How wealthy do you feel?

[SteveR]

Here is a dictionary.com definition of "wealthy":

having an abundant supply of money or possessions of value; "an affluent banker"; "a speculator flush with cash"; "not merely rich but loaded"; "moneyed aristocrats"; "wealthy corporations" [syn: affluent]

Or perhaps "rich":

1. well-to-do, moneyed. Rich, wealthy, affluent all indicate abundance of possessions. Rich is the general word; it may imply that possessions are newly acquired: an oilman who became rich overnight. Wealthy suggests permanence, stability, and appropriate surroundings: a wealthy banker. Affluent usually suggests a generous amount of income, with a high standard of living and some social prestige and privilege: an affluent family. 5. bountiful, copious, luxuriant. 7. precious, high-priced, dear. 12. intense, vibrant. 14. aromatic. 15. fruitful, productive, prolific, luxuriant. 16. bountiful, copious, abounding, bounteous.



"Wealthy suggests permanence, stability, and appropriate surroundings"

While:
"Rich is the general word; it may imply that possessions are newly acquired"

So...it would appear that new money is Rich while old money is Wealthy.

Most of us would fall into the new money area as our wealth was earned in our lifetime rather than inherited or gotten through some sudden and unexpected means (lottery etc.)

"Affluent usually suggests a generous amount of income, with a high standard of living and some social prestige and privilege"

I would classify myself as moderately affluent rather than rich or wealthy. I guess some would say where I live would suggest a high standard of living...not rich and not wealthy...but well to do and affluent. The rich folks live a couple of miles away in the multimillion dollar mansions. Some are wealthy and some are just rich. Not sure which is which.

 

[kramer]

I feel very wealthy. I live in the USA and I am middle class, that makes me wealthy. I am also semi-retired so I feel very wealthy. Most of the world can't afford a car, basic health care, or even potable water. The average housing square footage per person in the US has almost tripled in the last 60 years. Now, most poor people in the US have dishwashers, car, A/C, access to inexpensive clothing/shoes, etc., something that was not true as little as 40 years ago.

I was watching the History Channel and they were talking about a Roman Emperor who died a painful death of gout. Man, I wouldn't have wanted to change places with him. I was learning about the Jamestown settlement and the tools they used for dental care -- one was a twisting tool to remove the tooth. But the roots would remain, and they had a tool to scratch and pull out the remaining roots. There was no anathesia. When I was 29, I had a serious infection in my right elbow -- 100 years ago I probably would have lost my arm. I wear contacts (which improve my vision from 20/300 to 20/20), an invention I couldn't have even imagined.

I have the world's information at my fingertips with the internet. My life is much different than it would have been even thirty years ago. I have access to the best health care. I don't even have to go to work everyday anymore. I am about to travel the world and finances are not an issue. I can access over a million songs and play them on a one ounce MP3 player and access them all over the world for about $60 per year subscription. I can fly round trip to another continent for what I used to make in 2 days labor, something most of the world can only dream about, and something that past generations could not have even imagined. I have a US passport (the blue pass) meaning I can travel almost anywhere with few restrictions while most of the world cannot.

I consider myself very, very fortunate and very wealthy and am very thankful for it. And I hope I can help others achieve/approach the same someday, too. I think about this often and I walk with a skip in my step just thinking about how fortunate that I am.

Kramer

 

[DangerMouse]

Surprisingly for me, I never spend any time thinking about whether or not I am wealthy. I know I do feel fortunate to be in our current circumstances, I know my life has been easier and my opportunites greater than my parents.

 

[kumquat]

I asked myself 'do you feel wealthy', the answer I got was 'no'. If I ask myself where I stand economically vs. the average person in the world, I have to change the answer. If I ask myself what assets I have vs. the average North American, I have to change the answer.

It boils down to the definition of 'wealthy'. The first 'no' came because I don't have 4 residences, a private jet, maid and driver, etc. etc. The changed answer came because I don't have to work.

 

[brewer12345]

Or perhaps "rich":

14. aromatic.

Heh, then I am definately rich.

 

[Traveler]

Great posts. I especially like the one from Kramer. Being a U.S. citizen, having more than enough good food to eat, clean water to drink, not wanting for anything makes us extremely well off and very, very fortunate.

 

[Donzo]

I remember a couple years ago while driving home from the airport I was thinking about what I would do w/ my family over the weekend -- I had this realization that I was wealthy. Having alot of money in the bank, no debt and a large income....it was a great feeling.

Since I retired I feel very fortunate....lucky -- not wealthy. I gave up the feeling of wealth for the feeling of freedom, a good trade.
But, if I spent alot of time worrying...that would be a bad trade -- fortunately that has not been the case

 

[Moemg]

I think someone who was wealthy wouldn't cringe at paying $50,00 for a car or $200.00 at a restaurant .So since that's not me .I don't feel wealthy even though I know I'm FI .

 

[HFWR]

In my opinion it is that our fears and other emotions steal our happiness. We live in a hell of our own making.

<Insert two thumbs up emoticon here>

 

[Sam]

I feel very wealthy. I live in the USA and I am middle class, that makes me wealthy. I am also semi-retired so I feel very wealthy. Most of the world can't afford a car, basic health care, or even potable water. The average housing square footage per person in the US has almost tripled in the last 60 years. Now, most poor people in the US have dishwashers, car, A/C, access to inexpensive clothing/shoes, etc., something that was not true as little as 40 years ago.

I was watching the History Channel and they were talking about a Roman Emperor who died a painful death of gout. Man, I wouldn't have wanted to change places with him. I was learning about the Jamestown settlement and the tools they used for dental care -- one was a twisting tool to remove the tooth. But the roots would remain, and they had a tool to scratch and pull out the remaining roots. There was no anathesia. When I was 29, I had a serious infection in my right elbow -- 100 years ago I probably would have lost my arm. I wear contacts (which improve my vision from 20/300 to 20/20), an invention I couldn't have even imagined.

I have the world's information at my fingertips with the internet. My life is much different than it would have been even thirty years ago. I have access to the best health care. I don't even have to go to work everyday anymore. I am about to travel the world and finances are not an issue. I can access over a million songs and play them on a one ounce MP3 player and access them all over the world for about $60 per year subscription. I can fly round trip to another continent for what I used to make in 2 days labor, something most of the world can only dream about, and something that past generations could not have even imagined. I have a US passport (the blue pass) meaning I can travel almost anywhere with few restrictions while most of the world cannot.

I consider myself very, very fortunate and very wealthy and am very thankful for it. And I hope I can help others achieve/approach the same someday, too. I think about this often and I walk with a skip in my step just thinking about how fortunate that I am.

Kramer

Well said, Kramer. I too, "feel" very wealthy when I take a broader view of the whole world.

One minor disagreement: We have access to the most expensive health care, not to the best.

 

[Martha]

I moved the discussion on longevity to here: http://early-retirement.org/forums/index.php?topic=14168.0

 

[audreyh1]

I think someone who was wealthy wouldn't cringe at paying $50,00 for a car or $200.00 at a restaurant .So since that's not me .I don't feel wealthy even though I know I'm FI .

No matter how rich you are, you can probably always think of something you can't easily afford. Yes, this would have to be pretty outrageous for the world's richest people, but you can still think of something that costs too much (and then begs the question of why would they ever want to, but that's a whole 'nother issue).

I think one of the "traps" of accumulating wealth is this ever rising bar of what one might be able to afford. A lot of people get caught up in it, feeling like because they can't afford a much bigger house or a top of the line luxury car or to eat out every night at the cities most expensive restaurant, that they are someone not well off. It can become insidious - as soon as one level is achieved, somehow "poof" they become aware of even more extravagant items that aren't quite within their reach "yet". I think this keeps a lot of people working furiously, consuming like crazy, and completely distracted from relaxing and enjoying life.

Enjoying what you do have and being grateful for it (and making the most of it) - you are well on your way to "feeling" wealthy, even if you haven't yet reached FI.

I find it hard to imagine being financially independent (and not struggling to live within one's means), and NOT feeling pretty wealthy. As many have pointed out, that's an unusually fortunate situation across the globe. Ya gotta feel good about it!

Audrey

 

[Milton]

I think someone who was wealthy wouldn't cringe at paying $50,00 for a car or $200.00 at a restaurant .

Have to disagree with you there: wealth does not imply a careless attitude about money. I.e., just because one can easily afford something does not necessarily mean that it is good value for money ... and parvenus excepted, most wealthy people do care about receiving value.

 

[GMueller]

My wife was born and raised in the Philippines. Her mother was a public school teacher and her father was in the military. However, they still found it difficult to keep food on the table – an I mean that literally. Perhaps because her austere childhood, my wife constantly reminds me that “we don’t need that much to be happy.” I am grateful that she helps keep me centered 1) because she is right, and 2) because I am prone to make comparisons, comparisons that seem to always leave me feeling that that I don’t have “enough.” I suppose that human beings are hard-wired to compare themselves to others, and we rarely compare ourselves with those who have less than we do. Rather, we turn our gaze skyward and compare ourselves only with those who are at least a notch higher on the totem pole, making our own wealth seem inadequate by comparison. I have to struggle with this tendency constantly and I am grateful that my wife helps keep me centered. Someone once said, “enough is as good as feast.” I know it is true, but I am still hard-wired to make comparisons. As a result I have worked more years than I probably should have and have probably accumulated more “wealth” than I really need. But, I am now resolved to follow my wife's advice and “pull the plug” at the end of this year. I suppose I will never feel “wealthy” because I will always compare myself with others that have “more.” But, hopefully, I will feel fulfilled, and that is all that matters.

 

[megacorp-firee]

This is an interesting thread. Thanks to all.
IMO wealthy is very personal definition. It means different things to different people. As I have been obsessed focused on whether or not I could FIRE, I have talked to a lot of people about the subject.
Many cannot believe that you can FIRE, mainly because they have bought into the 'American Dream' ... however, the 'chicken in every pot' has turned in to HDTV wall panels, Hummers, x-boxes, cell phones for everyone over the age of 7, ...etc. These people do NOT feel wealthy, the feel entitled. Some others are 'like' (even if they never have experienced it) the old timers who have gone through the depression. They worry (as in the case of the poster who had 4M and was anxious over health insurance expenses) and will probably never feel wealthy ... even with 2 to 3x that amount.
For us that frequent this site, FIRE is goal that many aspire to. We have learned to LBYM and that perspective makes us feel wealthy.... and it doesn't matter if you are one of the 7 figure portfolios or the ones that think that they are ok with 12K a year (if I am remembering that instance correctly) SWR.

For me... life is good .... and yes I think I am (in more ways then financial).

 

[maddythebeagle]

interesting results...50/50.....Reading some other forums with folks that post "Help, I the debt collectors are calling"....it doenst appear that "feeling wealthy" really makes much difference...those folks probably feel wealthy to spend why the folks that save 40%+ of their income probably always have little bit of fear...

 

[MikeD]

One minor disagreement: We have access to the most expensive health care, not to the best.

Hi, just curious as to what healthcare you think is better than the the US's.

Thanks,
Mike D.

 

[Sam]

Mike D,

Martha split this subject into another thread. My answer is there, FWIW.

http://early-retirement.org/forums/index.php?topic=14168.0

 

[lazygood4nothinbum]

where i grew up in new jersey i lived life on the upper side of middle class, residing in a middle, working class neighborhood but spending weekends boating on a 40 footer with my parents. in st. croix we lived the rich life, commuting between our beachfront condo and the boat at the marina, passing by all the hovels along the way. since we came to south florida, i have lived on the poorer side of great wealth. my measly million dollar inherited house surrounded by multi-million dollar mini-mansions and a smattering of 10 to 15k sq ft actual mansion (even those small in comparison to what else can be found here). my bike ride from my house to the beach takes me past at least a few hundred million dollars worth of private boats.

lately i hadn't been feeling wealthy. i think until florida decides what to do with property taxes the market will continue to stagnate here. between my house & the inherited one i'm already down a few $100k from where i thought i'd be by now.

yesterday i took an old friend of my mom's to lunch. picked her up in my $34k vertible gt & i was driving about the cheapest car in town. took her to one of my old friend's popular restaurants where lunch is never under $35 for two. on the way back from lunch, mom's friend wanted to stop off and check out the model apartment of a new building near her's where units start at $2mm.

last night i plugged in the newly expected lower numbers into firecalc and found out that i'm still in good shape. apparently being down a few $100k averages out over a 38 year payout. then this morning i did one of my sunrise beach walks.

the sidewalk was pretty busy this morning with wealthy joggers already sweating and the homeless waking up from behind dunes and from out of the brush. just a few tourists by the look of their shirts and hats. a haitian woman soaped herself up at one of the showers meant to rinse off the salt or cool down. she lived out of a nearby shopping cart, not quite all the comforts of home.

after about 2 or 3 miles i headed back to the car because i noticed my arthritic foot acting up. i was glad that at least i could afford comfortable shoes. not seconds after i was thinking that, i came upon a young homeless couple talking to some guy who was half standing on the curb and half in his car. he was asking the girl what size shoe she wore. "size 7" she said. he would bring her a pair later in the day. and then he asked how the young man was on shoes. "these are the only ones i got" he said. "those are all you have," said the man now getting into the car.

the young couple thanked him, by then my back was to that scene as i continued walking towards my pretty convertible parked along the beach where i am both rich and poor.

"once i felt bad when i met a man who had no feet. but then i felt terrible when i met a woman who had bad shoes." ~~karen walker (paraphrased)

sunrise on the beach this morning...

 

[VaCollector]

From an article in USA Today - May 21, 2007

The median HOUSEHOLD net worth for the age group 55-59 = $249,700 (no college); $526,300 (college educated)....so by financial standards, I would have thought that most who frequent this board would have said yes.....

I found it very interesting how the "personal definition" of "wealthy" factored into the responses.

Thanks for the insight!

 

[dex]

From an article in USA Today - May 21, 2007

The median HOUSEHOLD net worth for the age group 55-59 = $249,700 (no college); $526,300 (college educated)....so by financial standards, I would have thought that most who frequent this board would have said yes.....

I found it very interesting how the "personal definition" of "wealthy" factored into the responses.

Thanks for the insight!

If the pole was stated in terms of dollars thresholds you would have gotten different answers.
"Feeling" is an emotional response and subjective.
The value of this pole is in contrasting the subjective "feeling" with the objective numbers.

 

[P.S.]

I am surprised that so many say they feel wealthy. If they feel wealthy, why do they hang around here discussing how to squeeze the last bit of juice out of a dollar?

cause wealth does not equal more money than you could ever spend!

good health, loving family also healthy, clean home in a safe place.
freedom to read whatever, say whatever, go where ever.
reliable plumbing, cheap gas, non toll roads with no checkpoints.
trustworthy friends, caring neighbors.
American citizenship, trees, fresh air, local library with comfortable seating, free books, unlimited interlibrary loan.

yeah i can walk into Whole foods and buy whatever i want, or schlepp home that $20,000 diamond from Costco...and that feels good. But it's the above that really makes me wealthy!

 

[albundyz]

I did not vote.....my wife's vote would have canceled mine.

everyone's definition of being wealthy is different.

I feel wealthy because I no longer need to use coupons when going to the grocery store.

When I'm at the grocery store, I can buy strawberries whether they're on sale or not.

I no longer feel compelled to drive across town where gas is 6cents a gallon cheaper.

I have made new friends and that's part of my wealth.

I feel healthy and that's part of my wealth.

I can help my sons with a downpayment on a house if needed.

My wife, on the other hand, will never feel wealthy until she is driving a BMW or other luxury car. (me? I drive a 7 year old Pontiac and I'm happy). That's not a rap on my wife.....her expectations of wealth are different than mine.

So, I feel wealthy....and my wife is not driving a BMW right now.

 

[Celany]

I said 'no'. I feel comfortable. I feel lucky to live in the US, where we do have a lot of good things that people take for granted (like clean water).

But I don't think I would feel wealthy until I could either RE, or just take a significant amount of time off from work, without screwing up my nest egg. Right now, if I took time off to recharge, reevaluate & 'find myself' a bit better, it'd make a decent ding in my saving. I'm hoping to be able to do that in a few years, & have it not make that much of an impact.

To me, being wealthy involves being able to either RE, OR work at a much lower paying, highly-fulfilling job & live off of a combination of paycheck & investments.

However, I aknowledge that my current standards of living (living in manhatten), forces me to have an artificially high need for money. If I moved out of the city, & found good-paying work outside of the city, then maybe I would feel wealthy, or at least closer to it. Which is one of the reasons I want to take the aforementioned time off of work some point in the next few years.

 

[Delawaredave]

There's two ways to feel rich:

1. Have more
2. Want less

Older I get, the less I want and the more I have.....