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Maybe this is just me, but I don't actually consider having a couple million dollars as "rich", I know a couple folks worth hundreds of millions, and the way th

Maybe this is just me, but I don't actually consider having a couple million dollars as "rich", I know a couple folks worth hundreds of millions, and the way they behave are certainly different.

maxerickson 7y ago
It's enough to maintain a swell lifestyle without working. It is meaningfully different than not having enough money to stop working. That there's people with even more money is true enough.
trenning 7y ago
If you only know person worth $2 million, they're rich. If you know 10 millionaires, the person with $2 mil might not seem so rich to you anymore.
- geggam 7y ago
  The United States farm real estate value, a measurement of the value of all land and buildings on farms, averaged $3,140 per acre While the average farm size has been increasing approximately two acres per farm each year since 2012, the number of farms is decreasing. Today, the average farm size is 444 acres. 444*3140 1,394,160 US average farmer is a millionaire. Go ask one if he feels rich.
  - tudelo 7y ago
    Do most farmers actually own the land that they work on? I was under the impression that most farming is done by large companies and that there are not many small independent farmers that exist.
    - geggam 7y ago
      When I was working on farms ( 30 yrs ago ) most farmers were still on property they owned. During that time I saw the shift to corporate farms and I dont know that answer as I have found less labor intensive work. Most of the corporate structures I saw were family or a combination of family and friends.
      - JackFr 7y ago
        I think many farmers are pretty levered. Whether its mortgage on the land or loans for operating capital, to make a decent return on equity you've got to borrow.
        geggam 7y ago
        I would agree with that perspective. I knew a few farmers that owned it all but those have passed on.
Merrill 7y ago
A couple million dollars is a retirement nest egg. You can stop working, stretch it carefully until you die, and leave a small sum to your heirs. To be very rich requires upwards of $100 million. Then you can access high paying investments which will generate enough income to afford a couple houses, hire help, buy a boat and a plane, and have enough left over after taxes to increase your assets to offset inflation. Actually, if you want a jet plane (with hired pilots, mechanics, hangers, etc) and a couple nice houses (>$10 million each plus staff) in the nicest places (Beverly Hills, Palm Beach, Jackson Hole), you need upwards of $1000 million.
- benhurmarcel 7y ago
  A couple million dollars is more than a nest egg. You can retire immediately and provide for your family and yourself your whole life with that kind of money.
  - war1025 7y ago
    Only if used productively. Which, assuming you built it from more or less nothing, you probably have been doing to get to that point. Having money does not make you wealthy. Having the correct financial arrangement to consistently make more than you spend is what makes you wealthy.
  - ghaff 7y ago
    Entirely dependent on location, lifestyle, family status, etc. Yes, with $2m you can retire tomorrow and get something like $100K/year in pretty much guaranteed income not pegged to inflation. (You can argue the numbers but certainly <$200K/year with moderate risk.) And you can certainly live on that amount of money but equally certainly not with an opulent lifestyle--especially if you don't own your house/condo, have college expenses, like to travel/eat out etc. ADDED: Yes, you're "rich" but not jet-setting in business class at resort hotels, multi-million dollar coastal city condo, eat at top restaurants on a regular basis etc. rich. Which is actually just fine for a lot of people who have no particular interest in those things.
    - 7y ago
bdcravens 7y ago
From the sounds of it, they're relatively rich for the part of the country they live in.
PeterStuer 7y ago
It is not 'just you', but it does peg you as being part of a tiny part of the population that can hold these beliefs. For the very very vast majority 100K in liquid funds would be a fortune they could never imagine acquiring outside of a huge lottery windfall.
- leetcrew 7y ago
  GP said nothing about liquid funds, and this thread is mainly talking about people's life savings. in this context, one million dollars is really not much. if you have no job or pension, one million in assets grants you the ability to spend about $40k a year safely. you could certainly have a comfortable retirement this way, but it would be far from a luxurious lifestyle.

Maybe this is just me, but I don't actually consider having a couple million dollars as "rich", I know a couple folks worth hundreds of millions, and the way they behave are certainly different.

maxerickson 7y ago

It's enough to maintain a swell lifestyle without working. It is meaningfully different than not having enough money to stop working. That there's people with even more money is true enough.

trenning 7y ago

If you only know person worth $2 million, they're rich. If you know 10 millionaires, the person with $2 mil might not seem so rich to you anymore.

geggam 7y ago
The United States farm real estate value, a measurement of the value of all land and buildings on farms, averaged $3,140 per acre While the average farm size has been increasing approximately two acres per farm each year since 2012, the number of farms is decreasing. Today, the average farm size is 444 acres. 444*3140 1,394,160 US average farmer is a millionaire. Go ask one if he feels rich.
- tudelo 7y ago
  Do most farmers actually own the land that they work on? I was under the impression that most farming is done by large companies and that there are not many small independent farmers that exist.
  - geggam 7y ago
    When I was working on farms ( 30 yrs ago ) most farmers were still on property they owned. During that time I saw the shift to corporate farms and I dont know that answer as I have found less labor intensive work. Most of the corporate structures I saw were family or a combination of family and friends.
    - JackFr 7y ago
      I think many farmers are pretty levered. Whether its mortgage on the land or loans for operating capital, to make a decent return on equity you've got to borrow.
      - geggam 7y ago
        I would agree with that perspective. I knew a few farmers that owned it all but those have passed on.

Merrill 7y ago

A couple million dollars is a retirement nest egg. You can stop working, stretch it carefully until you die, and leave a small sum to your heirs. To be very rich requires upwards of $100 million. Then you can access high paying investments which will generate enough income to afford a couple houses, hire help, buy a boat and a plane, and have enough left over after taxes to increase your assets to offset inflation. Actually, if you want a jet plane (with hired pilots, mechanics, hangers, etc) and a couple nice houses (>$10 million each plus staff) in the nicest places (Beverly Hills, Palm Beach, Jackson Hole), you need upwards of $1000 million.

benhurmarcel 7y ago
A couple million dollars is more than a nest egg. You can retire immediately and provide for your family and yourself your whole life with that kind of money.
- war1025 7y ago
  Only if used productively. Which, assuming you built it from more or less nothing, you probably have been doing to get to that point. Having money does not make you wealthy. Having the correct financial arrangement to consistently make more than you spend is what makes you wealthy.
- ghaff 7y ago
  Entirely dependent on location, lifestyle, family status, etc. Yes, with $2m you can retire tomorrow and get something like $100K/year in pretty much guaranteed income not pegged to inflation. (You can argue the numbers but certainly <$200K/year with moderate risk.) And you can certainly live on that amount of money but equally certainly not with an opulent lifestyle--especially if you don't own your house/condo, have college expenses, like to travel/eat out etc. ADDED: Yes, you're "rich" but not jet-setting in business class at resort hotels, multi-million dollar coastal city condo, eat at top restaurants on a regular basis etc. rich. Which is actually just fine for a lot of people who have no particular interest in those things.
  - 7y ago

bdcravens 7y ago

From the sounds of it, they're relatively rich for the part of the country they live in.

PeterStuer 7y ago

It is not 'just you', but it does peg you as being part of a tiny part of the population that can hold these beliefs. For the very very vast majority 100K in liquid funds would be a fortune they could never imagine acquiring outside of a huge lottery windfall.

leetcrew 7y ago
GP said nothing about liquid funds, and this thread is mainly talking about people's life savings. in this context, one million dollars is really not much. if you have no job or pension, one million in assets grants you the ability to spend about $40k a year safely. you could certainly have a comfortable retirement this way, but it would be far from a luxurious lifestyle.