U.S. Household Wealth Rises as Labor Share Hits a Record Low

U.S. household net worth climbed to $195.9 trillion in the second quarter of 2026 even as workers’ share of nonfarm business output fell to a series low, while buy now, pay later credit issuance reached an estimated $156.7 billion in 2025.

The Federal Open Market Committee raised the federal funds target range by 0.25 percentage point on Sept. 16, to 3.75% to 4%. Its statement described consumer spending as resilient and productivity growth as strong, while inflation remained elevated.

Buy now, pay later providers issued an estimated $156.7 billion in U.S. consumer credit in 2025. That included $78.3 billion through “pay in four” plans, which divide a purchase into four payments. The estimate covers multiple types of installment loans and does not specify how much financed rent, groceries or other necessities.

More than 60% of the credit issued carried a 0% annual percentage rate. These market-wide figures do not describe the finances of individual borrowers.

Household net worth rose $12.8 trillion in the second quarter of 2026, reaching $195.9 trillion. The aggregate gain does not show how much went to households with fewer financial assets.

Workers’ share of nonfarm business output, measured through wages and benefits, was 52.8% in the second quarter of 2026, the lowest level in the series. The measure does not explain why the share declined.

The figures show different movements in installment credit, aggregate wealth and labor income. They do not establish that consumers used installment loans for essentials or show how directly changes in the federal funds target range affect those borrowers.