Personal Finance (Not Investing) • Tricks of the high net worth households

I'm not sure what the "official" definition of HNW is. To me, it is $5M+. I'm at $3M as a 46 year old school teacher. My simple (more easily said than done!) tricks are frugality and discipline.

EDIT: I should probably add that the #1 trick is to educate yourself as much as possible.

Agree with educate yourself

As for net worth, I think location has a lot to do with it. Retiring at $3 million in Memphis is very different than $3 million in New York City. One of them is very comfortable, while the other is making ends meet.

+1
Good point.

In UHCOL Hawaii, a highly renovated 1960's plantation cottage on 6,000 s.f. of land with a "carport" in a good neighborhood is worth well over 1 mil to 2. My sister's 3200 s.f. home in a not quite affluent neighborhood is worth 4-5 mil.
Conversely, in much of the USA, LCOL to MCOL those "putting on airs" (my mom called it that) in a $600k home in a gated or private development would be living in poverty in Hawaii.

great input.
j

Statistics: Posted by Sandtrap — Thu Aug 22, 2024 6:27 pm — Replies 17 — Views 3388

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