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Net Worth of the 10%, 1%, and 0.1% Households
Old 01-14-2021, 06:26 AM   #1
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Net Worth of the 10%, 1%, and 0.1% Households

Looks like these levels rose, and this would be before the run up in stock prices last year. So being a millionaire now does not quite get you into the top 10%. Over 1% of the country are decamillionaires encompassing over 1 million households--lotta money out there!

Percentile Threshold Net Worth:

10% $ 1,219,126
2% $ 6,557,023
1% $11,099,166
0.1% $43,207,732

This data comes from the 2019 Survey of Consumer Finances from the Federal Reserve. (This is the newest data in late 2020). There are roughly 1,286,744 households in the top one percent or 1,762,143 workers. In the first quarter of 2020, the top 1% of households and nonprofit organizations held 31.2% of all net worth in the United States while the lower 50% of households and nonprofit organizations held 1.4%.
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Some more millionaires data
Old 01-14-2021, 06:32 AM   #2
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Some more millionaires data

Note this data include the value of any primary home.

There are 15,298,070 millionaire households in the United States, or roughly 11.89% of all households.

There are 8,046,080 US households with $2 million or more in net worth. That is roughly 6.25% of all US Households.

There are roughly 5,671,005 households with $3 million or more in America, 4.41% of all US households.

4,473,836 households have $4 million or more in wealth, while around 3,592,054 have at least $5 million. Respectively, that is 3.48% and 2.79% of all households in America.

Around 1,456,336 households in America have $10 million or more in net worth. That's 1.13% of American households.
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Old 01-14-2021, 07:50 AM   #3
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When I was growing up (50+ years ago), having a million seemed like a good target number.... At that time, I didn't know any millionaires but I knew some people who "I thought were rich" and seemed to live comfortable... So a million seemed like a good target.... Fast forward 50 years.... A million ain't what it was back then! Today (IMO) I feel you need at least 2 million "investible" to be in that same financial freedom boat and that's if you have no debt on top of that....That would be in the top ~5% according to the numbers above... And I still wouldn't call that wealthy... Comfortable yes, wealthy no... Again, IMO, YMMV....
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Old 01-14-2021, 07:59 AM   #4
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When I was growing up (50+ years ago), having a million seemed like a good target number.... At that time, I didn't know any millionaires but I knew some people who "I thought were rich" and seemed to live comfortable... So a million seemed like a good target.... Fast forward 50 years.... A million ain't what it was back then! Today (IMO) I feel you need at least 2 million "investible" to be in that same financial freedom boat and that's if you have no debt on top of that....That would be in the top ~5% according to the numbers above... Again, IMO, YMMV....
Based on just inflation alone, it seems like 1 million in 1970 should feel more like 5 or 6 million today.
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Old 01-14-2021, 08:05 AM   #5
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Based on just inflation alone, it seems like 1 million in 1970 should feel more like 5 or 6 million today.
Probably true, but back then I was looking at living another 50 to 70 years on that million... Now it's more like 10 to 15 years, at best... So now 2+ million, w/zero debt, is good enough to give me that feeling.


Edit: According to the inflation calculator I just used you would need $6,390,395 today to have the buying power of 1m 50 years ago. And $2,847,205 to have the buying power of 1m 40 years ago... (The 1970's were a real killer on inflation)
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Old 01-14-2021, 09:18 AM   #6
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To me those numbers are surprising. Don't we hear all the time that 9 out of 10 (or some variation of that maybe 8 out of 10) can't come up with $500 for an unexpected expense? To me that indicates that the 1 out of 10 that can come up with $500 is a millionaire.
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Old 01-14-2021, 09:21 AM   #7
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To me those numbers are surprising. Don't we hear all the time that 9 out of 10 (or some variation of that maybe 8 out of 10) can't come up with $500 for an unexpected expense? To me that indicates that the 1 out of 10 that can come up with $500 is a millionaire.
It’s 4 of 10 can’t come up with $400 FWIW. Not inconsistent with the stats above.
https://abcnews.go.com/US/10-america...ry?id=63253846
Quote:
Almost 40% of American adults wouldn’t be able to cover a $400 emergency with cash, savings or a credit-card charge that they could quickly pay off, a Federal Reserve survey finds.

About 27% of those surveyed would need to borrow the money or sell something to come up with the $400 and an additional 12% would not be able to cover it at all, according to the Federal Reserve's 2018 report on the economic well-being of U.S. households released on Thursday.
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Old 01-14-2021, 09:25 AM   #8
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$11 million to get into the 1% club, oh my.

I know there are a couple on here that are in that group but dang that is a high bar.

Oh well. The better club is the 70s club. Steve Jobs and Paul Allen didn't even make that one.
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Old 01-14-2021, 09:54 AM   #9
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I'd love to join the 2% club, but I don't think it's gonna happen...
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Old 01-14-2021, 09:56 AM   #10
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The better club is the 70s club. Steve Jobs and Paul Allen didn't even make that one.
That's a far better way to look at it.
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Old 01-14-2021, 10:07 AM   #11
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If they would just stop raising the bar for joining that 2% club, I might make it in another 20-30 years.
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Old 01-14-2021, 10:41 AM   #12
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Hard to believe 1 in 50 have that much net worth.
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Old 01-14-2021, 10:54 AM   #13
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Hard to believe 1 in 50 have that much net worth.
That is my thought as well. I would be interested to see this data excluding the value of the primary residence. I also wonder about the distribution of these households given that the home value is included. Perhaps many of them are located in areas with very high property values? It's difficult to believe that in a room of 100 people (different households) in my Midwest city, that two of them are worth more than $6Million with one of those having an 8 figure portfolio. But then again, I don't want to argue with the numbers.

On the other hand, since nearly 12% of us are millionaires, the odds are good that you are in fact living next door to one!
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Old 01-14-2021, 11:07 AM   #14
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That is my thought as well. I would be interested to see this data excluding the value of the primary residence. I also wonder about the distribution of these households given that the home value is included. Perhaps many of them are located in areas with very high property values? It's difficult to believe that in a room of 100 people (different households) in my Midwest city, that two of them are worth more than $6Million with one of those having an 8 figure portfolio. But then again, I don't want to argue with the numbers.

On the other hand, since nearly 12% of us are millionaires, the odds are good that you are in fact living next door to one!
I'd be willing to bet that many, if not most, of my neighbors here in northern New Jersey are in the 98th or higher percentile - we are in the 98th percentile in my household. Most of my neighbors work in fields like finance, software (me) or biotech (wife).
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Old 01-14-2021, 11:35 AM   #15
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Always seems to be 40%. Interesting.

Quote:
Originally Posted by Midpack View Post
It’s 4 of 10 can’t come up with $400 FWIW. Not inconsistent with the stats above.
https://abcnews.go.com/US/10-america...ry?id=63253846
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Old 01-14-2021, 11:37 AM   #16
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Based on home values and conspicuous consumption, we would seem to be the "poor people" in our neighborhood. Which is fine with us.

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On the other hand, since nearly 12% of us are millionaires, the odds are good that you are in fact living next door to one!
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Old 01-14-2021, 11:38 AM   #17
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I wonder if the value of any pension or SS payment is added to these net worth rankings.
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Old 01-14-2021, 11:38 AM   #18
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You made me think of all the high-dollar entertainers who have joined the dreaded "27" club over the years.

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Oh well. The better club is the 70s club. Steve Jobs and Paul Allen didn't even make that one.
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Old 01-14-2021, 11:56 AM   #19
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I remember when (PayPal founder and generally odious) Peter Thiel dismissively referred to "single digit millionaires" as the new middle class who couldn't afford the benefits of true wealth. I guess the shoe fits most of us in the 2-10%.
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Old 01-14-2021, 12:02 PM   #20
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This data comes from the 2019 Survey of Consumer Finances from the Federal Reserve. (This is the newest data in late 2020).
Can you post a link to the source? My google search is returning a page that doesn't have 2020 data included. Thanks
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