Americans need more money than ever to break into the top 1%: report

According to a recent report, it now takes a net worth of at least $5.8 million to break into the top 1% of wealthy Americans, compared to the amount it took to join the coveted tier just one year ago. That’s 15% more than that.

Rising stock markets continue to inflate the bank accounts of wealthy people around the world, with the world’s 500 richest people making a total of 1.5 trillion yen last year, according to the Bloomberg Billionaires Index. Tesla CEO Elon Musk is said to have added more than $1 billion in assets.

Despite the United States being the world’s largest economy, the 2024 Wealth Report from global real estate consultancy Knight Frank shows that in three overseas countries, including Switzerland and Luxembourg, the top 1% of people have even higher net worths. To be considered a tier, a resident must have the following assets: Their assets are $8.5 million and $10.8 million, respectively.

A recent report found that Americans need at least $5.8 million to be in the top 1% of wealthy people, about 15% more than it took to be among the richest a year ago. . Getty Images

Monaco remains at the top of the list for the world’s highest entry threshold, according to a Knight Frank survey reported earlier by Bloomberg.

To be in the top 1%, Monegasque nationals would need a hefty $12.8 million, an increase of 3.2% from this point in 2023, Knight Frank found.

Citing World Bank data, Bloomberg reported that Monaco’s gross domestic product per capita is about $240,000, more than 900 times that of Burundi in East Africa.

For reference, according to the latest data from the World Bank, Americans’ per capita GDP in 2022 was approximately $76,300.

That amount is about 68% less than in wealthy European cities on the French Riviera, but it represents a more than 8% increase in America’s per capita economic output from the previous year.

Knight Frank’s wealth report shows that the power of six-figure salaries is waning in the United States, especially in expensive cities like Arlington, Virginia, and San Francisco and San Jose, California, where people earn more than $150,000. I’m emphasizing it. According to one agency, they are considered “lower middle class.” Recent analysis of GOBankingRates found.

California’s metros dominated the list due to their impact on housing, taking seven of the top 25 spots.

Monaco took the top spot because it needs the best wealth to be in the world’s top 1%, according to Knight Frank. A Monaco citizen would need $12.8 million to join the country’s richest tier. Getty Images

The interest rate-sensitive housing market largely froze last year following the Federal Reserve’s aggressive interest rate hike campaign, but as buyers adjust to rising mortgage rates and compete for a limited supply of homes. As a result, prices recovered rapidly.

Manhattan didn’t rank in the top 25, but neighboring Jersey City, New Jersey, came in at No. 15, according to GOBrankingRates. That’s because residents who earn as much as $101,279 are still considered lower middle class, according to GOBrankingRates.

The income range for the lower middle class is slowly rising as the cost of living continues to rise, plagued by rising borrowing costs and persistently high inflation.

The Wells Fargo Money Study found that more than half of Americans worry about money, even though they have plenty to live on. Getty Images

Interest rates are at a 22-year high of between 5.25% and 5.5%, causing credit card delinquencies to soar above pre-pandemic levels.

Even high-income earners are financially insecure.

In fact, more than half of Americans worry about money, even though they have plenty to live on. Wells Fargo money research revealed.

But Americans still have a hard time talking about finances.

The report, released Tuesday, found that of more than 3,400 U.S. adults surveyed, 53% said having open and honest conversations about their money is more difficult than discussing their sex life. I answered.



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