Everyone has his own definition of wealthy. In fact it is a relative term. What is rich for some may not be rich for the others. President Obama believes that an annual income of $250,000 puts you in the rich category. But if you are Donald Trump, you need all of $2.7 billion to feel rich. Then there are millionaires who feel they have arrived in the rich club if they are worth $7.5 million.
Phoenix International and US Trust came together and did a survey of people with $3 million or more in investible assets. The result of the survey has come out in US News and World Report and it elaborates on how people define being rich. They have given five examples and the first is the simplest when money is not a problem and you feel free to buy anything without thinking about how much it costs. Many people have a magic number in mind which they consider to be the threshold of being rich. It could be $1 million or even $10 million.
Some people feel that they are rich if they are free to pursue their interest or passion without compromise. There is a bracket of people who talk in terms of their family office. It is those who are worth $100 million or more because it is only then that they need a family office and can afford it. The fifth example of an indication of being rich is when you think a salary of $1.6 million a year is not a lot of money. But there was a vast majority of people among those surveyed who said that wealth was not of primary importance and what really mattered to them was “the quality of relationships with family and friends and the success of their children.”