Articles from “The Hill” are (and should be) automatically suspect. For example:
1. American Dream estimated cost: ≈$3.47 million/lifetime
2. Working life (67 (retire) - 22 (graduate college)): 45 years
$3.47 million/45 years ≈ $77 thousand/year. Not an absolutely astronomical unobtainable amount even if there is only a single wage earner in the family.
While the recent college graduate may not make $77k/year initially, it is not unreasonable to expect a long career where salary is at or north of $75k/annum.
$2.3 million (estimated college graduate lifetime earnings)/45 years ≈ $52 thousand/year.
40 hr/week x 48 weeks = 1920 hr.
$52,000/1920 ≈ $27.00/hour.
$52k/year is NOT a lifetime average wage for a college graduate.
I’d note that it is easier to deal with NPV (net present values). The $3.4 million is likely the total value over the 45 year lifetime.
I’d discount it to today 45 years, using discount of 3%.
Then I’d make my comparison.
Oh, and did the article allow for taxes? Expenses are mostly with after tax money, but the income you use to calculate how much you’d have to earn to match the estimated stream should be net after taxes and the like. Disposable income, in other words. Or, net not gross.