How much money does it take for an American to be wealthy? The answer depends on how you ask, according to Charles Schwab's latest Modern Wealth Survey, released Tuesday.
For years, Americans have been telling Schwab's commissioned pollsters that it takes around $2 million to be considered wealthy — $2.2 million in 2023, unchanged from 2022.
But 48% of survey respondents said they already felt wealthy, with an average net worth of $560,000.
Not only that, nonfinancial assets, such as family and health, were far more influential in their definition of wealth than large sums of money.
Sixty-two percent of survey participants said that being able to enjoy healthy relationships with their loved ones better describes wealth than having a lot of money, and 70% said wealth is more about not having to stress over money than having more of it.
What Does 'Wealthy' Mean?
Asked to define "wealthy" in their own words, 40% of respondents mentioned their well-being, compared with 32% who said money and 26% who said assets. Among baby boomers, 83% cited not having financial stress over accumulating more money, and 79% cited enjoyment of experiences.
"Americans today aren't as worried about keeping up with the Joneses, and more importantly, they understand that they can be happier with fulfilling experiences and relationships, even if they have less money than them," Jonathan Craig, head of investor services at Charles Schwab, said in a statement. "We're seeing these trends at Schwab as well."
