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7.15.2011

How Many Millionaires in the United States

A great question popped up over at Free Money Finance about the number of millionaire households in the United States. The general consensus seems to suggest that the number is around 3%. Of course, this all depends on whether you count cars and home values in your calculations. Some people are inclined to count only a million dollars in investable assets when they perform these types of calculations, and others take a more literal reading of the question, claiming that 'hey, a million bucks is a million bucks.' Of course, the number skyrockets if you count home values. Almost half of Americans have no mortgage and own their homes outright, and it's easy to see how a couple could have paid off their $400,000 home in full while holding $600,000 in retirement accounts. But of course, these folks probably don't 'feel' like millionaires. After all, a million dollars in stocks and bonds only throws off about $40,000 a year, and a $600,000 nest egg would only throw off $20,000+ in annual income. But still, it's encouraging to think that almost 1 out of every 25 American households are millionaires. To read the great article at Free Money Finance, be sure to click the link here: http://www.freemoneyfinance.com/2011/07/help-a-reader-data-on-millionaires.html

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