Reply to Why are people so hesitant to call themselves rich/wealthy when they are by any definition?

Forum Index » Money and Finances

Reply to "Why are people so hesitant to call themselves rich/wealthy when they are by any definition?"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous]To me, terms like "rich" and "wealthy" have more to do with net worth than income.

Someone who has $20M in investments, doesn't work, and lives strictly off the income is still much richer than someone who makes $1M a year and spends nearly all of it on mortgages, childcare, staff, vacations, etc.

I don't really care how much money you make. I'd rather know what your net worth is. But obviously that is taboo and something people never talk about, lol.[/quote]

Agreed, we have an HHI of 650K (but only since 2021), before that it was 400K for last 2 years, and 250K before that. We have a chance to build wealth, but honestly our NW is $3M (including house equity) in mid to late 40's because we came to US for grad studies and started very late, had to pay off grad school debts etc.. So yes, if you look at our income you would call us very rich, but networth not so much.. I call ourselves as financially secure, not quite rich. Our home is barely worth $1M and kids go to public schools in MCOL.

Having a $1M HHI for two decades vs two recent years is very very different. Networth is a much much better measure[/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics