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[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]You are not rich. It’s all relative though. A $1.8 million house is middle class in my area. [/quote]

That's not middle class. Grow up and understand what middle class is.[/quote]

It's upper middle, so? It's still not rich.  She can't live off this money not to mention live well.  Money in your house equity (where you have to live) and in your retirement accounts is not accessible without penalties.

You can FIRE with less NW than OP, sure, but this means sacrifices and scrimping on lifestyle usually, esp. in HCOLA. 
BUT
There is a point where there is enough wealth to have a nice home and even a second home, retirement savings and also have investment vehicles returning income you can live on, so that you do not rely on working. People can argue all day long how you can be working with 20 mil and have all of it buried in primary/second home and retirement accounts and I don't think it's quite realistic.  Once you exceed a threshold of what a nice home in a good area costs you will not be likely upgrading endlessly to gobble up all your growing wealth (unless you are extremely stupid or won a lottery).  Someone with 20 mil NW isn't going to buy 10-15 mil in RE to occupy themselves and have insane 401K, right? think. At some point your wealth spills into the active income producing investments and when it happens then you are truly financially independent but also comfortable and live well and can call yourself rich.

[/quote]

It's the minimum price at which homes start getting nice but there is still compromise (either a new house in a less than premium area or an older home in a premium area).  There is nothing upper class about 2 mil homes in HCOLA.  It's definitely solid UMC though.  If you want no compromise you'd need about 4 mil for a really nice house in DC metro. You also may want to spend another 1-2 mil on a second home, which would objectively satisfy needs for comfort and luxury.  Then you allocate enough money to your investment portfolio to return 5% without investing being a job and worrying about risk. with 10 mil of income returning wealth you can have passive income of 500K a year taxed at cap gains rate, enough to maintain your homes, take vacations and live rather comfortably.  This isn't 401K wealth you cannot touch until 65, it's the money you have in investments or income producing assets like rentals, business, etc. It's what you can live on if you want to feel "rich".  I'd say this would require NW of about 15 mil outside of 401K.

This is my definition of when *I think* most people would objectively feel rich.  This doesn't describe my personal situation or personal opinion when I would feel rich myself, which for me mainly concerns financial independence to not have to work even if lacking luxury described above.[/quote]

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