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

FAQs

What is considered high net worth in 2024? ›

A high-net-worth individual is a person with at least $1 million in liquid financial assets. An ultra-high-net-worth individual has a net worth of more than $30 million.

The No. 1 richest state, meanwhile, is Connecticut, where residents have to bring in roughly $656,000 to be among the top earners. Washington state has seen the most dramatic growth in what it takes to be rich in recent years, according to the report. In 2017, a salary of about $378,000 would land you in the 5% club.

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. This reflects the state's high cost of living and affluent communities, particularly those near New York City.

What income class is $300k? An income of $300,000 a year is generally considered to be upper-middle class or even rich, particularly in regions with a lower cost of living.

With that in mind, a net worth of $604,900 would put you in the upper 25% of American households and having $1 million or more should make you firmly a member of the upper class. Of course, it's important to remember that net worth is calculated by adding up your assets and then subtracting your liabilities.

The most recent data from the Fed's Survey of Consumer Finances took a snapshot of the American public at the end of 2022. At that point, a net worth of $3,795,000 was enough to put you in the top 5% of all American households. If that number has your head spinning, there are some important details you should consider.

Your household would need to earn at least $64,224 to be considered middle class in the Garden State, and earning more than $192,692 would put you in the upper class.

In Connecticut, households need to earn an annual income of $952,902 or more to be part of the top 1% of earners.

Many have graduate degrees with educational attainment serving as the main distinguishing feature of this class. Household incomes commonly exceed $100,000, with some smaller one-income earners household having incomes in the high 5-figure range. "The upper middle class has grown...and its composition has changed.

While ZipRecruiter is seeing salaries as high as $222,793 and as low as $56,187, the majority of 200K salaries currently range between $164,651 (25th percentile) to $194,454 (75th percentile) with top earners (90th percentile) making $207,646 annually in New Jersey.

What is top 1% in NJ? ›

The threshold to be a top 1% taxpayer in the Garden State is $825,965. For the top 5%, the lower limit sits at $338,884. New Jersey residents within the top 5% account for 55.60% of the state's income taxes, with the top 1% making up 33.58%.

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.

Americans say they would need to earn $483,000, on average, to feel rich or achieve financial freedom, according to a recent Bankrate survey.

The median salary for Americans is around $70,000 a year, according to the most recent census data from 2021. A salary of $100,000 a year, with the assumption that you are an individual without dependents, would classify an individual as upper-class — but many of these people don't feel rich.

This is the salary it takes to be considered rich in California, report says. Californians hoping to become the top 5% of earners in the state need to be making, on average, more than $600,000 a year, according to a new study from Go Banking Rates.

Bottom Line. In today's society, high-net-worth individuals are generally defined as those with a net worth of between $1 million and $5 million, and often have access to financial services beyond traditional banking and investing services at commercial banks and credit unions.

About 16 million American families—just over 12%—have wealth exceeding $1 million, up from 9.8 million families in 2019. Nearly eight million families are multimillionaires, i.e., their wealth exceeds $2 million, up from 4.7 million.

Determining what your net worth should be at any age can be a bit tricky, and it depends on your income. Say you're 30 years old and your income is $50,000 per year. Your net worth should be $150,000, according to this formula. A $25,000 salary at age 30 would mean an ideal net worth of $75,000.