Most people who qualify as accredited investors have no idea they do. A physician earning $250,000 a year, a small business owner who has built equity in their company, a software engineer in their 40s with a healthy retirement account — all of these people likely qualify, and most have never checked.
This guide will walk you through exactly what an accredited investor is, the three ways to qualify under current SEC rules, and how to check your status in about 30 seconds — for free.
Quick Answer: You are likely an accredited investor if you earned over $200,000 individually (or over $300,000 jointly with a spouse or spousal equivalent) in each of the last two years, have a net worth over $1 million excluding your primary home, or hold an active Series 7, 65, or 82 license. Check your status free at AccreditedNow.org in about 30 seconds.
What Is an Accredited Investor?
An accredited investor is a person or entity that meets specific financial or professional criteria set by the U.S. Securities and Exchange Commission (SEC) under Rule 501(a) of Regulation D (17 CFR § 230.501). The designation exists to identify individuals who are presumed to have the financial sophistication and ability to absorb potential losses from higher-risk, unregistered investments.
The practical significance of accredited investor status is access. Accredited investors can participate in investment opportunities that are closed to the general public — including private equity funds, real estate syndications, venture capital deals, hedge funds, and private placements under SEC Regulation D.
According to a December 2023 SEC staff report, approximately 18.5% of U.S. households qualified as accredited investors as of 2022 — up from just 1.8% in 1983, largely because the income and net-worth thresholds set in 1982 were never indexed to inflation. That means roughly 1 in 5 American households now has access to these opportunities, and many don't realize they qualify.
The Three Ways to Qualify in 2026
Under SEC rules currently in effect, individual investors can qualify as accredited investors through one of three main pathways (directors, executive officers and general partners of the issuer, and knowledgeable employees of a private fund, also qualify for those specific offerings):
| Qualification Method | Requirement | Documentation Needed |
|---|---|---|
| Income Test | Over $200,000 individual or over $300,000 joint in each of the past 2 years, with the same expected this year | W-2s or tax returns |
| Net Worth Test | Over $1 million excluding primary residence | Bank or brokerage statements |
| Professional License | Active Series 7, 65, or 82 license | Copy of active license |
You only need to meet one of these three criteria to qualify. Let's look at each in detail.
How much income do you need to be an accredited investor?
The most common way individuals qualify as accredited investors is through income. To meet the income test you must have earned:
- More than $200,000 in individual income in each of the two most recent calendar years, with a reasonable expectation of the same income in the current year
- More than $300,000 in joint income with a spouse or spousal equivalent in each of the two most recent calendar years, with the same reasonable expectation for the current year
Rule 501 does not define which items count as income, so reviewers typically look at wages, salary, bonuses, self-employment income, rental income, and other income reported on your tax returns. Unrealized gains on investments you haven't sold are not reported income.
Important: The income test requires you to have met the threshold in both of the past two years — not just one. If you earned $220,000 in 2025 but only $180,000 in 2024, you would not meet the income test for 2026.
Who Typically Qualifies Through Income
- Physicians, dentists, and other medical professionals
- Attorneys and senior law firm partners
- Senior corporate executives and C-suite officers
- Successful entrepreneurs and business owners
- Software engineers and tech professionals at major companies
- Financial professionals with significant compensation
- Dual-income households where combined income exceeds $300,000
Need a CPA-signed verification letter?Licensed CPA review, typically within 24 hours.
Get Verified — $99What net worth do you need to be an accredited investor?
The second pathway is net worth. You qualify if your individual or joint net worth exceeds $1,000,000 — not counting the value of your primary residence. Unmarried partners can combine income or net worth too — see spousal equivalents and accredited status.
How to Calculate Your Net Worth for Accredited Investor Purposes
Prefer to just plug in numbers? Use our free accredited investor net worth calculator — it applies the primary-residence rule for you. Or read on for how it works.
Net worth for accredited investor qualification is calculated as:
Total Assets − Total Liabilities = Net Worth
With one important exception: your primary residence is excluded from both sides of the calculation. Here's how to think about it:
- ✓ Include: Investment accounts, retirement accounts (401k, IRA), secondary properties, business equity, cash, vehicles, jewelry, art
- ✓ Include as liability: Any mortgage debt on your primary residence that exceeds the home's fair market value (underwater mortgage), plus any increase in home-secured debt in the 60 days before you invest, unless it came from buying the home (17 CFR 230.501(a)(5)(i)(B))
- ✗ Exclude: The value of your primary home itself
- ✗ Exclude: Mortgage debt on your primary home (up to the home's value)
Example: If you have $600,000 in retirement accounts, $200,000 in a brokerage account, $150,000 in a rental property (net of mortgage), and $100,000 in other assets, and no other debts — your qualifying net worth is $1,050,000 and you meet the accredited investor threshold regardless of your income or what your primary home is worth.
Which professional licenses qualify you as an accredited investor?
Since 2020, the SEC has allowed individuals holding certain active professional securities licenses to qualify as accredited investors regardless of their income or net worth. The qualifying licenses are:
- FINRA Series 7 — General Securities Representative license
- Series 65 — Uniform Investment Adviser Law Examination (a NASAA exam), held by investment adviser representatives
- FINRA Series 82 — Private Securities Offerings Representative license
The license must be active and in good standing. If you work in financial services and hold any of these licenses, you qualify as an accredited investor immediately — no income or net worth calculation required. For a full walk through every route, see how to become an accredited investor.
Because the license itself is the qualification, there are no income or asset documents to assemble for a verification letter. A licensed CPA can simply confirm your license is active on the FINRA/SEC registry and sign your 506(c) letter — see verify by professional license ($49).
More credentials may be coming. On September 30, 2026 the SEC proposed adding further credential pathways — a CPA, CFA, or CFP credential, the Series 79 and Series 86/87 licenses, and a new FINRA-developed exam. Those are proposals open for public comment and do not qualify anyone yet; the active Series 7, 65, and 82 remain the qualifying licenses today. We cover what was proposed in this breakdown.
How to Check Your Accredited Investor Status Right Now
The fastest way to determine whether you qualify is to take our free 5-question accredited investor status quiz at AccreditedNow.org. The quiz is based on current SEC criteria and takes about 30 seconds to complete.
Check Your Accredited Investor Status — Free
Answer 5 quick questions based on official SEC criteria. Get an instant result and a free printable certificate if you qualify.
Check My Status in 30 Seconds →Free Certificate vs. Official Verification Letter — What's the Difference?
Once you've confirmed you likely qualify, you have two options depending on what you need to do next.
Free Self-Assessment Certificate
AccreditedNow's free quiz generates a printable certificate confirming your self-assessed accredited investor status. This certificate is useful for personal reference, understanding your eligibility, and accessing educational resources. However it is not accepted by investment sponsors as proof of accredited investor status for Regulation D Rule 506(c) offerings.
Official CPA Verification Letter ($99)
For actual investing — participating in a real estate syndication, private equity fund, or other Reg D offering — most investment sponsors ask for a verification letter from a licensed attorney, CPA, SEC-registered investment adviser, or registered broker-dealer. This is one of the verification methods Rule 506(c) lists, not the only one. This letter:
- Is issued by an independent licensed professional who reviews your financial documents
- Is accepted by Reg D investment sponsors
- Is generally treated as good for 90 days from issue, because the rule covers a verification done within the prior three months
- Uses the written-confirmation method listed in Rule 506(c)(2)(ii)(C)
AccreditedNow's verification service connects you with licensed CPAs who review your documents and issue a compliant verification letter for $99 — significantly less than hiring your own CPA directly, typically within 24 hours. If you qualify by professional license rather than income or net worth, there are no financial documents to review: the CPA confirms your license on the FINRA/SEC registry and signs your letter for $49.
Not there yet?
The Accredited Investor Roadmap + Toolkit
If you don't qualify yet, this is the plan to get there — a step-by-step roadmap plus four working spreadsheets: a net-worth calculator, a savings & income tracker, an accreditation progress tracker, and a Series 65 study planner.
Get the free Roadmap + Toolkit →Frequently Asked Questions
Does accredited investor status expire?
Your underlying qualification — your income, net worth, or license — doesn't expire. However, a third-party verification letter has a shelf life: Rule 506(c)'s written-confirmation method covers a professional who verified you within the prior three months, so letters are generally treated as good for about 90 days. Most investment sponsors ask for a letter dated within 90 days of your investment.
Can both spouses qualify jointly?
Yes. The income test allows joint qualification at the $300,000 threshold. For net worth, a married couple's combined net worth (excluding primary residence) is used. Either spouse or both together can qualify.
Do I need to register or file anything with the SEC?
No. There is no registration, application, or filing required to become an accredited investor. You either meet the criteria or you don't. When you invest in a private offering, the issuer is responsible for taking "reasonable steps" to verify your status — which is where the attorney or CPA verification letter comes in.
What investments can accredited investors access?
Accredited investors can participate in private placements under Regulation D, including real estate syndications, private equity funds, venture capital funds, hedge funds, private debt offerings, and crowdfunding offerings under Regulation CF above the standard limits.
What if I don't qualify yet?
If you don't currently meet the accredited investor criteria, AccreditedNow's free quiz will tell you that as well — and our email sequence will provide resources and strategies for building toward accredited status over time.
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