How much you need to be part of the richest 1% in the United States
A study has revealed how much you need to be part of the richest 1% in the United States; a task that could be somewhat complicated.
A recent update reveals what it takes to qualify to be part of the richest 1% in the United States, and to do so, it would be necessary to have a net worth of at least USD 5.8 million.
In other words, only 1% of the citizens in the United States have more than USD 5.8 million.
The figure represents an increase of 12% compared to the USD 5.1 million needed just a year ago.
Such an increase highlights not only the widening economic gap, but also the impact of inflation and rising interest rates on the country’s lower and middle classes, according to Knight Frank’s Wealth 2024 report.
The requirements to be part of the wealthiest 1% in the U.S. is now more complicated and suggests that, altogether, it is a very select group.
The tightening of the bar to enter the elite 1% club is even more pronounced when looking at the growth required since 2022, when a net wealth of $4.4 million was needed to achieve this status.
Read more: THE WORLD ECONOMY IS ACHIEVING EQUILIBRIUM A POST-PANDEMIC.
To be part of the richest 1% in the United States: Other countries.
This climb in the wealth caps, the United States ranks fourth in the world in this regard.
This trend is similar in other countries with even higher requirements, with Monaco, Luxembourg and Switzerland standing out in the top positions.
Monaco tops the list with a required fortune of USD 12.9 million, followed by Luxembourg and Switzerland with USD 10.83 and USD 8.5 million respectively.
These figures, to be part of the top 1% of the richest in the United States, are confirmed by Knight Frank with information initially disclosed by Bloomberg.
“Our findings confirm the substantial differences in the distribution of wealth between countries,” Knight Frank highlighted in its report.
This situation not only highlights global disparities, but also suggests a near future where government policies may focus more rigorously on the location of wealth, its distribution and strategies for its growth and taxation.
While the report shines a light on the requirements to be part of the wealthiest 1% in the U.S., it also sheds light on the situation of low- and middle-income families in the U.S., who are facing tough times due to high inflation and rising interest rates.
Read more: MACY’S NEW STORE STRATEGY
A GOBankingRates study reveals how the power of a six-figure salary is rapidly diminishing, especially in high-cost-of-living cities such as San Francisco, Arlington, Virginia and San Jose.
In some of these cities, an annual income of $150,000 is even considered “lower middle class”.
In contrast, and despite the economic hardships affecting much of the population, the 400 richest Americans have seen their net wealth soar, benefiting from a rising stock market and a technology boom driven by artificial intelligence.
Forbes reported in December that these moguls increased their collective fortunes by USD 500 billion in 2023, reaching a total worth of USD 4.5 trillion, the most since 2021, according to the media outlet’s real-time billionaires list.
