According to a recent study, you would need to make at least $260,958 a year to ...
This comment was posted to reddit on Jan 18, 2023 at 5:58 am and was deleted within 11 hour(s) and 59 minutes.
According to a recent study, you would need to make at least $260,958 a year to be considered rich in Houston.
These things don't have great definitions, but here's how I've always personally viewed things:
Ultra-wealthy (subset of the upper class): no need to work, net worth of $100M-$1B+ common. Your spouse runs a business that loses $100k/month for fun. Generational wealth, with no need for your kids to ever work and probably not their kids either.
Upper class: no need to work, income primarily generated from investments, net worth of $5M-$50M, typically about $10M. The typical person here with a net worth of $10M generates a passive income of $400k/year forever, doing absolutely nothing.
Upper middle class: corporate executives, top lawyers, surgeons. Incomes of $500k-$1M/year common. Typical net worth under $5M, either due to spending or just not enough time on the clock for investments to accumulate. Some could retire early, but choose not to because they couldn't maintain their lifestyle.
Middle class: the bulk of the country, incomes ranging from $50k-$250k. Defined by living comfortably, but being totally reliant on an income with limited assets. Net worth under $1M typical. If net worth over $1M, then it's often tied up in home equity or otherwise illiquid. Limited to no ability to generate passive income.