Net worth over $20 million

[Anonymous]

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Anonymous wrote:It maybe feels low to you because I am sure the distribution is very clustered.

I bet 90% of those people live in only like 10 metro markets in the US.

Statewise, it would be Florida, New York and California.

Correct...but in the DC area you have an outsized concentration of law partners as an example who can hit that level after just like 7-8 years of partner earnings.

However, outside of DC and NYC and like SF/LA, the BigLaw market is actually much smaller.

DC is also the #5 metro area for F500 HQs. You have Capital One, Hilton, Marriott, Choice, Boeing, etc. 20 HQs in total.

Bullshit. Hitting that number in “7-8” years as a law partner requires earning $3 million a year, spending none of it and paying no taxes.

Dude...you are a bit unhinged...you do realize you don't go from $0 to $3MM per year right? You are earning many hundreds of thousands and maybe over a $1MM for years even before making equity partner, and investing a bunch of that.

That isn’t right. Say you make equity partner in 10 years. You are making $500,000 or less the first five. And probably less than a million for all of it. Most have law school debt and even if they don’t, are saving for a down payment and paying for day care and schools

What do you mean it isn't "right"? Most people making $500k per year can save at least $100k of that...probably even more. Now you are slowly moving up towards $1MM and continuing to save more...assume normal investment returns...now you make equity partner and are making $3MM+ (or maybe $5MM or maybe more). Once you hit partner you are saving like $1MM per year, and again it's all compounding.

So maybe they don't hit a $20MM NW at 8 years...maybe it takes 10 or maybe 12 or 15. The point is you can definitely get there from being a BigLaw partner and DC has an outsized share of BigLaw partners.

We know so many big law partners and not one has $20M. I know they are out there, and could guess a few at my old firm, but not in the dozens we are friends with. This includes a few dual partners.

You're responding to a known weirdo who likes to calculate how people can hoard wealth if they live frugally with their high salaries. That poster always needs to be reminded that people earning a lot are by and large NOT frugal. They buy several homes, indulge in luxury travel, pay for expensive privates for their multiple kids, and if very foolish, cheat on their wives and end up with very painful child support and alimony.

So no, lots of high earners do not have the very high net worth that others might expect.

I don't know that high earners "by and large [are] NOT frugal". Some of us in the law in particular want out as fast as possible, and we had a sizeable networth before even making partner. A couple of years where you can keep throwing $1-2m into your portfolio on top of millions you already have at work can get you to big numbers fast. I have no idea how much other high earners save, but I agree that the ones who cheat on their wives and are paying alimony and child support and private school tuition are probably not doing so well.

The question is how many of these people you believe exist in the United states, and you cannot extrapolate this number by looking at your immediate area that may have over-saturation of law partners. Even then I doubt 7 figure earners who had been doing this for many years to accumulate this wealth even if invested without overspending or doing stupid sh** is high percentage wise compared to the rest of the population.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:It maybe feels low to you because I am sure the distribution is very clustered.

I bet 90% of those people live in only like 10 metro markets in the US.

Statewise, it would be Florida, New York and California.

Correct...but in the DC area you have an outsized concentration of law partners as an example who can hit that level after just like 7-8 years of partner earnings.

However, outside of DC and NYC and like SF/LA, the BigLaw market is actually much smaller.

DC is also the #5 metro area for F500 HQs. You have Capital One, Hilton, Marriott, Choice, Boeing, etc. 20 HQs in total.

Bullshit. Hitting that number in “7-8” years as a law partner requires earning $3 million a year, spending none of it and paying no taxes.

Dude...you are a bit unhinged...you do realize you don't go from $0 to $3MM per year right? You are earning many hundreds of thousands and maybe over a $1MM for years even before making equity partner, and investing a bunch of that.

That isn’t right. Say you make equity partner in 10 years. You are making $500,000 or less the first five. And probably less than a million for all of it. Most have law school debt and even if they don’t, are saving for a down payment and paying for day care and schools

I believe you. I personally know 2 law partner ladies in NYC and they aren't rolling in dough. They also have to have husbands who are either SAHDs or have low commitment jobs, so they are really single income earners. Plus, from what I understand to be an equity partner you have to invest your own money too?

[Anonymous]

I have no idea who many there are in the US.

But I have come to realize that people are not frugal once they earn serious money.

I know this because we have 20M through investments and being actually frugal. The people we know who have large salaries do not live like us. I don't think anyone actually realizes how much we've accumulated, since we're still in our starter home, with our starter cars - and that's fine, we like flying under the radar! But I know we are definitely weirdo outliers

[Anonymous]

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Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:It maybe feels low to you because I am sure the distribution is very clustered.

I bet 90% of those people live in only like 10 metro markets in the US.

Statewise, it would be Florida, New York and California.

Correct...but in the DC area you have an outsized concentration of law partners as an example who can hit that level after just like 7-8 years of partner earnings.

However, outside of DC and NYC and like SF/LA, the BigLaw market is actually much smaller.

DC is also the #5 metro area for F500 HQs. You have Capital One, Hilton, Marriott, Choice, Boeing, etc. 20 HQs in total.

Bullshit. Hitting that number in “7-8” years as a law partner requires earning $3 million a year, spending none of it and paying no taxes.

Dude...you are a bit unhinged...you do realize you don't go from $0 to $3MM per year right? You are earning many hundreds of thousands and maybe over a $1MM for years even before making equity partner, and investing a bunch of that.

That isn’t right. Say you make equity partner in 10 years. You are making $500,000 or less the first five. And probably less than a million for all of it. Most have law school debt and even if they don’t, are saving for a down payment and paying for day care and schools

What do you mean it isn't "right"? Most people making $500k per year can save at least $100k of that...probably even more. Now you are slowly moving up towards $1MM and continuing to save more...assume normal investment returns...now you make equity partner and are making $3MM+ (or maybe $5MM or maybe more). Once you hit partner you are saving like $1MM per year, and again it's all compounding.

So maybe they don't hit a $20MM NW at 8 years...maybe it takes 10 or maybe 12 or 15. The point is you can definitely get there from being a BigLaw partner and DC has an outsized share of BigLaw partners.

Oh ok, now I get it. You were wrong before and you’ve corrected yourself and now say it takes twice as long as you said.

The more time it takes the higher the risk of falling of the wagon, so to say. Making it to this level doesn't mean you keep going and have this consistency for many years ahead. Some people burn out, others make stupid decisions, and business may not always be going well every year. IDK much about law, maybe it's immune from the economic recessions or localized recessions.

[Anonymous]

Anonymous wrote:

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Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:It maybe feels low to you because I am sure the distribution is very clustered.

I bet 90% of those people live in only like 10 metro markets in the US.

Statewise, it would be Florida, New York and California.

Correct...but in the DC area you have an outsized concentration of law partners as an example who can hit that level after just like 7-8 years of partner earnings.

However, outside of DC and NYC and like SF/LA, the BigLaw market is actually much smaller.

DC is also the #5 metro area for F500 HQs. You have Capital One, Hilton, Marriott, Choice, Boeing, etc. 20 HQs in total.

Bullshit. Hitting that number in “7-8” years as a law partner requires earning $3 million a year, spending none of it and paying no taxes.

Dude...you are a bit unhinged...you do realize you don't go from $0 to $3MM per year right? You are earning many hundreds of thousands and maybe over a $1MM for years even before making equity partner, and investing a bunch of that.

That isn’t right. Say you make equity partner in 10 years. You are making $500,000 or less the first five. And probably less than a million for all of it. Most have law school debt and even if they don’t, are saving for a down payment and paying for day care and schools

What do you mean it isn't "right"? Most people making $500k per year can save at least $100k of that...probably even more. Now you are slowly moving up towards $1MM and continuing to save more...assume normal investment returns...now you make equity partner and are making $3MM+ (or maybe $5MM or maybe more). Once you hit partner you are saving like $1MM per year, and again it's all compounding.

So maybe they don't hit a $20MM NW at 8 years...maybe it takes 10 or maybe 12 or 15. The point is you can definitely get there from being a BigLaw partner and DC has an outsized share of BigLaw partners.

We know so many big law partners and not one has $20M. I know they are out there, and could guess a few at my old firm, but not in the dozens we are friends with. This includes a few dual partners.

You're responding to a known weirdo who likes to calculate how people can hoard wealth if they live frugally with their high salaries. That poster always needs to be reminded that people earning a lot are by and large NOT frugal. They buy several homes, indulge in luxury travel, pay for expensive privates for their multiple kids, and if very foolish, cheat on their wives and end up with very painful child support and alimony.

So no, lots of high earners do not have the very high net worth that others might expect.

I don't know that high earners "by and large [are] NOT frugal". Some of us in the law in particular want out as fast as possible, and we had a sizeable networth before even making partner. A couple of years where you can keep throwing $1-2m into your portfolio on top of millions you already have at work can get you to big numbers fast. I have no idea how much other high earners save, but I agree that the ones who cheat on their wives and are paying alimony and child support and private school tuition are probably not doing so well.

The question is how many of these people you believe exist in the United states, and you cannot extrapolate this number by looking at your immediate area that may have over-saturation of law partners. Even then I doubt 7 figure earners who had been doing this for many years to accumulate this wealth even if invested without overspending or doing stupid sh** is high percentage wise compared to the rest of the population.

That's probably true, but some jobs, like in the law, are a grind. Some of us have been working on our exit plan since year 1. Every stupid thing you do equates to another year of grinding. I'll quit before making it to $20m, but I'll make it to $10m, and no one I work with knows what I have saved. I'm sure there are others like me.

[Anonymous]

I retired early a decade ago as an equity partner in one of the top Biglaw firms in DC. It's one that everyone who knows DC law firms has heard of. My experience is a little dated, obviously, and the average equity partner now surely makes a lot more than they did then, but still . . .

I find the "weirdo" who has been posting here about Biglaw equity partners in the DMV easily accumulating $20+ million net worths amusing. Whoever that is is clearly not a Biglaw partner himself and doesn't know very many either. They mention the Kirkland lawyer, but of course equity partners there make a lot more money than at virtually any other firm and making equity partner there is also extremely difficult -- so they're real outliers.

Law firms aren't handing out $3-5 million to the average equity partner in DC Biglaw. The average partner is making about half that, many are making less, and the top partners are making much more. The American Lawyer publishes average profits per partner, the median number, and the median is almost always lower than the mean. Then there's taxes, both federal and state, which are enormous, expensive homes, private schools, you name it.

I know a handful of "frugal" partners, but not many. The majority have pretty high end taste, and pay for it. It's also not in the nature of most partners to work their asses of for 60 or 70 hours a week and not spend their money -- or allow their spouses and kids to spend it. Very few look to retire early.

Etc.

[Anonymous]

Anonymous wrote:I retired early a decade ago as an equity partner in one of the top Biglaw firms in DC. It's one that everyone who knows DC law firms has heard of. My experience is a little dated, obviously, and the average equity partner now surely makes a lot more than they did then, but still . . .

I find the "weirdo" who has been posting here about Biglaw equity partners in the DMV easily accumulating $20+ million net worths amusing. Whoever that is is clearly not a Biglaw partner himself and doesn't know very many either. They mention the Kirkland lawyer, but of course equity partners there make a lot more money than at virtually any other firm and making equity partner there is also extremely difficult -- so they're real outliers.

Law firms aren't handing out $3-5 million to the average equity partner in DC Biglaw. The average partner is making about half that, many are making less, and the top partners are making much more. The American Lawyer publishes average profits per partner, the median number, and the median is almost always lower than the mean. Then there's taxes, both federal and state, which are enormous, expensive homes, private schools, you name it.

I know a handful of "frugal" partners, but not many. The majority have pretty high end taste, and pay for it. It's also not in the nature of most partners to work their asses of for 60 or 70 hours a week and not spend their money -- or allow their spouses and kids to spend it. Very few look to retire early.

Etc.

Exactly what I've been saying. But the person you're referring to is a poster who frequently pops up to claim farcical things about high earners and high net worth people.

I have no idea what their problem is, but they always post nonsense.

[Anonymous]

Anonymous wrote:I retired early a decade ago as an equity partner in one of the top Biglaw firms in DC. It's one that everyone who knows DC law firms has heard of. My experience is a little dated, obviously, and the average equity partner now surely makes a lot more than they did then, but still . . .

I find the "weirdo" who has been posting here about Biglaw equity partners in the DMV easily accumulating $20+ million net worths amusing. Whoever that is is clearly not a Biglaw partner himself and doesn't know very many either. They mention the Kirkland lawyer, but of course equity partners there make a lot more money than at virtually any other firm and making equity partner there is also extremely difficult -- so they're real outliers.

Law firms aren't handing out $3-5 million to the average equity partner in DC Biglaw. The average partner is making about half that, many are making less, and the top partners are making much more. The American Lawyer publishes average profits per partner, the median number, and the median is almost always lower than the mean. Then there's taxes, both federal and state, which are enormous, expensive homes, private schools, you name it.

I know a handful of "frugal" partners, but not many. The majority have pretty high end taste, and pay for it. It's also not in the nature of most partners to work their asses of for 60 or 70 hours a week and not spend their money -- or allow their spouses and kids to spend it. Very few look to retire early.

Etc.

So…the Kirkland equity partner is likely worth $20MM+. Funny how you admit the one actual example is true.

Cravath equity partners average $4MM-$8MM per year. I know an equity partner there as well.

Perhaps I define BigLaw more narrowly to refer to Kirkland, Cravath, Latham and firms of similar prestige.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I retired early a decade ago as an equity partner in one of the top Biglaw firms in DC. It's one that everyone who knows DC law firms has heard of. My experience is a little dated, obviously, and the average equity partner now surely makes a lot more than they did then, but still . . .

I find the "weirdo" who has been posting here about Biglaw equity partners in the DMV easily accumulating $20+ million net worths amusing. Whoever that is is clearly not a Biglaw partner himself and doesn't know very many either. They mention the Kirkland lawyer, but of course equity partners there make a lot more money than at virtually any other firm and making equity partner there is also extremely difficult -- so they're real outliers.

Law firms aren't handing out $3-5 million to the average equity partner in DC Biglaw. The average partner is making about half that, many are making less, and the top partners are making much more. The American Lawyer publishes average profits per partner, the median number, and the median is almost always lower than the mean. Then there's taxes, both federal and state, which are enormous, expensive homes, private schools, you name it.

I know a handful of "frugal" partners, but not many. The majority have pretty high end taste, and pay for it. It's also not in the nature of most partners to work their asses of for 60 or 70 hours a week and not spend their money -- or allow their spouses and kids to spend it. Very few look to retire early.

Etc.

So…the Kirkland equity partner is likely worth $20MM+. Funny how you admit the one actual example is true.

Cravath equity partners average $4MM-$8MM per year. I know an equity partner there as well.

Perhaps I define BigLaw more narrowly to refer to Kirkland, Cravath, Latham and firms of similar prestige.

There are only 5 Cravath partners in DC . . .

[Anonymous]

Anonymous wrote:

Anonymous wrote:I retired early a decade ago as an equity partner in one of the top Biglaw firms in DC. It's one that everyone who knows DC law firms has heard of. My experience is a little dated, obviously, and the average equity partner now surely makes a lot more than they did then, but still . . .

I find the "weirdo" who has been posting here about Biglaw equity partners in the DMV easily accumulating $20+ million net worths amusing. Whoever that is is clearly not a Biglaw partner himself and doesn't know very many either. They mention the Kirkland lawyer, but of course equity partners there make a lot more money than at virtually any other firm and making equity partner there is also extremely difficult -- so they're real outliers.

Law firms aren't handing out $3-5 million to the average equity partner in DC Biglaw. The average partner is making about half that, many are making less, and the top partners are making much more. The American Lawyer publishes average profits per partner, the median number, and the median is almost always lower than the mean. Then there's taxes, both federal and state, which are enormous, expensive homes, private schools, you name it.

I know a handful of "frugal" partners, but not many. The majority have pretty high end taste, and pay for it. It's also not in the nature of most partners to work their asses of for 60 or 70 hours a week and not spend their money -- or allow their spouses and kids to spend it. Very few look to retire early.

Etc.

So…the Kirkland equity partner is likely worth $20MM+. Funny how you admit the one actual example is true.

Cravath equity partners average $4MM-$8MM per year. I know an equity partner there as well.

Perhaps I define BigLaw more narrowly to refer to Kirkland, Cravath, Latham and firms of similar prestige.

What an idiot.

[Anonymous]

Anonymous wrote:Is it true that only 280,000 people in the US have a net worth over $20 million? That seems low. Is that an old figure from before the stock market went bananas?

Why, OP? Because there are like 3 of you hanging out on this forum and posting how easy it must be to accumulate this wealth we should assume that everybody and their mother is loaded?

What do we do with various statistics of how most US households are a job loss away from being destitute and don't even have a few months of savings available to them? Or people who are close to retirement and have less than 500K NW? 280k is less than 1% of total US population, it sounds about right to me. There are millions of low millionaires but 20 mil is a different level that's much harder to achieve because vast majority of people aren't good at investing without panic or creating successful businesses or earning 7 figures.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Is it true that only 280,000 people in the US have a net worth over $20 million? That seems low. Is that an old figure from before the stock market went bananas?

Why, OP? Because there are like 3 of you hanging out on this forum and posting how easy it must be to accumulate this wealth we should assume that everybody and their mother is loaded?

What do we do with various statistics of how most US households are a job loss away from being destitute and don't even have a few months of savings available to them? Or people who are close to retirement and have less than 500K NW? 280k is less than 1% of total US population, it sounds about right to me. There are millions of low millionaires but 20 mil is a different level that's much harder to achieve because vast majority of people aren't good at investing without panic or creating successful businesses or earning 7 figures.

It’s estimated that 40% of Nvidia’s workforce is worth $20MM or more…that’s like 15,000 people at just one company.

Now extrapolate to all these tech companies that have seen huge stock runs over the last several years…not to mention OpenAI is private and is valued at $250BN, so you have hundreds there worth at least $20MM on paper…as well as at all these other AI companies.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I retired early a decade ago as an equity partner in one of the top Biglaw firms in DC. It's one that everyone who knows DC law firms has heard of. My experience is a little dated, obviously, and the average equity partner now surely makes a lot more than they did then, but still . . .

I find the "weirdo" who has been posting here about Biglaw equity partners in the DMV easily accumulating $20+ million net worths amusing. Whoever that is is clearly not a Biglaw partner himself and doesn't know very many either. They mention the Kirkland lawyer, but of course equity partners there make a lot more money than at virtually any other firm and making equity partner there is also extremely difficult -- so they're real outliers.

Law firms aren't handing out $3-5 million to the average equity partner in DC Biglaw. The average partner is making about half that, many are making less, and the top partners are making much more. The American Lawyer publishes average profits per partner, the median number, and the median is almost always lower than the mean. Then there's taxes, both federal and state, which are enormous, expensive homes, private schools, you name it.

I know a handful of "frugal" partners, but not many. The majority have pretty high end taste, and pay for it. It's also not in the nature of most partners to work their asses of for 60 or 70 hours a week and not spend their money -- or allow their spouses and kids to spend it. Very few look to retire early.

Etc.

So…the Kirkland equity partner is likely worth $20MM+. Funny how you admit the one actual example is true.

Cravath equity partners average $4MM-$8MM per year. I know an equity partner there as well.

Perhaps I define BigLaw more narrowly to refer to Kirkland, Cravath, Latham and firms of similar prestige.

There are only 5 Cravath partners in DC . . .

You just answered the question I was about to ask. Which is how many equity partners these firms have

[Anonymous]

Anonymous wrote:

Anonymous wrote:Is it true that only 280,000 people in the US have a net worth over $20 million? That seems low. Is that an old figure from before the stock market went bananas?

Why, OP? Because there are like 3 of you hanging out on this forum and posting how easy it must be to accumulate this wealth we should assume that everybody and their mother is loaded?

What do we do with various statistics of how most US households are a job loss away from being destitute and don't even have a few months of savings available to them? Or people who are close to retirement and have less than 500K NW? 280k is less than 1% of total US population, it sounds about right to me. There are millions of low millionaires but 20 mil is a different level that's much harder to achieve because vast majority of people aren't good at investing without panic or creating successful businesses or earning 7 figures.

No one who posted they have this level of wealth said it was easily replicable by others. That's the crux of it. You can't go back in time and buy Apple stocks at a dime a dozen like I did. If you want to do the same, you can't, because Apple has reached maturity and is now too expensive, and you have to take a risk like I did and pick the next big winner. Not easy!!! Although in more recent years I've had good luck with all the famous tech stocks (Amazon, Alphabet, Netflix, etc). Sold Tesla once the idiot made his Nazi salute. I'm live and let live, but certain things are beyond the pale. And no, besides marriage or lottery, no one gets rich overnight.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Is it true that only 280,000 people in the US have a net worth over $20 million? That seems low. Is that an old figure from before the stock market went bananas?

Why, OP? Because there are like 3 of you hanging out on this forum and posting how easy it must be to accumulate this wealth we should assume that everybody and their mother is loaded?

What do we do with various statistics of how most US households are a job loss away from being destitute and don't even have a few months of savings available to them? Or people who are close to retirement and have less than 500K NW? 280k is less than 1% of total US population, it sounds about right to me. There are millions of low millionaires but 20 mil is a different level that's much harder to achieve because vast majority of people aren't good at investing without panic or creating successful businesses or earning 7 figures.

It’s estimated that 40% of Nvidia’s workforce is worth $20MM or more…that’s like 15,000 people at just one company.

Now extrapolate to all these tech companies that have seen huge stock runs over the last several years…not to mention OpenAI is private and is valued at $250BN, so you have hundreds there worth at least $20MM on paper…as well as at all these other AI companies.

You might have answered your own question here. 1) the stats apparently consider "investable capital", I am not sure if company stock is this. 2) Nvidia had breakaway returns that do not reflect "all other" tech companies. Is there some tech sector stock market boom I am not noticing? Most large companies do not allocate much in terms of options for newer employees, and the number of old employees isn't as high as you think. AI thing is iffy and so far it's more about investment into it vs returns.. Returns might be dubious

How many people with liquid capital of 20 mil are there in your opinion?