Your Chances Of Becoming A Millionaire By Race, Age, And Education

A million bucks! What a dream. Once you have the cash you can promptly fly to Macau, bet it on black and turn it into $2 million! Or, you can lose it all and spend the rest of your remaining years wondering what were you thinking.

Getting to at least one million dollars in net worth is a nice milestone to achieve. I firmly believe the majority of people reading Financial Samurai and other personal finance sites which don’t constantly hawk credit cards will be able to achieve millionaire status.

If I were to guess the exact percentage of Financial Samurai readers who become millionaires in their lifetimes, I would say 65%. It doesn’t sound like a huge amount until you read the data below. For the remaining 35%, you’ll have more money than if you hadn’t started reading personal finance sites.

Since 2009 I’ve received dozens of e-mails from readers saying they’ve busted through the $1 million net worth figure thanks to aggressive saving and investing. Many have mentioned they wish they had discovered the personal finance world sooner. But better late than never I say!

So what about the rest of the 300+ million Americans who were fortunate enough to be born or gain citizenship to our great country? What are their chances of living the champagne dream and caviar lifestyle?

How Many Millionaires Are There In America?

According to Spectrem Group’s Market Insights Report, in 2018, there were 9.8 million individuals with net worth between $1 million and $5 million, 1.8 million individuals with net worth between $5 million and $25 million, and 156,000 households (not individuals) with more than $25 million in net worth, the report says.

In other words, there are roughly 11.8 million millionaires in America, making up roughly 3% of the population. This count is at a record high thanks to a bull market in stocks, bonds, and real estate. Although 11 million sounds like a lot, it still only accounts for roughly 3.5% of the US population. I suspect the actual number is higher due to stealth wealth and plenty of unreported or underreported assets.

But if you happen to be born into one of the millionaire families, then the chances are extremely high you will also become a millionaire thanks to an inheritance or a living trust. With all the resources money can buy, you should have a greater chance of generating more wealth than the kids born into non-millionaire households.

Related: A Massive Generational Wealth Transfer Is Why Everything Will Be…

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