How Much Money Do You REALLY Need To Be Rich?

It’s an age-old question guaranteed to prompt debate: How much money do you truly need to feel wealthy? A new study shows that Americans believe that magic figure to be $2.2 million, yet the actual answer is much lower. The Modern Wealth Survey, conducted by investment firm Charles Schwab, found that respondents assumed they would need millions to be considered wealthy. Some 57% — aged 26 to 41 — said they felt wealthy, with the average net worth of the millennials who felt rich being $531,000. Meanwhile, 46% of Generation Z individuals — aged 21-25, said they felt wealthy, with an average net worth being $414,000. Only 40% of Baby Boomers — aged 58 to 75 — said they felt wealthy, but their threshold for wealth was higher than any other group at an average of $692,000. In 2021, Americans considered $1.9 million enough money to feel wealthy, while red hot inflation and the increased cost-of-living shot the figure up to $2.2 million in 2022, where it remains today. Almost half of the respondents said that being able to afford a lifestyle similar to that of their friends made them feel wealthy, while 70% said “wealth” simply meant not having to worry about money, rather than having a large bank account.