What Machine Learning Reveals about Who Gets Rich and Why
How to Set Yourself Up for Financial Success
Does financial success come down to luck, discipline, or the right career moves?
The answer is “Yes.”
New research reveals what really determines financial success. And some of the findings might surprise you.
This study examined decades of data from nearly 9,000 individuals, using AI-powered analysis to predict income levels based on their backgrounds, education, and careers.
So, what matters most when it comes to making money?
Let’s break it down.
The 3 Biggest Predictors of Financial Success
If you want to increase your income, three factors dominate all others:
1. Education: The Most Powerful Predictor of Income
Your level of education remains the strongest determinant of how much you will make.
People with bachelor’s degrees earn 84% more than those with only a high school diploma on average.
Graduate degrees boost earnings even further, but returns vary by field—an MBA or law degree has a bigger impact than some master’s degrees in the arts.
Takeaway:
financial influencers (particularly those who sell online courses) love to tell you that getting a degree is a massive waste of time and money. That’s Bull$hit.
Yes, getting a degree is expensive and yes you must be strategic in which degrees you pursue, but it is still the greatest investment you can make in your future earning potential. There may come a day where education provided negative ROI, but we are not there yet.
So, if you're early in your career, prioritizing education is the most reliable way to boost your lifetime earnings.
2. Occupation: Your Job Choice Matters More Than You Think
Machine learning models found that the field of work you choose is one of the biggest differentiators in income.
STEM, finance, and healthcare careers dominate the high-income brackets.
On the other hand, jobs in retail, hospitality, and personal services tend to be lower-paying, even with experience.
Takeaway:
If you’re looking to switch careers, targeting high-growth, high-paying industries (like tech or healthcare) is one of the most effective ways to increase your earning potential.
Even if you are not changing your profession, changing your industry can signicantly impact your pay. Say your profession is in the field of Human Resources, you’ll make a lot more money working for a tech company than for a retail company.
When you think of your career remember to consider both your profession but also the industry in which you choose to work in.
3. Gender: The Persistent Wage Gap
The study confirmed that gender remains a significant predictor of income, even after accounting for education and occupation.
Men, on average, earn more than women in nearly every field.
The wage gap is smaller in some high-skill professions but still exists.
Takeaway:
To be frank this is a difficult thing to overcome and a sad reality that this issue persists. Hopefully the gender pay gap will fully close one day, but until then women still have an uphill battle in their careers, and therefore need to work harder and be more strategic about their career to earn the same as men.
Secondary Factors That Shape Your Income
Beyond the big three, several other factors still influence financial success—but with less impact.
4. Working Hours: Effort Matters, But Not as Much as You Think
More hours worked = higher earnings—but only to a point.
The study found that working excessive hours does not guarantee financial success if it’s in a low-wage job.
The highest earners are often salaried professionals or business owners who earn more without trading hours for dollars.
Takeaway:
There really does appear to be truth behind the saying “work smarter, not harder.”
Instead of working more, focus on increasing your earnings per hour (through skill-building, promotions, or switching higher-paying industries).
5. Age & Work Tenure: Experience Helps, But Only to a Point
Older workers generally earn more—but income growth slows after a certain point.
Years of experience matter less in fast-changing industries like tech.
Strategic job-hopping every few years often results in higher income growth than staying with one employer for decades.
Takeaway:
Loyalty doesn’t always pay.
If your salary isn’t keeping up with market rates, it may be time to explore better opportunities.
But, that doesn’t mean you should leave a good employer that provides greater working conditions for a small increase in pay.
Like with everything in life, it’s a balancing act.
6. Family Background: Your Starting Line Matters (But Isn’t Destiny)
Parental income and education do influence earnings, but not as much as people think.
Coming from a wealthy background gives an early financial advantage, but education and career choices still outweigh family wealth over time.
Takeaway:
Yes, people from wealthy families tend to enjoy every advantage in life and have a clearer, easier and simpler path to financial success.
But we all have to play the cards we’ve been dealt to the best of our ability. So, if you were not born into a rich family, remember: You can control your financial future—even if you didn’t start with money.
What This Means for You
So, what can you do to maximize your lifetime earnings?
Prioritize education – If possible, invest in higher education or specialized training in high-paying fields.
Choose the right industry – Some jobs pay dramatically more than others, even with the same experience.
Negotiate your salary – Especially for women, salary negotiation is critical in closing income gaps.
Work smarter, not just harder – Aim for high-leverage work that pays more per hour worked.
Become adaptable – The job market changes. Be willing to switch industries, upskill, or take strategic career risks.
Machine learning confirms what economists have been saying for years—education, job choice, and strategic career moves are the biggest predictors of financial success.
The good news? Most of these factors are within your control.
No matter where you start, the key to earning more money is making intentional career and education choices that maximize income potential.
Sources
National Longitudinal Survey of Youth 1997, Bureau of Labor Statistics (2024)
McKinsey & Company, Human Capital at Work: The Value of Experience (2023)
Harvard Business Review, The Long-Term Effects of Job-Hopping on Earnings (2022)
This article is for informational purposes only. It should not be considered Financial or Legal Advice. Not all information will be accurate. Consult a financial professional before making any significant financial decisions.