How to Tell if You're Rich

EXCELLENT

I have been a democrat my whole life and have to agree with that comment. seems as though he is way too left of any normal agenda that ANY past US President has had. kind of scary that so many people are voting for him considering the issues at hand and his views.

DEMOCRATS AGAINST OBAMA of NY @ Oct 29, 2008 15:17:27 PM

rich, bills and wants

Rich? The "average" person has a car payment, thousands in credit card bills and a several toys occupying thier garage And why does a parent need to pay for his or hers childs education. I did just fine working two jobs and attending school. Todays kids are spoilded. I know I appreciate and have worked for all I have. No wonder so much money is needed to be rich.

My wife and I live in CA where the cost of living is high yet we are not rich by the stated chart and make far less. Our cars are paid for because we save and pay cash, we only charge on a credit card what we can pay off each month and we are happy. The "average" American needs to look at themselves and balance their lifestyles as well as their pocket book. Thus, less money would be required to be "rich".

not rich in CA of CA @ Oct 29, 2008 12:36:48 PM

It's all relative ...

I've lived off $10,000 a year in Ann Arbor Michigan (as a grad student), $85,000 a year in my first year on Wall Street, and now over $2 million a year in my last year.

At each of these stages, I had what I wanted, enough for rent, high quality organic foood, a nice suit, good wine, a movie whenever I felt like it, and all the books and music I wanted to read and hear.

And most importantly, I was happy at each stage ... and now we'll see if I can live again on the $10,000 -- easy come, easy go.

of NY @ Oct 20, 2008 09:35:56 AM

Rich is as Rich Does

Rich isn't defined by income; it's defined by assets. You might have a negative income, but be able to live on your assets for 3 lifetimes. And live well. Isn't that more "rich" than having to work? I find this article to be somewhat insipid.

Beargulch of CA @ Oct 19, 2008 21:24:41 PM

Problem using averages in this analysis

The use of averages in this article skews the results because of outliers. The average income for the top 5% of earners is misleading. Say there are 100 people and the top five earners had incomes of 200K, 200K, 200K, 200K, & 800K, thier average income would be 320K. The 800K outlier paints an inaccurate picture of the income of the top 5% (the median income of the top 5% is 200K).

So while mildly interesting the numeric analysis of what one needs income to "feel" rich is not acurate in this article.

Jason O'Connell of MA @ Oct 16, 2008 21:01:34 PM

... but not everyone lives in cities

This data is very interesting, but of course, not everyone lives in cities, even relatively small ones like Omaha. What does it take to be rich out in the country, like say 30 miles outside Roanoke, Virginia? Also, income alone does not define rich.

Some, who got to be rich the old fashioned way, i.e. they live on the money their grandfather or great-grandfather earned, don't earn much, except for dividends and capital gains on inherited money.

I think that what it really takes to be rich is to earn more than you spend, and to be able to continue to do that after the recent stock market melt down. By my definition, some very rich people don't earn anything close to $200k per year.

Unfortunately, these are still the people that have to be taxed, because they are the only group that reliably has the money to pay their taxes and end up supporting a lot of less deserving people regardless of whether the president is John McCain or Barak Obama and whether the congress is controlled by Democrats or by Republicans. It's just the way it is and always has been.

Ron of VA @ Oct 15, 2008 16:45:19 PM

rich = income > expenses

If you have enough income to purchase what you need + what you want and will have sufficient income to do this for the rest of your life (which is more a measure of net worth than just income), then you're financially rich.

But as Bud Fox asks in the movie Wall Street, "How many yachts can you water ski behind, Mr. Gekko?"

Being rich has less to do with income and more to do with the ability to find & feel happiness.

res1878 of NE @ Oct 15, 2008 13:11:36 PM