Here's how much money it takes to be 'rich' in NY, NJ, CT for 2024 (2024)

FAQs

What is considered wealthy in 2024? ›

For example, individuals with $1 million in liquid assets are generally classified as having a high net worth. To be considered very high net worth, one might need assets ranging from $5 million to $10 million, while an ultra-high net worth status could require $30 million or more.

The No. 1 richest state, meanwhile, is Connecticut, where residents have to bring in roughly $656,000 to be among the top earners.

According to IRS standards, a monthly income of approximately $45,000 qualifies someone as wealthy. However, if you're aiming for the top 1% as measured by the Economic Policy Institute (EPI), you'd need to earn about $68,277 monthly.

The highs and lows of wealth in America

New Jersey stands out with the highest threshold for the top 20% of earners. An individual in New Jersey must make at least $180,558 annually to be considered in this upper tier.

The site released new data showing how much the definition of middle class has changed in every state in the country from 2012 to 2022. In 2012, on average, a household income of $35,364 put you in the middle class in the United States; in 2022, $50,099 was the minimum household income threshold.

In addition to New Jersey, you need an annual household salary of at least $50,000 to be considered middle class in 17 states: Oregon, Illinois, New York, Rhode Island, Delaware, Minnesota, Virginia, Alaska, Connecticut, Utah, Colorado, New Hampshire, Washington, California, Hawaii, Massachusetts, and Maryland.

Your household needs to bring in a whopping $952,902 to crack the top 1% in Connecticut, the highest threshold for any state, according to a recent SmartAsset analysis.

The upper middle class is often defined as the top 15% to 20% of earners. According to the Social Security Administration's 2022 wage data, the average upper-middle-class income was roughly between $80,000 and $100,000.

What is a good salary to live rich? ›

You'll need to earn more than half a million annually to be considered among the highest earning residents in 11 states and Washington, D.C. "This comes down to cost of living," Murray said.

Average Net Worth by Age

The average net worth of someone younger than 35 years old is $183,500, as of 2022. From there, average net worth steadily rises within each age bracket. Between 35 to 44, the average net worth is $549,600, while between 45 and 54, that number increases to $975,800.

Someone who has $1 million in liquid assets, for instance, is usually considered to be a high net worth (HNW) individual. You might need $5 million to $10 million to qualify as having a very high net worth while it may take $30 million or more to be considered ultra-high net worth.

From 1987 to 2019, Connecticut was the richest state in the U.S. as measured by per capita personal income. In 2020, it lost out—by $10—to neighboring Massachusetts.

For example, you may be considered rich if you're in the nation's top 1% of earners. In 2022, that group saw an average annual income from wages of $785,968—nearly 19 times higher than the bottom 90%, according to the Economic Policy Institute Open in new tab.

People with the top 1% of net worth in the U.S. in 2022 had $10,815,000 in net worth. The top 2% had a net worth of $2,472,000. The top 5% had $1,030,000. The top 10% had $854,900.

Choose the right career

And one crucial detail to note: Millionaire status doesn't equal a sky-high salary. “Only 31% averaged $100,000 a year over the course of their career,” the study found, “and one-third never made six figures in any single working year of their career.”

To be considered wealthy at age 65 or older, you need a household net worth of $3.2 million, according to finance expert Geoffrey Schmidt, CPA, who used data from the 2019 Survey of Consumer Finances (SCF) to determine the household net worth needed at age 65 or older to determine the various percentiles of wealth in ...