How much $ (net worth) is considered rich?

[cloneteach]

I think this is also dependent on age and family. If you only have to support yourself right now it will require less money and in turn could make you more "rich". Once a family shows up then you will need more money. A couple years removed from college I find myself with no debt (student loans, car, credit card, etc) and a decent savings. I consider myself very fortunate but maybe not rich at this point.

 

[brianhos]

When I can comfortable quit work. For me that probably between 500k to 1mil. Rich is more of a state of mind than a financial position. In my opinion so is poor.

How exactly could you quit work with 500K?

 

[brianhos]

Very true. There are millions of people in 3rd world countries that would probably consider most of us on this board to be rich.

Personally, if you have just a million bucks in net worth Id consider you rich.

$1M in net worth is not all that uncommon. If you invest in a 401k and let it grow for years and years, you can easily get there on just that. Add in the value of your house, other investments, other assets. I bet there are more millionaires than you think.

 

[CycloneYoda]

You need to qualify what debt you're talking about though. There are tons of rental real estate owners out there who are making good cash flow off of that even though in many cases still have a loan on the property.

No CC debt
No student-loan debt
No car loans


All I have is a 14 years to go on my house.

 

[BryceC]

No CC debt
No student-loan debt
No car loans


All I have is a 14 years to go on my house.

I'm actually in the same boat as you - no student loans, cc debt or car loans, and I won't have anything else and I feel rich. As those of said, it's kind of a state of mind. If you have no debt your earnings go a lot further.

 

[CycloneYoda]

I'm actually in the same boat as you - no student loans, cc debt or car loans, and I won't have anything else and I feel rich. As those of said, it's kind of a state of mind. If you have no debt your earnings go a lot further.

Add on the fact that I have no cell phone bill, no cable bill, and only buy salvage cars from a trusted family friend, things are looking good. Money goes into savings each month. Money goes into IRA each month. Money goes to my kid's education fund each month. I know how to build things I need. I know how to grow food.

I am rich.

 

[brianhos]

No CC debt
No student-loan debt
No car loans


All I have is a 14 years to go on my house.

And once you cross that line where you have 0 debt, you realize now you have to save for retirement, college for the kids, rainy day fund, etc.

 

[CycloneYoda]

And once you cross that line where you have 0 debt, you realize now you have to save for retirement, college for the kids, rainy day fund, etc.

Already planned for. I have been saving for retirement since I was 18.


And I still have enough left over to take island vacations each year.

 

[Ficklone02]

A combination of keeping unsecured debts low, building cash flow assets & contributing to your 401k to get the match seems like a winning combination to me.

 

[CtownCyclone]

Add on the fact that I have no cell phone bill, no cable bill, and only buy salvage cars from a trusted family friend, things are looking good. Money goes into savings each month. Money goes into IRA each month. Money goes to my kid's education fund each month. I know how to build things I need. I know how to grow food.

I am rich.

And living in the dark ages - no cell phone? No cable? Junker cars?

Actually, kudos to you for resisting the temptations. My only debt is the house, plus I contribute the IRS maximum into my 401k. Combined with company match and profit sharing (yay!), I am on my way! Now only how many years until retirement :twitcy:

 

[CycloneYoda]

And living in the dark ages - no cell phone? No cable? Junker cars?

Actually, kudos to you for resisting the temptations. My only debt is the house, plus I contribute the IRS maximum into my 401k. Combined with company match and profit sharing (yay!), I am on my way! Now only how many years until retirement :twitcy:

The cars are not junkers. Well, the 1993 Escort is, but the fact that it was a salvage and still runs is quite amazing. The Jetta has nothing wrong with it, and my truck will be ready in June.


As for living in the dark ages, I said it before and I'll say it again: I'm like Pol Pot, but without all the killings.

 

[M3MEPLEASE]

$1M in net worth is not all that uncommon. If you invest in a 401k and let it grow for years and years, you can easily get there on just that. Add in the value of your house, other investments, other assets. I bet there are more millionaires than you think.

You're right, especially in states like California. But Id still consider most of them to be rich assuming they don't have any debt.

I guess I don't really view the term "rich" like some may view it. I think there is a big difference between being rich and being wealthy.