What do you consider "rich"?

[cjonesfan921]

Alright, we each probably have different opinions on what's rich. It doesn't have a clear definition. To me, it's when you don't have to worry about any "normal" bills. Obviously some people are extremely materialistic and rich for them is different. My question is, an average family household, what would you consider to be rich, as far as income?

I ask this because got into a debate with friends at school. I say 100K a year is rich. They claim, not even close. I think that's absurd. They said something along the lines of 250K.

I looked at statistics, and only 20% of households make over 97K a year. Also, only 7% of people make over 97K a year.

Just interested in hearing other opinions.

[SPTO]

Re: What do you consider "rich"?

I consider a million bucks a year as rich but as far as the minimum of "richness" goes i'd say 500k.

[cjonesfan921]

Re: What do you consider "rich"?

At that point, you are considered filthy rich, extremely wealthy, IMO.

[thegoat30]

Re: What do you consider "rich"?

I think it depends on where you live too. 100K in NYC likely isn't rich.

Middle American - 100K is pretty good, but I'm not sure if I would call that rich.

[SuperBowlNachos]

Re: What do you consider "rich"?

I think $150k you can be considered rich. My household makes about $120k a year and we are fortunate enough to be able to afford some things most people can't that would be considered a luxury, we can't afford to go traveling all over the world and all drive $30,000 cars. Only one of the cars we own even has power windows/locks.

So I think at 150k you pretty much don't have to worry about the economy right now unless you bought a house that is to expensive.

[mjb2124]

Re: What do you consider "rich"?

IMO, 250K..

[cubsfan203]

Re: What do you consider "rich"?

I live kind of close to Southlake. That's what I call rich.

[TheMatrix31]

Re: What do you consider "rich"?

The definition of rich tends to change depending on the day it seems.

[p_rushing]

Re: What do you consider "rich"?

250K per person, if you live in the south, 150K

It also matters if you know how to live within your means

[forensicd]

Re: What do you consider "rich"?

My brother is a dr in san fran, and has to live paycheck to paycheck due to high prices there. So, depends on where you live, not how much you make.

[cjonesfan921]

Re: What do you consider "rich"?

250K per person, if you live in the south, 150K

It also matters if you know how to live within your means

That's where you get the differences. I've actually done some research on this, I'm so interested to hear opinions. Apparently, the median, from a poll, came out to be 115-120K a year or something like that.

I just find it interesting that only 7% of the people make over 97K a year. That means, obviously not many make that much or more a year. That means, it's definitely a lot of money.

To me, rich means you don't have to worry about paying the bills. Bills as in, the normal bills over everyday life. Car, house, insurance, electricity, grocery, etc. Not the extra, materialistic things. I just think 100K for a household is enough.

Hell, my family is living off like 45K right now, with my dad not working.

I have an uncle, who makes 104K and he's putting 2 kids through college, owns 3 cars, a house, etc. Another one is close to going to college.

[p_rushing]

Re: What do you consider "rich"?

That's where you get the differences. I've actually done some research on this, I'm so interested to hear opinions. Apparently, the median, from a poll, came out to be 115-120K a year or something like that.

I just find it interesting that only 7% of the people make over 97K a year. That means, obviously not many make that much or more a year. That means, it's definitely a lot of money.

To me, rich means you don't have to worry about paying the bills. Bills as in, the normal bills over everyday life. Car, house, insurance, electricity, grocery, etc. Not the extra, materialistic things. I just think 100K for a household is enough.

Yeah 100K should be good for a family with 2-3 kids in south/midwest, but they also won't be rich. They have to buy practical cars, drive them for 8-10+ years, buy houses they can afford, not go out to eat everyday, and not go crazy buying things.

Most people can't just say no and buy too much stuff.

[Cebby]

Re: What do you consider "rich"?

I just find it interesting that only 7% of the people make over 97K a year. That means, obviously not many make that much or more a year. That means, it's definitely a lot of money.

Is that 7% of people or households?

Also, you have to figure that 30-40% of people are idiot high school drop outs and people who did **** with their lives and factoring drug dealers who make ~60k in non-taxed income, and that 7% turns into ~14% of people who tried in life.

As for me, I'd say that it's more how you use it.

My parents make more money than a lot of people considered rich (probably in the $350k region, but they live well below their means and have almost 0 non-mortgage debt. Personally, I wouldn't consider them rich over a person who makes $150,000 rolling in a Benz with debt out the ****.

I think rich is more of a lifestyle than actual value.

[superjames1992]

Re: What do you consider "rich"?

Alright, we each probably have different opinions on what's rich. It doesn't have a clear definition. To me, it's when you don't have to worry about any "normal" bills. Obviously some people are extremely materialistic and rich for them is different. My question is, an average family household, what would you consider to be rich, as far as income?

I ask this because got into a debate with friends at school. I say 100K a year is rich. They claim, not even close. I think that's absurd. They said something along the lines of 250K.

I looked at statistics, and only 20% of households make over 97K a year. Also, only 7% of people make over 97K a year.

Just interested in hearing other opinions.

So my parents are rich, then? I say not even close. A 2,200 square foot home built in the mid 90s and a car not newer than 11 years old is not rich. That said, they're pretty smart with their money unlike most people and aren't in debt up to their eyeballs and are living within their means. My dad flies for US Airways and rakes in over $100K per year and that is not rich and really not close. They have to worry about bills and everything else, just like normal people.

Rich is a very broad definition and it's all subjective and depends on other factors, as well. For me, probably $1 million, at least, would be "rich".

Also, LLCs (Small businesses) have your gross revenue put on your income bill and on your income tax. So, for example, when my parents used to own the Aamco Transmissions in South Charleston, WV, $700K per year showed up on their income in which they had to pay income taxes. Yet that was the GROSS REVENUE. In reality, we were lucky to bring home $50K as actually income for us. That's why I get so mad about wanting to raise taxes on the rich and such because a lot of small business owners who are not rich would have their taxes greatly increased.

[thegoat30]

Re: What do you consider "rich"?

Also, LLCs (Small businesses) have your gross revenue put on your income bill and on your income tax. So, for example, when my parents used to own the Aamco Transmissions in South Charleston, WV, $700K per year showed up on their income in which they had to pay income taxes. Yet that was the GROSS REVENUE. In reality, we were lucky to bring home $50K as actually income for us. That's why I get so mad about wanting to raise taxes on the rich and such because a lot of small business owners who are not rich would have their taxes greatly increased.

If this was a Sch C business, this is not true. The net income from the business goes to page one of your tax return - not the gross.

Even if it is a flow-through entity (i.e. partnership, which most LLCs are classified as), the net number flows to your Sch E, then page one.

You are not taxed on the gross.