The term “millionaire”used to be thrown around as the definition of the “wealthy” in the United States, but that line has since been redrawn in a big way, according to Charles Schwab’s annual Modern Wealth Survey.
Now, people claim that in order to be “rich”, they need to be worth and average of $2.3 million, or “more than 20 times the actual median net worth of U.S. households,” according to Bloomberg. The number is down from $2.4 million the previous two times the survey was issued. The survey notes that the older someone gets, the higher their bar goes for what they consider as “wealthy”. Baby boomers say you need to have $2.6 million to be “wealthy”, which is 35% higher than what millennials think.
For someone to be considered “financially comfortable” the threshold falls significantly. The average amount needed to be “comfortable” was $1.1 million, and only Gen Z believed that under a million ($909,600) was acceptable.