this post was submitted on 18 Dec 2024
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What does it take in terms of assets, abilities, and/or income for you to consider them wealthy?

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[–] RememberTheApollo_ 7 points 1 day ago* (last edited 1 day ago) (1 children)

Nobody wants to give a hard number?

I’ll say six million dollars earning ~5%/year. That’s $300k/yr before taxes. Assuming long-term investments, that’s 15% gains tax, so take $45k for taxes (fed), no idea what state will be because they’re all different, so just round it down to $250k year income in your pocket.

$250k/yr isn’t a lot of money…(I can hear the wtf’s…just hang on)…out of that has to come all your expenses including medical insurance in the US, your mortgage, car payments, etc.

This is not “fuck you” money. This is living an upper middle class lifestyle. You’ll have nice cars but not crazy nice. A decent house but not a mansion. You can tweak it a little this way or that depending on the CoL of where you live, but not a lot. Yeah, you can earn more in interest, but I was being conservative.

You’re rich because you don’t have to lift a finger to enjoy it, and you have the time to enjoy it.

Want closer to fuck you money with the above conditions? Try $20 million in the investments at 5%. That’ll get you a million a year before tax.

[–] olafurp 1 points 1 day ago (1 children)

I agree my threshold is a bit lower and roughly comes out as getting 100k a year before tax so $2m.

[–] RememberTheApollo_ 3 points 1 day ago

Everyone is going to have different lifestyle wants. My low number might be too low for many, they might think living more lavishly would be more “rich”. I figured my numbers are adequate to live a moderate lifestyle and have no serious money worries. No Ferraris, of course, but a top trim level Honda no problem or a good BMW with some budgeting.

The real luxury is not having to work.