Who Gets To Be "Rich"? - Slate article

[hybrid]

http://www.slate.com/articles/business/moneybox/2014/08/defining_rich_in_america_what_are_the_income_cutoffs.html

Nice to see an article that differentiates between what one earns and what one has stashed away in regards to wealth. I have always thought it to be misleading when wealth was defined by household income. Mrs Hybrid and I have a distinct advantage over Mustachian Buddy in that regard, as he is single. But wait a minute, MB has a roommate, shouldn't he be able to claim that somehow? What about multi-generational households where multi-generations work??? Auuuugggghhh, it's all so confusing.

No, I think the simpler method by which to measure, and the one used often on these boards, is the size of the stash. In these United States, having a net worth of 763K puts you in the top 10% (whereas a household income of 113K annually puts you in the same 10% if you measure by wage). There are still lots of other variables one could tease out, but for a ballpark discussion this seem to be the better metric to measure by. It doesn't matter how much one makes if they spend all of it (or more!).

The numbers for the 50th percentile and below are just plain ugly over time. And yet, the vast majority of US households have cable TV and/or smartphones with data plans. The economy has not been the long-term friend of the working class for a long time now, unfortunately too many people help dig their own hole (I was certainly one of them 20 years ago).

http://web.stanford.edu/group/scspi/_media/working_papers/pfeffer-danziger-schoeni_wealth-levels.pdf

[Prairie Stash]

Interesting, I never really thought of it being so little to be sort of rich. 

I'm also amazed how many people make great money, 20.6% of American households make 250K for at least one year. That's impressive earnings!

[bop]

If a family earning 100K were to sell its home for 150K profit, would that count as having household income of 250K?

[Retired To Win]

http://www.slate.com/articles/business/moneybox/2014/08/defining_rich_in_america_what_are_the_income_cutoffs.html

...I think the simpler method by which to measure, and the one used often on these boards, is the size of the stash. In these United States, having a net worth of 763K puts you in the top 10% (whereas a household income of 113K annually puts you in the same 10% if you measure by wage). There are still lots of other variables one could tease out, but for a ballpark discussion this seem to be the better metric to measure by. It doesn't matter how much one makes if they spend all of it (or more!)....

I see it differently.  My measuring stick is implied in the language I have bolded above in your original post.

I measure my "income comfort level" (a redefinition of wealth?) by the degree and amount by which my passive income exceeds my basic living expenses.  Right now, the ratio between the two is 250%.  And I have to tell you that such a ratio makes one (at least me) feel extremely  income-comfortable (i.e., wealthy).  :)

[soccerluvof4]

http://www.slate.com/articles/business/moneybox/2014/08/defining_rich_in_america_what_are_the_income_cutoffs.html

...I think the simpler method by which to measure, and the one used often on these boards, is the size of the stash. In these United States, having a net worth of 763K puts you in the top 10% (whereas a household income of 113K annually puts you in the same 10% if you measure by wage). There are still lots of other variables one could tease out, but for a ballpark discussion this seem to be the better metric to measure by. It doesn't matter how much one makes if they spend all of it (or more!)....

I see it differently.  My measuring stick is implied in the language I have bolded above in your original post.

I measure my "income comfort level" (a redefinition of wealth?) by the degree and amount by which my passive income exceeds my basic living expenses.  Right now, the ratio between the two is 250%.  And I have to tell you that such a ratio makes one (at least me) feel extremely  income-comfortable (i.e., wealthy).  :)

I can agree with that^  while per the articles numbers i fall in the top 5% and above I would much rather have a ratio of 250%. 

[projekt]

If a family earning 100K were to sell its home for 150K profit, would that count as having household income of 250K?

It should, in that year, unless they are merely asking for people's annual regular income.