How much money does it take to be "rich"?
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FROM CNN's Jack Cafferty:
The powers-that-be are now duking it out over how much money you have to make to be considered "rich." And, this matters a lot, because as states and the federal government grapple with record deficits, they're planning to tax the wealthy more; and it pretty much all depends on what your definition of 'wealthy is.
Fortune Magazine reports on this debate in a piece called "The government's new definition of rich." President Obama draws the line at those making $250,000 a year; he wants to raise taxes on them, and others - like New York's Governor David Paterson - agree.
It turns out that only about 5 percent of U.S. households have annual incomes over $200,000 - but lots of people in this group probably don't see themselves as rich, especially if they live in a big city where the cost of living is higher.
And this group of upper middle class, or the so-called "working rich," actually pay more taxes proportionately than the super rich. They're also not as good at finding loopholes to avoid paying some taxes like the very rich are.
Meanwhile others have different definitions of rich. The Security and Exchange Commission tells financial companies that a high net-worth individual is someone with at least 750-thousand dollars put away in one place; or a person who the firm reasonably believes has a net worth over $1.5 million.
Here’s my question to you: How much money does it take to be "rich"?
Interested to know which ones made it on air?
Rick writes:
A poll taken a couple of years ago asked people at various levels this same question. The consistent answer was always "twice as much as I make now." At $37k the answer was $75k/yr. At $150k the answer was $300k. I wonder if people's answers have changed this year.
Keren from Lansing, Michigan writes:
I make 22k a year, and can barely make ends meet. I'd love about a 40k raise; that would do me just fine. I'm not greedy!
Anthony from New Jersey writes:
The definition of rich is easy: Being able to hire help so you'll never have to lift a finger for the every day drudgeries we all detest. Going to Europe like we go to the shopping mall. Wondering which summer home we're going to spend the winter in. And treating the help like unfortunate dolts. Being able to afford all the lawyers needed to protect their glutinous lives doesn't hurt either. To these folks taxes are to be avoided like the plague. It's simply pocketbook over patriotism.
Gary writes:
$250,000 seems about right. If you're in the top 5% of incomes, you're rich.
Mike writes:
How much money does it take to be rich? Depends. Where do you live? Philadelphia, Pennsylvania, or Philadelphia, Mississippi?
Susan from Oregon writes:
If you live in the county and have only wood heat, rich is three cords of wood in February.
Anita writes:
Simple answer: If you have surplus income after you pay all your financial necessities, you are well off. But you are really rich if you have good health, as that can’t be bought and isn’t taxable.
Jerry writes:
Rich? What is rich? Is Bernie Madoff really rich?
Cedric from Canada writes:
$237 and a case of Moosehead.
@jackcafferty on Twitter
The median home price in San Jose is still over $500,000. There are a lot of families in the bay area with a mortgage that are making close to $250,000 and I can tell you they certainly don't feel very rich.
Jack, this is America. Wealth is not based on cash, assets or income anymore, wealth is based on a high FICO score. If you have a high FICO score, but no assets and a low paying job, then by some twist you're still seen as rich in the eyes of lenders. Conversely, if you have a low FICO score, it doesn't matter how much money you have stashed away in a 401K, or how great a job you have, or how high your monthly income is...just try to get a decent home or car loan.
Cash is still King, BUT, it's Queen FICO who really rules the kingdom.
(Roland/St George, UT)
Probably about $200,000 more than I make. There is a group of families just over $250,000 a year that are probably considered high middle class, especially living in NYC or LA or other high expense areas. However, even iff they taxed them atrociously, they'd still have a whole lot more than I do, and I work a darn sight harder every day than they do (I'm a nurse). They would just have to take their kids out of private schools, cut back on their cool vacations (Hey, my idea of vacation is going to visit Grandma and sleeping on her back porch). No Cancun vacation for me, sorry.
I drive a 2001 Ford (paid for), live in a house of 960 sq ft, visit Grandma once a year, and pay all my bills every month. The lower rich people may have to cut back a bit, but the super rich should be paying for more. Just as lower middle class people pay very little taxes, or get money back, the lower rich would pay less than the super rich. Its all the same.
poor babies! millions in foreign bank not safe any more
Enough to know I can eat, pay my rent/mortgage, go to the doctor when needed, and educate my child, without having to lie awake at night wondering how that's all going to happen.
I would consider rich to be anything over $100,000 dollars a year.
"Rich" depends heavily on where you live. In Northern Virginia, my wife and I bring in $225k a year for a family of four. After tax, and averaged over the year (to account for payroll deductions such as 401k and Social Security) that's roughly $10.5k a month.
However, this is an expensive area. After mortgage (all the houses here are too big and expensive), insurance, 529 plans for the boys, groceries, bills, etc., we clear about $2,000 to $2,500 a month.
Then you figure in unusual expenses - the car dies, the fridge breaks, the basement leaks, etc. There's very little left.
We're very close to that magic number of $250,000. But where I live, it ain't even close to rich.
If there is one thing the past 8 years should have taught all Americans it is that wealthy people never consider they have enough money and greed is their religion.
Since the rich never seem to be satisfied the skies the limit and no amount of money will ever be enough.
75,000 fro single 150,000 for married couples with families and tax everyone at 10 percent to be fair 10 percent is our share to put into taxes no more than that percentage after all we promote high paying jobs only to pay 25-40 percent of your income for makin alot of money 10 percent would be fair to all
Jack, rich isn't about money, it is about how we live our lives. Sure, we need enough to live in a clean apartment or home, and be nourished enough to enjoy life and to help others enjoy their lives. It is obscene that people making over $250K sometimes pay less in taxes than people subsisting on far less. For tax purposes, only persons with an income over $25K should have to pay ANY taxes. That's the minimum to live moderately comfortable. Heck to someone in that income range, an income of $60K becomes "rich."
I'd put the "rich" label on any American making over $200,000 a year. I sure don't feel sorry for anyone making that much money. In my mind, the ones in this 5% category should be forced to live at or below poverty level for a few years in order to toughen them up. Maybe then, they would stop whining every time someone suggests they pay their fair share of taxes.
Brownwood, Texas
To most people being rich means having a lot of money, or material things. It doesn't take any money to be rich, it only take money, or lack of to be either wealthy, or not so wealthy. Money is the answer that most give for being wealthy, but being rich has a lot wider meaning. People who have families to love, and that love them back, to me are the richest of all. Having good health makes people richer than those who are not in good health. Those who have friends that stand behind them , healthy , or not ,no matter what are very rich, and when they need them they are there for you. This is when you know they are really your true friends. It makes me sad to know that people who worship money really miss the real reason for being on this earth, and once they leave it, money means absolutely nothing, and it is so true, you can't take it with you.
I make 22k a year, and can barely make ends meet. I'd love about a 40k raise...that would do me just fine. I'm not greedy!!!
When you have enough to hire someone else to keep track of it for you.
Boise, ID
Rich is owning your own jet and everyone assisting you aboard calls you 'sir'. Rich is being forever liquid. Enough money to impress even the hard barked cynics of Manhattan, and enough to keep those fools from ever getting close to you. Rich is having the best view of every place you visit, every single time.
Or....rich is having enough to get by for the day and knowing you'll have enough tomorrow, too.
In my mind, a person who is rich is the person who goes to the grocery store or sends someone to buy what is needed and they don't look at the price per pound of anything. They don't bring coupons with them and if they need a product, they place it in the basket. A person who is rich buys a new car when the one they have even thinks about giving them some problems in the morning when they head for work. A rich person buys a new bigger house when their current house is too full with all the new gadgets and toys that they have purchased on a whim. Probably to qualify as rich a person should have liquid assets of one million and a source that replenishes that amount as it is spent.
I'd feel rich if I could pay my monthly bills, buy groceries, and have a little left over to sock away, and it certainly wouldn't be $200,000 or $250,000.
It is hard for me to feel sorry for the people making over $250,000, especially the very wealthy. They need to live frugally and not try to empress everyone. My husband have very little retirement income and we buy what is necessary and appreciate what little we have.
They are such Cry Baby's.
I make just enough money to pay for rent,gas for car,food and utilities.24.,000 a year or above for me is rich!!
Jack,
Obama's figure for "rich" isn't $200K.
He uses the $250K number for an individual. A family or household can have a $500K income before they're considered "rich" enough to have their taxes will go up. Do either of those numbers reflect rich? Hell, yes. You're asking if we think $20,000 to $40,000 dollars a month income makes one rich. Of course it does. I live in an affluent area and even here that kind of monthly income will go far.
The 5% of the households you mentioned also have 50% of the nation's wealth. At issue is can a disproportionately small number of folks who control a disproportionately large part of the nation's wealth afford to pay 3-4% more in taxes? Emphatically yes.
Richard Green
San Clemente, Cal.
I have read in several publications that 10% of the highest paid taxpayers pay 70% of the taxes. Under this theory, citizens making $75,000 and above is considered rich. The tax man cometh!
I'm no accountant, but the determing factor if you are rich should not be income. It is the combination of net worth and income. I think the threshold should be those with $500k in retirement, $250K in cash, and $250k in TAXIBLE income not GROSS.
One million in liquid assets. Stocks, retirement fund, bonds and cash.
Jack,
because of city living and different costs :
How about defining it as people making 350K + and having at least 400k put away!
What are the numbers for the average income of middle class and percentage of populations being middle class and what are the numbers for lower middle class and their percentage?
We use to say what you make in a week pays your rent you will be ok...I am not so sure we can apply this saying for today!
Having seven figures in the bank makes a person "rich", in my opinion. A more telling question would be: How small a paycheck does it take to be "poor"? Does the absence of a savings or retirement account determine one's poverty level or is the bareness of one's cupboards and the stack of bills the primary indicator?
Jack
Anyone who has Life, Liberty and the Pusuit of Happyness is rich. I,m told Canada and Mexico have all three...
Let's look at it from sociology: the top 10% of earners own 70% of the wealth in America, and the top 20% owns 80% of the wealth (you can see that just that next 10% owned 10%). On the flip, the bottom 40% owns .2% (yes, one-fifth of a percent) and the bottom 20% of earners just owe (a negative percent).
But it's really relative. Coming from the bottom, I'd say it you don't worry about paying bills, can buy healthy food, have room to think about luxuries (new car, jewelry, clothes), have managable (if any) debt, buy everyone in your family gifts for the holidays, and never had anything broken (car air conditioner, home maintenence, etc...) for more than a month, you should consider yourself "rich."
Over a million in assets. But......... Jack, my definition of "rich" is more in tune with my Catholic values, "you know you are 'rich' when you have enough."
Our American consumerism has hurt us. People bought homes they couldn't afford, charged every little desire on endless credit, and they lived well beyond their means just to keep up with the myth of the "Joneses"!
This Great Recession, we are in is God willing a wake-up-call to everyone who was not a good steward of God's gifts.
I live on a fixed retiree income of about $70,000 a year. It is enough to pay bills with a bit left over. Both my children are in solid and loving marriages and I have three bright, healthy grandchildren. Nobody is on drugs, nobody is running around on a spouse, we have some health issues but nothing too serious, I have a loving wife of 44 years, and I thank God every day for all my blessings. There are things I'd like to have but nothing I really NEED. I consider myself very rich indeed.
Chatham, VA
I would consider myself to be rich if I had enough money to not worry about layoffs, to send my kids to college, and to make it through the rest of my life without ever having to work again. It's shameful that our corporate CEO's and Board of Directors cannot be satisfied with the same, but instead milk their customers and outsource their employees' jobs for the sake of accumulating more wealth than they'll ever be able to spend in one lifetime.
$300,000 a year in my city. Living is cheap here. A higher crust house costs $250-300,000. In Seattle over the mountain you'd better have $700,000. A hole in wall sells for $450,000 in Seattle, the skies are not bluer in Seattle, but lots of rain. Ralph, Yakima, WA.
Jack,
People who make over $200,000 a year usually are not rich. Most people live pay check to pay check and have a standard of living that far exceeds their means. People making that much money, depend on that big salary to pay for for all their toys.
A truly rich person lives within their means, and invests at least 15% a year in retirement. One of my closest friends is a computer programer making $75,000 a year, has a wife and two kids and a mortgage. But his net worth is almost a million dollars. Now that is "RICH"
Rich will always be 10% more than I make.
Jack,
When did it become a sin to live the american dream and try to prosper? The harder you work to try and climb the ladder the more uncle sam wants to steal from you. It's a shame we are becoming a nation of people who expects entitlements that have not been earned. That we have no problem stealing from others is a commentary on the state of this country!
If you listen to some in the government now being rich is being able to pay all of the debt that you said you would.
Its a strange idea to most americans today to live within their means.
It doesn't take any money at all to be rich. I have my wife and son and we all love each other and care for each other. Everyday, several times each day, we tell each other how good the other is and why. We are generous with "I love you," too. We don't need a bank for it and we don't pay taxes on it. We are plenty rich.
I suppose that is determined to whom you are asking the question. Some people would answer millions and then others would think they were rich if they had enough money to pay all the bills and a bit left over to treat the kids once in a while.
Me? . . . I'm not rich in money, but I'm a millionaire in good friends and family.
Rich is when your money works for you and not you for your money. If you have to work hard to get what you need or want, than you are not rich.
Its not how much money you have, its what you do with it. Some people feel they need to please others in their life instead of buying what they need, and not what they want.
A lot more than I have Jack!
Jack,
A yearly income of 1 million dollars a year is my definition of rich. Also holding no debt larger than one fourth of that.
To be well off I would say an annual income of 400k is about right.....It's my dream to get a six figure salary.....to survive in NYC you need to make at least 2k a month, that's just to survive.....to live comfortable, at least 5k per month.
Not the easy question that anyone can answer. Too many variables. A family of four compared to a single person compared to a married couple with both working. I would say Omaba is right on with the $250k scenario. If one million makes you a millionaire I could see that as being well off. If we are talking incoming tax money I'd say make as many people prosper as possible and living well and enjoying life can be done with a lot less than $250k. Poverty is minimum wage and I just don't understand how anyone can live with minimum wage these days, minimum wage is a joke and needs to be well over $10. an hour and probably upwards to $15 an hour.
Being rich would be enough money to move to another country. This one is headed in the wrong direction.
The definition of rich is easy. Being able to hire help so you'll never have to lift a finger for the everyday drudgeries we all detest. Going to Europe like we go to the shopping mall. Wondering which summer home we're going to spend the winter in. And treating the help like unfortunate dolts. Being able to afford all the lawyers needed to protect their glutinous lives doesn't hurt either. To these folks taxes are to be avoided like the plague. It's simply pocketbook over patriotism.
How much do a top hat, monocle, and cane cost?
Heh, alot more money than I have , thats for sure. Because of our Idiot Leaders, for the first time in history , we will now have less than our parents did...........and worst of all no jobs to pay for the massive "Stimulus" plan.
Jack, according to WikiAnswer the Aver. American makes, 79,000, so I would say anyone that make 4 times that is Rich. anyone that makes 4 times that would be considered Weathy.
Rich is a state of mind. I know people that live very well on a little money. Others with money are so self centered they get into debt beyond their means.
Being rich to me is keeping out of debt, purchasing what you need, saving for what you what and enjoying life. A dollar amount would be anything over a hundred thousand a year and half that in the bank. But not being in the rich bracket what do I know. I do know I sleep well at night.
Oregon
Rich is relative. If you spent your life working for minimum wage while working through college and you finally get a teacher's job, you feel rich. If you were nickel and diming the State of Alaska and you get nominated for the vice presidency where you can form a PAC and sell books, you feel rich.
The answer to this is simple. Everyone with a net worth higher than mine should be classified as "rich" and have the living hell taxed out of them. All the rest of us should get a tax cut. Why do politicians have to make everything so complex.
More money than I have. But Jack you are probably rich, what do you make a year $1,000.000 plus I bet.
Aw Jack just a little more than I make I just Figured Out My income for the last 12 months For The Census A whopping $1,440. oo for the last 12 months. That was from My 10% disability From the VA . Yeps that Is it If it was not For Family I would not have even known you asked this . Much less have a way to respond to It.
So In Money I am less than dirt POOR but in family I COULD not be richer .So I say It is not money that makes You Rich Jack But the People you love that are in your life . That Is what Makes a person Rich .
In my opinion, rich is when I can buy myself, my siblings, and my parents a new home and never have to pay a mortgage the rest of our lives. The dream of owning a home is this country is fast fading.
Once you have that out of the way your job should pull you through the rest of your years.
That's when your rich. Oh yeah, I'm not greedy.
'Rich' is a state of mind. Many will never be rich, no matter how much money, property or other assets they have, because there is no such thing as 'enough'. People who seek to do good and help others with what they have are the rich ones.
Have you ever traveled outside our country? We're all rich.
Jack,
Having enough money to live better than your ideal lifestyle is when you have struck it rich.
It takes so little money that most people work right past it. It takes so much giving, caring and loving that most people miss that too because they are so busy working for enough money to be rich.
Being "rich" isn't always having what you want but rather wanting what you have.
Enough money to have security, home, food, medical care, education and recreation for your family ... and there is no way to put a absolute dollar value on it. How many times have we heard the line "poor little rich kid" – all the money but no love or attention from his parents.
if you had all the money in the world you wouldnt be rich-only good friends and family can do that.
Jack,
It doesn't take any money at all to be rich.
You can be rich in many other ways that are non taxable. Personally, I count myself rich because I'm surrounded by family and friends and have pretty good health. None of these are taxable !!
250,000 plus in texas a year is rich! 250,000 plus in New York not so rich.
$1000,000 to be rich, $250,000 to pay more tax.
Anything more than what I earn is considered "rich." But I won't tell you how much - or how little - I earn.
But I am taxed fairly and because I live in Canada where we have medicare, I don't complain.
Anything over 100k is rich. Nobody needs more then 100k to survive so therefore that's it!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
"How much money does it take to be “rich”'? Depends. Where do you live? Philadelphia, Pennsylvania, or Philadelphia, Mississippi?
If you live in the county and have only wood heat, rich is three cords of wood in February.
Why ask this question? Even if I have a dollar I am going to be taxed on it. So I must be rich because that is all I have in my pocket and the government wants my dollar. Here have it.
Sorry. most people don't know what poverty is. 250k even in NYC or San Francisco is very rich. These people and the CNBC types are just out of touch with reality. They don't live in the real world where people struggle. They don't go to our neighborhoods and they don't understand real Americans.
Jack,
My idea of wealth is enough cash to bury me and cover any expenses left behind. I came in with nothing & I plan on leaving the same way
$250,000 seems about right. If you're in the top 5% of incomes, you're rich.
Rich is someone who has a NET WORTH of $500,000 or more. A net worth of $100,000 to 250,000 is lower upper class, and 250-500k is middle-upper, or sub-rich.
Jack, Obama's $250,000 figure is a fine number for the "rich" definition. Sure, costs of living in larger cities is higher, but $250,000 is generally more than enough to live comfortably, even in these larger cities. And thinking outside of these metropolitan areas, $250,000 is a mythical figure to many. That's rich in my eyes.
How much money does it take to make me rich?? More than I have now, or will have in the forseeable future.
I think the true definition of being rich is having enough money to pay all your bills, taxes, basic amenities (food, clothing,) and utilities and after that is all done, still make enough to live extremely comfortably, with no worry about whether you have 'enough saved' to buy something you want. It's relative, I suppose.
In my situation, just $65,000 salary will do.
If you live in California $250k income is a minimum to qualify to buy a house. We are a 2 working parent family and don't even think $350k is concidered rich. We live in an upper middle class neighborhood (not the fanciest around, just a nice house). Can we base it on cost of living to income ratio instead?
I would say that the government would have to look at the cost of living, where this wealthy person is and make a valid judgement. Perhaps they should shoot for income that's considered "rich" in the place which has the highest cost of living. Or better yet, just make them pay a percentage like the rest of us.
How much money does it take to be "rich?" It all depends upon an opinion, therefore there isn't a definite answer. If you ask me...how about $500,000 a year?
Obviously more than your annual income, whatever that is . It all depends whose ox is in the ditch. Rght Jack?
Surviving within the contemporary American economy makes one 'rich' in comparrison to the many people living on the world stage. We often take our position within this culture for granted because of the competitive fever we have aquired being citizens of America. If we all sat back and simply enjoyed our lives regardless of what anyone has to say about us, then we can all begin to see just how 'rich' we all are.
Rich is when you dont have to work for living.
Lately, having enough money in my checking account at the end of the month to pay my mortgage, car payment and other bills makes me feel pretty rich!
I've made over $100,000 a year for the last ten years. I live alone in New York City and have two kids starting college. I do not feel rich but I do feel comfortable, at least until this year. I think President Obama has it about right. In New York $250,000 for a family of four is close to just getting by. But in the rest of the country I bet it's pretty comfortable.
Benjamin
My wife and I are both just finished with graduate school. We are both fortunate enough to have $100k jobs lined up, but we are saddled with over $300k in students loans.
Obama and our tax code think that people who make that much money are rich, so we will not be able to deduct our student loans from our taxes. In the end, we will probably take home much less income than before we went back to school. WHAT A JOKE!
Hi Jack:
I consider myself "rich" when:
I can feed my family a healthy meal each day... ...when
I can pay my bills each month... ... and when
I can give a bit back to my church & general charities.
By the way – not only do I fee rich when I can do all this – I feel
THANKFUL!
Best,
BRUCE
CA.
Rich, when I was a child was, to me, one million. Today, I would expect ten million to be right definition of being rich.
If you have more money than you can spend, you are rich.
Rich is always what you are not. It is always some percentage more than what you are. And once you reach that percentage, it will become a new percentage of what you have become.
How much does it take to be rich, Just a little more than you have.
I think rich is anything over 200k. Regardless where you live, if your bills are over 10k/month you need to do some rebudgeting.
Oceanside, CA
"The money that, at least, exceeds your expenses in 100% always makes you rich!"
Val-Las Vegas, NV
How much constitutes "rich"? More than I make, although I am in the upper 3% of the nation in annual income. My wife and I both work, live in the Washington DC area, have a mortgage and (at 68) are saving desperately for retirement after severe market loses. Increased taxes will certainly put a crimp in our retirement plans.
If you have to ask, you're not rich!
Jack, that's a loaded question. What one member of society considers "rich" is not what another would consider the same. As a middle income person myself, I think the definition of someone with an income of $700,000 is about right.. I'd say the average income of the average middle income american is somewhere between 50,000 and $60,000. Of course the less fortunate wouldn't see it that way at all. The problem with the "rich" is they have attorneys and bookkeepers to help them find loopholes to avoid paying their fair share of taxes, thereby leaving the middle income group shoulder the major tax burden. it's unfair.
jack;
money is a state of mind...."if you think you have it, you have it, if you think you don't, you don't....."
money is so overrated!!!!
wealth is measured by "the content of your charactor" !!!
tim
Jack, I think the 250K mark is a good line to draw. But, we only have to draw these lines because there are so many loopholes in the tax code. If it was just a flat tax, it would be more fair. I make about half that and I'm quite well off, thank you. I have 4 cars, 4 houses (3 of them rentals), and I live in a 4000sq ft house with a pool overlooking the beautiful Sedona red rocks. And btw, I pay about 7% federal income tax.
Just enough to hire a tax consultant to hide your assets and make you look poor.
These days, I think if you can afford to put your two kids through college and still plan to retire sometime around 65, you must be rich! My father's generation was able to do those things yet still be considered "working class" but, the times they are a changin.' Unfortunately, not for the better.
Why, that's easy. It takes as much money as the government can legally take from a person earning it. Have you read the tax code lately? It changes minute to minute to accommodate the needs of Washington.
I believe that people making over one million dollars a year should be considered rich, because if a family is on the border line of making 250 thousand dollars a year they will be paying a lot more of there salary then a person making over one million dollars. its not fair. Why should a person be punished for making a lot of money?
200K? People i know barely make 50K! these people are NOT middle class. They are very very very rich even in an expensive city like NYC. And i have no sympathy for their whining especially about their inability to use loopholes to cheat the government. Especially as i sit looking for a job.
People are complaining on how the goverment is aweful well if i was i would try to stop trading and try to start adding more money and i look at these people on the street and it makes so thankful that i have food and a roof over my head. I think if we stop the chiese won't attack ships we have know reason to be over there.
Once upon a time, having net assets of one million was sufficient, but I would say that amount is five million today....if no equity in the house, then that means five mil in the bank. But, someone with a very large income would also be rich because they are only a decade away of accumulating that wealth, say, $600,000 annual income, you know, someone who is receiving royalties from their second book. And thats the way it is.
$250K a year as a small business owner or as a resident of Chicago, NYC and most of California makes you upper middle class.
$250K a year in the rural Midwest or Deep South makes you wealthy.
Why are regional averages not taken into account when these codes are written?
My opinion is, there should be a sliding scale, there should be some sort of tax appeal form that allows someone in the $250,000 bracket whom perhaps supports a family, or lives in a high cost of living area, to remain paying a lesser yet adequate tax on their income. However, that being said, that could open yet another large tax loophole. Perhaps, these honest people might have to bite the bullet for the greater good of the country.
Jack,
Rich is a relative term, but my wife and I have a combined income of about $175,000 per year, and we live in New Jersey. We really enjoyed the property tax rebate, but when the state got into financial hot water, and they eliminated the property tax rebate for people with our income, we figured that's life, and we all live in the same society. So, call me socialist, but I figure that if you can be taxed and still live better than the people that your taxes are going to help, you're rich.
Jack: I could feel rich if I could pay all my bills without angst each month plus be able to make an impulse purchase without regret. Being able to take a European trip each year while still being able to sleep at night would be a nice perk. I don't need several million dollars, but $1million would go a long way! PS: having enough $$ to made financial contributions to deserving causes (including my family) would also make me feel rich.
Well, I live on $1191 Social Security monthly and have no savings account or 401K. I consider myself to be one of the richest women on the planet. There's a HUGE difference between having a life and making a living.
Jack, it doesn’t take any money at all to be rich. I have my wife and son and we all love each other and care for each other. Everyday, several times each day, we tell each other how good the other is and why. We are generous with “I love you,” too. We don’t need a bank for it and we don’t pay taxes on it. We are plenty rich.
It takes "0" money.
Tomorrow I will celebrate my 78th year on earth.
Thanks to the wealthy in Washington, I must live
at very least, ten more years to restore my measley
savings, so I might have a final celebration.
"RICH"....comes in many forms. Seeing the sun rise tomorrow\
is number 1....for me!!!! Too bad, those much younger than I,
don't have the same values.
Perhaps, I shall be lucky enough to restore. If not, the
world will keep right on turning. My riches....would be
to see the world turning. PEACE
Jack, the real tragedy in all of this is that the majority of the people have still not realized, that money, in and of itself, does not make you rich.
Jack- You can feel rich when you say "I am satisfied with what I have". It's about wanting less and not having debt. If your outgo exceeds your income, then your upkeep will be your downfall.
A lot***********************************more than I have
I feel like a rich man as long as I have a healthy family and have God first in my life. As far as money goes, maybe a million if it continues to make money for you.
If you could see a picture on my handsome new grandson, you would know why I am super rich.
If you have so much money that your money works for you instead of you working for your money then you are rich.
Newark, De.
Anyone who makes more money than me. Or how about anyone who takes government bailout money as a bonus.
Who cares? I believe it's a different figure for each person. Let me ask you a question: Who is richer the man with more money than Bill Gates or the man with excellent health, the love of his family and the satisfaction of living a full life? I'd love to have money but I'm very happy with my life. By my definition; I am rich.
I was always told, "It doesn't matter how much you make, but how much you spend." So a person making only $300 a week can be rich based on that law of income vs. spending. A person making $750,000 a year can be broke if they spend more than they make. It would seem that they would look at assets, stocks, bonds, gold stored, and liquid assets to figure out this equation. A person is rich if they have no debt.
Alton
Atlanta, GA
More than what I've got.
If you can live for more than a year without working, while maintaining the same lifestyle or seriously drawing down your assets, then i'd say you're rich.
How about anything over $10 million bucks? That should do it.
90% of the country can not be the middle class. Some are poor and some are rich. The top 10% of earners should suck it up and be called rich. The lowest 30% should accept they are called poor. Those left can be the elusive middle earners.
"Class" should not be in the definition. We pretend to be a classless society and everyone wants to seem common. Over $150K is rich even if you have to go to work each day to earn it.
Tucson, AZ – J. P. Morgan said it about the cost of his private yacht: "if you have to ask how much, you can't afford it." To me, rich is never having to ask ":how much" before you buy. These days, when ten million dollars in IBM stock pays dividends of fifty thousand dollars per year, a million dollars does not look like much. Four years ago I had net worth of three hundred thousand, then I lost my job, and now I have nothing but a house whose value may barely exceed its mortgage. At a minimum, the truly rich are able to live in the style to which they are accustomed without having to work for it. Everyone else is just a better off wage slave – like you and Wolf, Jack!
If your wife is happy. If your kids are healthy. If your
job affords you two steaks dinners a week and a good
vacation once a year. If you break even on payday and
you live in America. If you have all these things....then
you're rich.
As far as what the government thinks.....WHO CARES ???
That is a very relative thing, Jack. I get just over $1000 per month Social Security so rich to me is far less than someone who considers themselves poor making a couple million. As you pointed out the cost of living varies enormously from place to place so there cannot really be a set figure that is the definition of rich.
People that make $250,000.00 a year ARE rich. If they can't make it on that they are living over their heads
What about the people that have lost their jobs because of the criminals in Washington that are bought and paid for by the corporate terrorists that belong to the "free market" ..the end is coming for them the people WILL revolt when the pain grows large enough
Jack,
I don't know about being rich. But I'd consider having a "Job" as putting you in that category.
I grew up in a home that brought in ~$250,000/year and I would consider us upper middle-class but not rich. I consider the rich to be making a million or more a year. I say this because with that kind of cash you can go out and live a life far beyond that of someone making 3/4 less than you.
I'm 20 years old. If I were to one day call myself rich, I'd need to be living comfortably and without the necessity to work after 50. On top of that, I would need to have the ability to leave my children a financially stable for their first 20 years of life, should I no longer be alive. Of course, all this would be after annual taxes.
If anyone has this, then perhaps I would consider them rich. $200,000 a year is rich.
My idea of being rich is to have $2000.000 stashed away getting 'interest' a beautiful morgage free home, & most of all, being HAPPY!
Nobody should be able to give you a clear answer on this. It is not a question that can be answered. The are too many different factors and we all live different lives. If you have a yacht, private plane, or a country or summer home than you are probably well off. I think you have to look at a persons total net worth to make this determination, not their annual salary.
Rich is a frame of mind. If you make more then $1000,000/Yr could be considered wealthy.. unless you live in NY city or CA then you are upper middle class and anyone who host Situation room is super Rich!
I see a difference between 'rich' and 'wealthy'; In order for one to be rich, your household income should be somewhere between three or four times that of the national average – anything in excess of that, I would consider to be 'wealthy'.
But of course, being rich isn't always measured by dollars or material possessions.
Ryan,
Toronto, Canada
A much higher income should be used to define "rich." It is reasonable to see that with a dual income household, that many households making around $250,000 could be just getting by with high mortgages (which probably are not valued like they were) and other cost of living expenses. A higher tax an the real rich would make more sense and using an annual income of $500,000 would be fair to assume.
If you live in Texas making 250,000 or more in Texas which is less than 5%. You consider to be rich.
linda
Texas
Jack, after the shape the former admistration left us in I consider myself rich if I end the day with $1 left in my pocket. I say in my pocket because in our economy who needs a wallet anymore? Wallets are for the rich.
250k is a good number. They need to raise the tax rates on people with money and stop being pickpockets to those who don't. In the end people with the fewest resources end up paying for everything through higher prices.
Ed S.
Jack,it takes so little money that most people work right past it. It takes so much giving, caring and loving that most people miss that too because they are so busy working for enough money to be rich.
jack,
"rich" is whatever arbitrary number the government assigns for tax purposes. i make over $250,000 and in NO WAY do i consider myself rich. the amount i pay in taxes is obscene. however, obama thinks i should pay more so he can redistribute my suppossed "wealth" to others. it's time for a flat tax or the fair tax. the current system is arbitrary, broken, completely unfair!
indianapolis, IN
It all really depends on disposable income. It is a hard number to grasp. A person in LA making $250,000 will have to commute an hour one way to work, and likely will be working 3/4's of the year just to pay the mortgage and all the taxes. He may be able to take one nice vacation a year with the extra money he makes, but that is no different than most middle class families. If the same guy worked in the Midwest he may be able to afford a whole block of houses. So rich depends on perspective. The same guy renting a house in a nice part of LA will have a lot of disposable income, but, is someone who doesn't even own a house "rich"?
In my opinion, rich and wealthy are different things. If you're rich, you make a lot of money but have to still go to work for it everyday. If you're wealthy, money is earned as a residual every month and you don't need to do anything for it because the work was done once.
For me being rich is being comfortable enough to pay my bills, take some vacations and have a little nest egg. I had that until last year. Now I worry about everything because my nest egg has dropped 40%. I still don't feel poor, however. If being rich means you do nothing all day, buy things you don't need just to say you have them and pay excessively for everything, I don't want it. I don't need a bunch of houses, planes, and fancy cars and I don't need outfits that cost thousands of dollars. The richer you become the less you appreciate the really important things in life – it isn't money.
Jack,
A person who makes 1 million per year is definitely rich....However they must also hold one fourth of that or less in debt.....
in relative to where I live, to survive, just to survive in NYC, you must make at least 2k bring home a month.....to live comfortably, one must bring home 5k a month......
if you don't have to decide whether to buy groceries or your prescriptions then you are rich.
It isnt the amount fo money you make but the relationship of income to expense (living expense). That can be adjusted per area and economy. A "rich" person who moves to a more expensive area may be lower middle class.
If I had an income of $100,000/ yr in southern lower Michigan... again in the right area I would be rich. In the wrong neighborhood I couldnt survive. In LA I would still be begging for a good restaurant table.
$250,000 but it does no person should pay taxes on labor! Income taxes was meant for companies not for people who work for them. The Congress knows full well the we are not supposed to pay income taxes on our income! But we all know that these companies really do not pay the taxes, they put them off for many years, they use all the loopholes that they can find, because they never intend to pay taxes at all! And that is why they are all trying to become Mufti-National companies to get away from pay any taxes at all! Look at how they are crying foul these days!
Another day, another dollar. A million days, a million dollars...If I could only live to be 2,739 years old I would be a millionaire.
Jack, I can't put an exact dollar figure on it, but if you hope Obama fails you're probably making too darn much money!!
anyone who haves 2 times what you do is rich.
Rich varies on how well you live within your means. You can make 50k/year and live well if you live simply. We've also seen celebrities making a million+ a year filing for bankruptcy.
Intellect outweighs income.
Jack, the idea of being rich is heavily rooted in greed!! Being rich as you stated in your blog is a relative term interpreted by those who have money or aspire to have it. Sure it would be great to have no money worries, but myself, like some others are happy to simply be employed given the current state of our economy. I love my job and I understand money isn’t everything nor does it make you!
I consider "rich" to be anyone making per year the regional cost of living plus about 25%. At its heart, it comes down to math, and I see no reason to complicate matters any further.
There are a lot of upper middle class families which are put in the predicament of being considered rich even though they are not. If people simply look at a salary they aren't getting the full picture at all. I don't think it's possible for our government to effectively raise taxes without someone getting left out in the cold. However, I think that the rich in our society need to be taxed a little more. The rich are too affluent and as long as they can buy a new foreign car every year they're happy. That may be good for the foreign car company , but it's not good for the rest of America.
I'd like to comment on this question. I find the definition of the Securities and Exchange commission a more correct way to categorize someone who is "rich". In my opinion, anyone who makes more than 1 million dollars a year and has investments worth at least that much – would be someone who is "entry level" rich. There does need to be differing levels of taxes based on the upper levels of those who are millionaires. Any person who can afford anything they want, never has a worry about how they are going to afford living expenses, paying for school or food even; that is someone who is rich.
This does not define most of the people who live in the United States.
Anyone who's income falls under 1 million dollars a year is not rich.
Looking at Forbes magazine and the top richest people – they make billions. So if the Obama team thinks $250k makes a person rich and they should be included in that higher level tax, needs to take a better look at what rich really is.
Just because you make $250k doesn't mean you don't have $200k in living expense based on where you live or if you have kids in school.
I think this would be a bad move on Obama's part. And I'm still not sure I feel good about the way he is handling things for us. I worry that he doesn't have the experience to cope with all that is going on and may make unfit decisions. I guess we have to wait and see.
First, let me just say that I am not rich, but believe that tax on income is inherently unfair. A millionaire does not breathe more air, take up more space, or use public services. But they do create jobs, are self sufficient, promote charitiable causes and darn it, we shouldn't punish a person for making money. Nor should we set the expectations that any able bodied and sane citizen should expect a hand out from those that do choose to be ambitions, work there way up and achieve wealth.
Now that said, I think if you were to define "rich" for a family of four it would be more do to with not worrying about health care, food, shelter or clothing than it would be about money. Everything in excess of that would be disposable income. Someone that has 4X the resources that it takes to meet basic needs after all debt consideration, I would consider wealthy. We need to define what these basic needs cost before we start labeling people "poor" or "rich".
One thing is for sure, the government has proven that they do not know how to manage money well and squander it at every opportunity. We should really be talking about where we should be cutting government waste and instituting performance metrics on government that can be verified by external resources before having any discussions about taxes. Citizens should not have to tighten their belts while the government goes on a shopping spree. The real question should be, "what do I get for my tax dollar?" not, "we need to tax those rich bastards" This administration is taking advantage of a bad situation to push thru a political agenda with the convenient "I inherited this situation" fall back if none of it works.
Outside looking in,
Rich is wearing $500 dollar shoes at soup kitchens & volunteering to the poor. Those who drive big burning diesel vehicles, such as hummers, during this time of being "green". The arrogance of that shows the disregard the current of our planet & economy.
Thanks for the great work Mr. Cafferty, the questions & debates are always fresh unlike our air we breathe.
1) Have you ever tried to convince someone of lesser income to pay more in taxes while you should pay less and call it "fair"?
2) Have you ever convinced someone of lesser income that they should work more hours for less money?
3) Have you ever convinced someone that uniting with fellow workers is wrong?
4) Have you ever convinced someone it's about the company not the people who work for it?
If you answered yes, please take a look at your salary and bank account. Then please let Jack know the amount. That's how much money it takes to be "rich"
$250,000 but it does not matter no person should pay taxes on labor! Income taxes were meant for companies not for people who work for them. The Congress knows full well that we are not supposed to pay income taxes on our income! But we all know that these companies really do not pay the taxes, they put them off for many years, they use all the loopholes that they can find, because they never intend to pay taxes at all! And that is why they are all trying to become Mufti-National companies to get away from pay any taxes at all! Look at how they are crying foul these days!
Jack,
I have learned that it doesn't matter how much money you make, you will never feel that you are rich. I know people at both ends of the income spectrums and everyone seems to feel that they wish they had more.
I feel that if you are not living off of cheap pasta and you can answer the phone without worrying that its a collection agency, you are richer than I am. A rich person worries about making their new car payment, I worry about my old car breaking down.
I think of being rich means that you have more control of things other then money like goverment, people, the media(not CNN), ect. I think that athletes, actors and actresses should be taxed the most because why should they make so much for a simple job and the President makes only $250,000 a year.
More than 250 k annually. Probably closer to 500k.
Jack, I think I am rich when I can buy new underwear and socks and not feel guilty for spending the money, and you're really rich when you can get elected to Congress. Jack From Nice, Ca.
At this struggling times, if you have more than $5000.00 in your savings acct, you are a very rich person from my point view.
Well Jack, it takes me to be rich by winning the mega millions or winning the power ball for $100 million dollars. With that kind of money, I would buy a house, a car, go to any college or university that I want, donate money to charity, and save it to my retirement account.
It depends on where you live because the standard of living is different all over the country. I'm in North Carolina. I've deduced that if I had a job that paid $100,000 a year and still thought I was poor, I don't need to work. After taxes that's about $75,000 give or take a few numbers. I could greatly improve my standard of living in no time. I'll go with President Obama's assessment of over $200,000. Because let's face it, who said you had to have a facial each and every week or little Johnny has to go to private school. I can do my own facial with some honey and egg and little Johnny can catch the 40 seater B.U.S. to public school.
Well Jack, I think I'm rich because I have my health and a happy family,friends,a home,live comfortably and have an open and kind heart. But for taxation purposes – Obama's $250.000 needs to be raised because of what has recently happened in the markets,401k's,and home values. People making that much money now have high bills to pay because they always live beyond their means. In today's definition of being "rich" I think a person has to have at least a couple of million dollars.
To be wealthy is when you are making so much money that you don't know how to spend that money. You are debt free! If you get a tax increase, you don't even notice it. That's wealthy!
That's an easy one, Jack. A person is considered rich any time he or she has more disposable income than you do. The grass is always greener . . . blah-blah.
Seriously, though, rich is a relative term. We know that Bill Gates is rich. It's the gray areas that are the unknowns. To many, you are rich if you have a secure job, good health, a loving family, loyal friends, enough food to eat, a reliable vehicle and a home to shelter yourself in. What else does anybody really need? You can only comfortably watch one big screen TV at a time. Do you really need 3 or 4 of them? 95% of the people on this planet would consider themselves rich if they had only those seven things. We have gotten too spoiled.
Ron in Oklahoma
Rich isn't a number, Jack, it's a lifestyle. An income that would make you rich in Billings, Montana would leave you a pauper in New York or Los Angeles. There really is no bright line here, but if your annual income exceeds the median price of a home where you live, you can probably rest assured that you're rich.
Being rich is largely dependant on where you live, & your expenses. We lived in CA till we moved to TX 3 years ago. In CA we had a lot of expenses like state income tax we don't have here, but we spemd lots more on energy.and property taxes. The best idea is to find a high income low tax place to live.
Rich is not about money. It is what you do for others. Our government wants to tax the so called rich and give and give to the poor. This is not a novel idea as Robin Hood did it some time ago. The only rich people left in America are government workers who get raises each year and have the best health care and retirement benifits in the world at the expense of the poor, not the rich. An example is my postal delivery. I have lived in the same house for more than 30 years and in the past few months I have been turned over to collection agencies several times because I have not paid bills I never received. The USA governement is rich and nobody eles.
Maurice
Two Rivers, Wisconsin
I'd say anyone in America that makes $100,000 or more per year should be considered rich and taxed considerably. The cost of living in any American city isn't going to bankrupt someone making that kind of money. If you can't pay your bills with those huge $4100 every other week paychecks then you are definitely living with way too many excesses. Sell the boat that you only use twice a year, get rid of all your other toys that you don't need, stop living in the 10 bedroom home and start to live within your means. I make a little under half that much money per year and have no problem making the vehicle payment, house payment, keeping the lights on and still have plenty of funds left over to enjoy life.
Chris Leibel
Willmar, MN
Greetings Seniour Cafferty;
According to the amount of money in circulation due to the TARP, I presume $40Million+-$10Million.
If there is any more money put into the system the US will go the way of Zimbabwe where a loaf of bread costs 1Billion Zimbabwe dollars.
Ma Salama
Jack,
I have the best wife and a peaceful life. I am amongst the riches.
Rich to me means you're able to pay ALL your bills on time and still have money for food, medicine, doctor and dentist appointments, and maybe-just-maybe have a little left to save for retirement, holidays, birthdays, vacations and home repairs. Unfortunately, I've never had the luxury of this worry-free lifestyle. I think $100,000 a year would make me very happy!
My ex wife is worth over $4mil, does not work, lives in a big house, and has told me she is "poor" and on a "fixed income" I pay child support and she wants more! It is time these people, who are clearly "rich" start paying their fair share. Time to grow up. Wealth should be based on total net worth, not the income they choose to draw each year.
I have a Roof over my head, Clothing on my back and Food in the refrigerator. I can't get no Richer than that.
It all depends on where you live. Whats the point of making 250k and be designated as wealthy if you don't get to keep enough to actually live like your wealthy? The government thinks they're doing the right thing by taxing wealth but in reality they're discouraging it. This is a way to keep people from becoming wealthy because they'll not want to pay the higher taxes as a result. The govt. could not raise taxes if they'd merely do like so many citizens are having to do and that's CUT, they have to CUT this excessive spending, borrowing, overseas aid, bailouts and just live within their means like everybody else. Because always remember a government that lives beyond its means will condemn its people to live beneath their means. Trying to find a definition of wealthy is more of a fallacy, its like sports fans arguing over which team is the best. People shouldn't be surprised when a Democrat acts like well....a Democrat with these tax hikes.
Being rich is a state of mind and can not be defind by any government entity or individual. Some poor people do not envy the rich and have a healthier outlook on life while some wealthy people are miserable in their own cricumstances and feel that they will never have enough.
The Obama administration is playing a dangerous game of pitting one economic group versus another. However, bailing out the banks that are still stingy with their lending while foreclosures and unemployment continue to mount is utterly outrageous, especially when these banks received no cost taxpayer loans.
Instead of taxing highly those that earn more than $250K targeting corporations that shelter literally billions offshore and foreign banks soliciting tax evaders for investment overseas would be more enviable and does not create an excuse for class warfare.
Maybe it is time to think first and act second. The TARP, TALF and Bank Stress tests with trial balloons and leaked information is not very professional, nor is attempting to define different degrees of wealth.
I believe Americans are too smart for these games.
jack,
money does not make anyone rich. all money does is let you accumulate things. it is time we roll back the bush administration tax break for those families making $250,000 because as i said money does not make anyone rich.
bob
Well since I am not in that 5%, I think a quarter of a million sounds pretty darn rich. I must be poorer than dirt. $250,000 is enough to pay more taxes. If they don't like it, let them trade places with me. I'd gladly pay more if I made that much.
Jack,
Rich means having the money to buy or do anything that you need or want. That is why extra money received, as with tax cuts, has zero effect on the economy. The rich have no need to spend it. The money is invested in developing countries, as the rich are accustomed to much higher returns than the rest of us.
Mark Coslov
For what purpose? Taxes? Peace of mind? NO idea. Don't care.
A family that loves and supports you through lifes journey.
When you have a building dedicated to holding all of your money, and are capable of swimming in it, you are filthy rich. I guess the only ones that fit that category is Scrooge McDuck and AIG.
It is not a question of being rich, as you call it. It is a question of who can afford to pay the taxes that go to run the country. Households with an income of over $250,000 can surely afford a few dollars more than households that are struggling just to eat.
Well jack it would take me twelve and a half years to earn $250,000. That's before taxes.
If I had more than one house, several cars,a yacht, had money in the swiss banks.and acept money from lobbist., I would consider myself rich.
C'mon Jack give me a break!
I will gladly trade my $20K annual income with someone making $200K and pay their tax rate with a smile... Those people either conviently forget what it is like to be poor or never were! My heart bleeds for there sorrow.
I heard Garth Brooks once say he and his children and his grandchildren could not spend all his money. That is rich.
Instead of trying to define the word rich, how about just leveling an across the board flat tax with no write-offs? No one gets a free tax ride and everyone is equally burdened. I bet the deficit could be paid off quite quickly if employers finally paid the same percentage in taxes as its employees.
Richness is a relative word and any attempt to quantify it is either dump or a political craftiness. And I believe is the latter. What these politicians forget to mention is that those making over their defined "rich" figure owe alot in student loans and their children are not allowed financial aide. This is why I am reconsidering voting for Obama in 2012.
John A, MD
new york.
Jack, When I was growing up my father would always jokingly ask what the "poor" folks were doing after we ate a good meal. My parents had six kids, so we were far from "rich". It was my father's way of saying rich is relatiave. In these shaky times if you have a job, a roof over your head, 3 squares a day, and clothes on your back, I would consider that rich.
What type of rich are you talking about ?
I have seen miserable weathy people and I have seen poor people wiht out a pot to piss in who have far more "rich" lives.
As far as the US goes I have been in Idia which makes even the most poor areas in our citys look rich by comparision. It is all about perception. Being poor sucks and I am poor. But being rich also sucks having thta happy medium is best.
Jack,
The definition of "rich" has changed dramatically over the years. It changes because it depends on the value of your money – what your money can actually buy you.
If prices were what they were in my grandparents' time and a gallon of gas was $.05, an average house was $25,000, and a car was $2000, well then, yes, $250,000 is definitely "rich."
With the gov't pumping in all this money into the system to "help" us, this causes inflation, by the way, and devalues the money in our pockets, prices go up on all products, so the same $250,000 can't buy the same amount of stuff.
In this day and age, living in Los Angeles, $250,000 doesn't buy much. So in this viewer's opinion, that is not rich. "Rich" depends on what you can buy.
If you ask the question, you aren't
Between $500,00-up.
It takes Wolf Blitzer's money to be considered rich!!!
"Rich" is a term only used by those who are not. If you ask any "rich" person if they believe that they are rich, they will probably say that they are "comfortable" but not as rich as so and so, (insert any billionaires name there) So it depends on who you ask!
What I think we need to do is to stop worrying about having material "stuff", like much of those more fortunate than us and be happy with our health, and our family. For those that have both are truly "rich".
Saying that, I do belive that those who are more "comfortable" have an obligation to society to help those who may need it!
Barrie, Ontario, North of the border!
This question was answered in the Talmud about 2000 years ago. Quote:
“Who is rich? He that rejoices in his portion”
If you make above $300,000 a year, you're rich. Most people can only dream of such lofty heights. People that complain about making around that are just complaining to complain. They have no idea what its like for the rest of us.
Together, my husband and I barely make $50,000 a year. For most people, thats barely in reach.
Nothing can make you rich in USA. if we still have Bush family in the Government of this country because they know how to make people poor by messing up the whole country economy.
The 'super rich', as you call them, are about the top 1% of the country and they are bankrupting the rest of us. They make oodles of bucks from their money making money. Absurdly enough, they own about half of absolutely everything. And everytime you spend a buck, about 27 cents of it ends up in their hands. The other 99% get to divy up the remaining 73 cents. Then that same top 1% pay less in taxes than most of us, becasue their money comes from capital gains not income. The answer is easy. Make capital gains tax progressive. Let me say that again. Make capital gains taxes progressive.
Tim in Texas
Jack, if you hear about Obama's plan to raise taxes on the wealthy, and know that your lawyers and accountants have figured out how that won't hurt you, then you're rich. The really wealthy just laugh at Obama, because for every loophole he closes they have 5 more just waiting.
If you make $1,000,000 a year you are rich. You can be quite well off at 250k per year, but $1,000,000 is rich.
In america we see poor as people making around minimum wage, on the other hand, we worship people who supposedly "earn" billions. So, as long as there are people who can buy islands, planes, countries, and governments, and we see no problem with it, no amount of money is considered rich.
As a New York City college student I expect to graduate college and make at least $60,000 or else I cannot move out of my parents house and start renting alone in the City. But if I wanted to live in Albany and work for the Government, a $40,000 salary is just fine for the area.
If the high rates of these executive salaries is the problem, raise the minimum wage to force the company to lower executive pay.
Don't forget that if you make $250,000, that's not take home pay. After the gov't has their hands in it, that amounts to a little over $100,000.
The SEC's take on it seems way off. My parents probably will have 750,000 set aside once they sell their property, but this is their retirement fund and I don't see that lasting very long without them working well into their 60's.
Rich (in monetary terms) to me is what most of us call "mega-rich". The higher income people ($250,000) are just that; higher income middle class. And yes, region/cost of living statistics plays a big role. NYC is more expensive than Hickville. Also, if you share your shack with chickens and sleep on a dirt floor, you'd see the guy living in a ghetto projects building as "rich".
I do believe one million separates the "boys from the men"...the term "rich" is a very subjective one that is used way too often..since there are such a low % of them out there.....rich to me is someone who makes Millions and has some to speak of in the bank at the end of the year ! There are many "classes" of rich as well....the well -to-do..the rich and the rich-rich and then the word WEALTH is used !
About $100 more then you spend and a friend.
In my opinion, to be rich is to be wealthy. Income from the work of your hands to provide for your family is not wealth. Wealth is income from your stocks, bonds, rental properties, businesses and other capital investments. When your money earns more money it should be taxed higher than when a human earns money. When the day comes that Uncle Sam can draft businesses and corporations and send them into war, give them a flag and maybe a metal when they “Die” in battle, maybe then the tax should be equal with humans.
Jack,
Define Rich.
I am a single mom of a special needs child who suffers from an autistic disorder. We live on about $1,000/month. Our rent is determined according to monthly income and we live in a safe community. We get a little help with food and we have medical insurance. Good thing our monthly prescription costs is about $1,500.
I received a brain injury 4 years ago and I am no longer able to work but I am not receiving any disability at this time.
We do not smoke, drink, or go out to eat. I don’t have any credit cards or debt. Because of this, I am blessed to be able to see you, Jack, every day you’re on CNN and to have the Internet so that I can answer your questions.
I’m rich according to my definition of rich. I’m richer than those who have lost their jobs or their home. I’m richer than those who lost so much in the Stock Market and all those CEO’s who caused our economic meltdown. I’m richer than those 5% who are considered financially “rich.” I’m richer than the majority of people around the world who don’t even have a place to live or food to eat.
Define Rich . . . and you’ll see me and my son’s name there.
Thanks for your questions, and love the answers I hear everyday.
Beth
Albany, OR
Jack,
Rich means you can live comfortably, do what you want, go where you want, buy what you want, and quit your job anytime you feel like it. It's synonymous with hobo.
Jim
Reno, Nevada
I am a Colonel in the greatest Army and military in the world, with a wonderful country, super wife, two awesome kids, and three grandchildren that I would stack up against any Hilton brat or any other spoiled kids out there. Jack, I am way past rich.......I am totally blessed beyond measure and as Alexander the Great said, Fortune favors the bold!!
Any arbitrary salary amount or percentile of population number is wide open for debate. Top 5% constitutes 15 million out of 300 million and seems as good a number as any but you would think you'd need more data.
Rich is never having to say "I can't afford that".
Jack, saying households who make more than $250,0000 aren't rich is crazy. Where I come from househoulds that make more than $100,000 are rich and I live in California. Raise taxes on all of them.
To some.... being rich means being able to buy your way out of trouble any time they need to!!
Rich is a state of mind as well as monetary. If you have money to live the type of lifestyle you and your family want to live with quality of life, then I would consider that being "rich". If you have good health with a moral compass, then I would consider that being "rich". There are people in this world who have money, but they're in poor health. They would pay whatever it takes to get healthy. So there's a great deal more to being rich in life then just having money. As we all know, money does not buy happiness, but it can ease the pain a bit.
Jack, these days probably seven figures on your income annually. I live in Chicago and in just the pasy month, gasoline prices have shot UP again by 50 cents a gallon. What's going on here? Haven't we, the U.S. citizens, been bombarded enough? This is ridiculous. Yes, Jack I feel a seven figure income is what can be described as "rich".
When you don't have to worry about how you are going to pay your bills and have already secured your retirement. Otherwise there is no dollar amount, because more people make mor they buy lavish things and still get in trouble. I say 250,000 dollars should be rich enough. If that is not enough then you deserve every trouble you get into.
no matter how much money you make it is never enough..where do you think the expression, the rich get richer and the poor get poorer comes from.
Anybody that makes over $500k a year is definately well off. I do not think you can quantify rich per se, but the American public that worships all the false gods: celebs, sports figures and the like that earn mega-millions are definately rich, and they should be taxed accordingly, say 50% plus. 1% of the people hold/own 90% of our Country's wealth, and that is a joke. When are we going to pay people accordingly...never.
Gary
Lexington,KY
I will answer your question with a question, HOW MONEY DOES IT TAKE TO BE RICH? When you make $14,000 a year opposed to making $250,000 a year, now you tell me who is rich? There are a lot of other ways that I can be rich without having a dime, that would be through SALVATION. Of course everyone doesn't think like that but I do. SALVATION is free all you have to do is believe, and I DO. May God bless you RICH GENTLEMEN.
Of course, "rich" is a relative term, but to include those households reporting a quarter million dollars a year, with households reporting a million or more, for the purpose of a tax increase intended to remedy spending deficits, is simply out-of-touch with reality. "Rich" should be reserved for those among us who are no longer burdened with such things as comparison shopping.
Houston, TX
I think if you make over 200k, and you arent "rich" then you spend too much, and if you live as many pompous persons who make enough to live on keep saying....within your means, those folks could easily BE rich in a short time.
But as most people are, they are impatient, but the difference is, people at that high of salary ALWAYS get more opportunities to increase their pay and incomes through multiple sources, while lower paid individuals do not ever get those opportunities or cannot take advantage of them if they see them.