Median vs mean
The median is the middle value when everyone is lined up in order; the mean is the total divided by the number of people. When a few people have very large amounts, the two diverge sharply.
Why they differ
Wealth and income are skewed, a small number of very rich people pull the mean upward, while the median is unaffected by extremes. That is why the median is usually the honest "typical" figure and the mean can look misleadingly high. An example from Statistics Sweden (SCB): in 2024 the median total earned income for people aged 20-64 was 401,400 kr, while the mean was 426,800 kr.
Percentiles
A percentile tells you what share of people are below you, the 50th percentile is the median. Comparisons against the population are best read as percentiles, not against an average.
Where it shows up
- Where Do I Stand
When a headline quotes "average" wealth or income, check whether it is the median or the mean. Swedish wealth is very skewed, so the mean can be far above what most people actually have.