About 1 in 6 Tennessee households had zero or negative net worth in 2024, study estimates

What This Story Is About

• A SmartAsset analysis of U.S. Census Bureau data estimates that 15.7% of Tennessee households had zero or negative net worth in 2024.

Why It Matters

• The measure compares what households own with what they owe, offering a snapshot of household wealth. It does not show whether a household has income or savings available to pay its bills.

For Context

• The Tennessee estimate has an approximate 90% confidence interval of 10.9% to 20.5%. SmartAsset did not find the state’s rate statistically different from the national estimate under its methodology.

NASHVILLE, Tenn. (WSMV) - About 1 in 6 Tennessee households owed as much as or more than they owned in 2024, according to an analysis of U.S. Census Bureau data.

Personal finance company SmartAsset estimated that 15.7% of Tennessee households had zero or negative net worth. That compares with an estimated 11.3% nationwide, although the study could not rule out that the difference was due to sampling variation.

The figures are estimates based on a survey, not a count of every household. They reflect finances in 2024, not the number of households in that position today. The Census Bureau released the data in July 2026.

What does negative net worth mean?

Net worth is the value of what a household owns minus what it owes. Assets can include a home, vehicles and savings; debts can include a mortgage or other loans.

If a household has $50,000 in assets and $60,000 in debt, for example, its net worth would be negative $10,000.

That does not necessarily mean the household has no income or money in the bank. It also does not mean the household is bankrupt or cannot pay its bills.

How reliable is the estimate?

Because the figures come from a survey, the actual share of Tennessee households with zero or negative net worth could be lower or higher than the estimate. SmartAsset calculated an approximate range of 10.9% to 20.5% at the 90% confidence level -- with the 15.7% figure serving as a midpoint.

The study found that Oklahoma, Mississippi and New York had higher rates than the nation overall, even after accounting for survey uncertainty. It included 43 states; the others were left out because too few households were surveyed.

Other signs of financial strain

A separate United Way analysis, previously reported by WSMV, estimated that 41% of Tennessee households fell below its basic-needs income threshold in 2024.

That figure includes households living in poverty and those earning above the federal poverty level but below what United Way estimates is needed to cover basic expenses.

In two Davidson County ZIP codes, the shares were 59% in 37210, which includes part of South Nashville, and 56% in 37115, which includes Madison, according to that earlier reporting.

The United Way figures measure income against a basic budget, not household net worth. They do not explain why any household had zero or negative net worth.