I know the lifestyle of people who EARN about $1M from their job, How it differs from someone who is GUARANTEED to get about $1.2M/yr.? I mean someone may be CEO today, and fired tomorrow, so he must save (should)... But for someone married with young children who is guaranteed to get $1.2M from Bond interests and dividends (not from trading profits, which may vary) He may spend his entire income (from a multi-million dollar investment trust because of family disputes), and he is always guaranteed to get money the next time bonds pay interests, or stocks pay dividends. The only way he couldn't get money would be if all his (top-quality) bonds default, and all his bluchip stocks stop paying dividends; which is unlikely, although he can see his income vary somewhat, specially on dividends, and when rolling the bonds after maturity date. What lifestyle would he likely live without getting into debt? Should he rent, or buy a house? (from his income, and NEVER from the trust funds, which can't be withdrawn) How much of his income he should spend in renting / invest in housing?