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following the old thread,"How Rich is Rich",
& looks like Jim is in really good company !

" The 1% Club
The individual net wealth required to join the top 1% can vary across countries.
European hubs top the list, with small countries like Monaco or Luxembourg having extremely high wealth barriers to joining the top 1%."

"According to this year’s report, Monaco leads with $12.9 million required to join the 1% club. Currently, more than 30% of Monaco’s estimated 38,000 residents are millionaires"

https://www.visualcapitalist.com/wealth-needed-to-...

ciao

Is this up to date? Those figures seem low.

Way low. I wouldn’t even get out of bed for those numbers 😉😂😂😂😂

"Currently, more than 30% of Monaco’s estimated 38,000 residents are millionaires."

Being a millionaire today ain't what it used to be. Today an average home in an average neighborhood can run over a $1m in many regions.

Tom

A millionaire means an annual income of over a million, doesn't it? (sarc). I was amazed to see that a row of very small houses (1,200 ft sq, but look smaller) on really narrow lots being built out of town in Bend, Oregon are listed for 1.2 million each. You are a millionaire now if you pay off the smallest dumpy house in the neighborhood.

The dollar is failing. Bitcoin fixes this.

Good thread! And while all these comments are mostly true I think people tend to overthink net worth and what it means to be rich. My definition would be you are rich if you have enough net worth to support your current lifestyle for an extended period of time without having to finance any kind of debt. In addition you need to be able to weather a calamitous event like a 40-50% drop in your net worth without having it cramp said lifestyle too much.

People are generally horrible at calculating their own net worth. They tend to over inflate by omitting debts they don't want to acknowledge- mortgages, credit cards, future college tuition payments of offspring, inevitable health care costs etc. I would also add that most people never factor in inflation although the last couple of years has at least helped to educate people about this. When you think about how much you are worth you better factor these things in because they undoubtedly a huge part of the equation.

I think people tend to overthink net worth and what it means to be rich.

Folks, your aging memory is really bad. Forgotten that Jim answered that once and for all times, without any need for numbers?

"If you fly first class you are just wealthy. If you are rich you have your own airplane."

(My memory isn't brand-new either; if what he said is too distorted someone younger might come up with his original sentence.)

The dollar is failing. Bitcoin fixes this.

Oh for fucks sake.

My neighbor is a young tech guy with an 800 million $ company. He comes up for the weekend in his own plane. He describes it in modest terms, but it is not a cheap plane. I guess he is rich, but his neighbors are not yet wealthy.

someone younger might come up with his original sentence.

It happens to be one of my personal favorites. I hope Jim has had his first private jet ride in the last 10 years.

http://datahelper.com/mi/search.phtml?nofool=youBe...

“My observation is that there are only a few key points at which incremental
wealth lets you cross a line into a new level of actual happiness.

- The obvious steps: enough food, shelter, and have-to-be-paid-for health&safety things for you and your family:
The levels beyond which many studies say there is little correlation between wealth and happiness.
- The point at which you have enough money to give meaningful amounts away
- The point at which you can quit your day job if you like
- The point at which you always fly business class when you fly
- The point at which you can fly on private jets as a matter of course

There are no doubt other ones beyond those, but I have yet to have my first private jet ride.
One step at a time.

The list sounds crassly materialistic, but the real point is that I've spotted among
my acquaintances few tiers of wealth that turn more money into more happiness other than those.
Think of the millions of things that *aren't* on the list.

Jim”


Jeff

Is this up to date? Those figures seem low.

I believe the figures are for individuals. So for household of 2 adults with joint ownership, the couple would need twice the number to be in the top 1%. Add some adult children in the household and the number needs to be multiplied further.

Craig

https://forums.spacebattles.com/threads/learning-t...

Do wealthy and rich people's kids often need to stay home with their parents?

Woops, sorry. Cut & paste error. Quote was upthread about adult kids in the house needing to be factored into wealthy / rich calculations.

P.S. Apparently there is no way to edit or delete a post you've made?

From the article:

How to Join the 1% Club?
To be part of the top 1% club of one’s country or region often requires a combination of advanced education, entrepreneurship, strategic investments, and even luck. While there’s no guaranteed path to entry, consistency and time are key factors.

In the U.S., for instance, many individuals and families who have surpassed the 1% threshold have done so over time.

Ya think? lol

One wonders where they get these numbers. I don't tell anyone my net worth, do you?

i would hope government statistics

i would hope government statistics

The gov knows my income, they know what I have in 401ks & IRAs (for eventual taxation purposes). They know what I have in foreign accounts (via FBAR).

Do they know what I have in taxable brokerages and bank accounts?

i would hope government statistics

The gov knows my income, they know what I have in 401ks & IRAs (for eventual taxation purposes). They know what I have in foreign accounts (via FBAR).

Do they know what I have in taxable brokerages and bank accounts?

--

One of the great things about being an economist (I am not, but somewhat adjacent) is that there are tons of data out there. Public records generated by reporting requirements, for financial institutions as well as individuals, are extensive, for Americans anyway. The study of wealth is a lively academic enterprise just now.

For what it's worth, conventional research categories often define a "high net worth individual" as someone with >$1M in liquid assets. "Very high net worth" requires >$5M. "Ultra-high net worth" requires >$30M. If I recall correctly, that is.

Baltassar

"A man who has a million dollars is as well off as if he were rich." -- John Jacob Astor

"- The point at which you have enough money to give meaningful amounts away
- The point at which you can quit your day job if you like
- The point at which you always fly business class when you fly
- The point at which you can fly on private jets as a matter of course"

A number of years ago, about the time the kids were in middle school, the number of candles on my birthday cake had grown to the point of causing comments about smoke alarms, global warming, melted frosting and the like

So I requested that henceforth my candles would be in binary: yellow for '1', blue for '0' : 49 years therefore became 110001 (32 + 16 + 0 + 0 + 0 + 1)

Last year for the first time I needed room for an additional candle. And, sometime between achieving my sixth and seventh candle I also moved up one of Jim's criteria.

With that said -- being happily retired and all -- I think my chance of moving up one more notch to Jim's final criteria is about the same as adding an eighth candle to my cake at age 128

--sutton
Whose 4 sons, sporting 6 science degrees and an in-progress PhD between them still argue with each other every year about the correct sequence of candles.
Of course, they would argue about what direction the sun comes up, so there's that

So I requested that henceforth my candles would be in binary: yellow for '1', blue for '0' : 49 years therefore became 110001 (32 + 16 + 0 + 0 + 0 + 1)

My brother is a classic computer nerd: math genius, a bit maladjusted to the world. An elementary school teacher called in my parents to show his arithmetic work; it was just a string of nonsensical numbers. Fortunately my father was of the same mind, and recognized that he was just bored and decided to do the entire exercise in binary numbers.

> So I requested that henceforth my candles would be in binary: yellow for '1', blue for '0' : 49 years therefore became 110001 (32 + 16 + 0 + 0 + 0 + 1)


That's one of the best things I've read on TMF boards or Shrewdm. Great idea.

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