At what net worth are you considered wealthy ?

[Anonymous]

IMO, $10M in DMV due to cost of living. We are at $6M next worth but the majority are assets and not currently liquid assets. I don't feel broke but I don't feel rich. We have no pensions or inheritance coming our way so 100% self funding our retirement, which is why I think wealth is a higher dollar amount than most people might opine.

[Anonymous]

Anonymous wrote:

Anonymous wrote:It depends on the assets. Net worth doesn’t make you wealthy. Cash flow makes you wealthy. Cash flow is more important than net worth.

Not if it’s flowing out as fast as it’s flowing in. Wealth is what you have coming in, even if you don’t get out of bed in the morning.

Another form of this can be a paid off house, because that represents cash flow that’s NOT going out every month in mortgage or rent. Call it imputed rent, if you’re Fancy Nancy.

A paid off house is the same as having an equivalent value in the bank. It is not cash flow it is an asset.

[Anonymous]

$10M Liquid

you could generate 300 - 500k in income fairly easily off that

If you have large pensions then I could argue 3-5M, assuming you wouldn't need to tap into your liquid assets

[Anonymous]

$10M for a household. $3M for a forever single person with no kids.

[Anonymous]

Anonymous wrote:It depends on the assets. Net worth doesn’t make you wealthy. Cash flow makes you wealthy. Cash flow is more important than net worth.

You have it backwards

[Anonymous]

Anonymous wrote:We have an <100K income and >10M in assets. We live frugally, since there is no spending of capital. I suggest you bear in mind that there are as many financial situations as there are people and that initial appearances can be deceiving.

How on earth did you achieve that level of NW? We are also sub-100K and have a NW of 2.5M. I thought we were doing pretty well lol.

[Anonymous]

100 million

[Anonymous]

Anonymous wrote:It depends on the assets. Net worth doesn’t make you wealthy. Cash flow makes you wealthy. Cash flow is more important than net worth.

You sound like someone who lives above your means. NW always connotes wealth....not how much you earn and spend. I know plenty who earn over $500K but have little to show for it....others earn far less and have a health NW

[Anonymous]

For what it's worth, we use a few services (banking, investments, etc.) that are geared toward high net worth individuals, and they pretty much all define high net worth as $10mm+ in liquid assets, with the general expectation that you will have real property and other long-term investments on top of that. I would say that would mean "wealthy" means $10mm liquid assets, maybe $15-20mm total net worth.

[Anonymous]

Anonymous wrote:

Anonymous wrote:It depends on the assets. Net worth doesn’t make you wealthy. Cash flow makes you wealthy. Cash flow is more important than net worth.

Not if it’s flowing out as fast as it’s flowing in. Wealth is what you have coming in, even if you don’t get out of bed in the morning.

Another form of this can be a paid off house, because that represents cash flow that’s NOT going out every month in mortgage or rent. Call it imputed rent, if you’re Fancy Nancy.

Net worth is what makes you rich. You can translate high net worth to cash flow, it takes time to do the reverse.

[Anonymous]

Anonymous wrote:

Anonymous wrote:We have an <100K income and >10M in assets. We live frugally, since there is no spending of capital. I suggest you bear in mind that there are as many financial situations as there are people and that initial appearances can be deceiving.

How on earth did you achieve that level of NW? We are also sub-100K and have a NW of 2.5M. I thought we were doing pretty well lol.

+1
BTW we're another just under 100k but NW 2.25M --I wonder how many there are around here.

[Anonymous]

Anonymous wrote:

Anonymous wrote:We have an <100K income and >10M in assets. We live frugally, since there is no spending of capital. I suggest you bear in mind that there are as many financial situations as there are people and that initial appearances can be deceiving.

How on earth did you achieve that level of NW? We are also sub-100K and have a NW of 2.5M. I thought we were doing pretty well lol.

Apple, bought a long time ago.

[Anonymous]

$30M

[Anonymous]

Troll with time on your hands

[Anonymous]

$200 million