for future financial success, explains O’Leary. A $100,000 IRA at age 33 could be worth almost $1.2 million by age 65 even if there’s never another dollar contributed, assuming that account grows 8% annually during that time.
Related: Dave Ramsey has blunt words on a Social Security, 401(k) problem
Plus, a $100,000 cushion offers immense protection against financial emergencies.
In the wake of the pandemic, experts have upped their emergency fund recommendations.
A three- to six-month emergency fund used to be the convention. Suze Orman now expressly tells savers to aim for 12 months’ worth of expenses. For many people, $100,000 more than covers it.
Kevin O’Leary’s guidance is tough to follow
O’Leary's guidance may be well-intentioned, but it's questionable as to whether it's attainable for the average saver.
His logic is that if people start saving 20% of their earnings at 23 and invest in the stock market through age 33, they should have no problem getting to $100,000.
Related: Tony Robbins warns U.S. workers on Social Security, retirement fact
That does, however, make certain assumptions about young Americans' wages and expenses. The math technically works for an average salary. But being able to save 20% at that age is a big "if."
What O'Leary may be overlooking is that rents are sky-high, and that soaring interest rates are eating up more of young Americans' paychecks. Plus, let's not overlook that the average American under 30 owes $23,795 in student loans.
More on personal finance:
- Tony Robbins has blunt words on IRAs, 401(k)s and a tax fact
- Scott Galloway warns U.S. workers on Social Security, retirement flaw
- Dave Ramsey explains a Roth IRA, 401(k) blunt truth
Still, O'Leary’s advice is worth taking for those who have the capacity.
Granted, age 33 might seem kind of arbitrary, but O’Leary calls it the “tipping point” in a person’s life.
Getting into the habit of saving from an early age is also essential given that younger Americans can’t rely too heavily on Social Security for retirement given the potential for benefit cuts.
O’Leary is also a fan of getting into the stock market at a young age to benefit from extra years of compounded returns. For many people, average earners included, that’s often the key to growing wealth.
Related: Veteran fund manager unveils eye-popping S&P 500 forecast
