2.5M considered wealthy

Discussion in 'Luxury and Lifestyle' started by 2rosy, Aug 21, 2024.

  1.  
    #11     Aug 21, 2024
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  2. jys78

    jys78

    Depends entirely on location and lifestyle. Some will feel great with less, others would struggle on a multiple of that.
     
    #12     Aug 21, 2024
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  3. Specterx

    Specterx

    Honestly, the cost of food is negligible.

    In the USA, what really hits the wallet hard is getting away from poor people… whether it’s expensive neighborhoods, private schools, or fancy travel.
     
    #13     Aug 21, 2024
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  4. mervyn

    mervyn

    the answer is no.

    many replies miss the point. if you are a low key person and have a frugal lifestyle, it is unlikely that you have 2.5m disposable, excluding house and retirement accounts. a school teacher or a firefighter is the middle class, they have living expenses, doesn’t matter where he/she lives.
     
    #14     Aug 21, 2024
  5. My post wasn't about food...
     
    #15     Aug 21, 2024
  6. Bad_Badness

    Bad_Badness

    The raw number is for people who are not wealthy yet and have not thought through the details.

    Every wealthy person knows these things and lots more.

    1) If you did not earn it, you will have a hard time keeping it. Simply because you probably lack the skills to manage it, which you would have acquired if you had earned it.
    2) Age matters, i.e. earning potential and future needs. A 25yo has potential, while above 65 you have little. At 35, you got to make it last 50-60 years. That is a LONG time. How many wars, market crashes etc. in just the last 20 years?
    3) Cash flow matters. You have to make your yearly expenses. So just like trading, being too conservative, you slowly grind away at your wealth, being too aggressive you can lose large portions. Then you need health care*.

    "People" say you need 10 mil, AFTER taxes. 5 Mil for your ex spouse. Remaining 5 mil goes something like: 2 mil for home(s) and another 1 mil in low risk to maintain them. leave you about 2 mil for discretionary investments or low risk to make your yearly expenses.

    10 mil AFTER taxes is more like 18 mil before......

    So get to work!

    * Health care is about 13-15K a year in the open market. And you have not even gotten injured or sick. But ICU is about 25K a day. So a 10 days stint will probably cost you about 250K for the ICU and about 100K in other services.
     
    Last edited: Aug 21, 2024
    #16     Aug 21, 2024
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  7. Just hoes for me
     
    #17     Aug 21, 2024
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  8. What kind of ICU visit would not be covered by the mandatory insurance?
     
    #18     Aug 21, 2024
  9. mervyn

    mervyn

    medicaid for life
     
    #19     Aug 21, 2024
  10. MarkBrown

    MarkBrown

    my $1.00 bullet can take anything you have just think about that .

    i would rather have bullets than cash.
     
    #20     Aug 21, 2024
    SimpleMeLike likes this.