Being wealthy can mean different things to different people, but for residents of the Mile High City, the threshold is a net worth of $2 million, according to the new Modern Wealth Index for Denver from Charles Schwab & Co.
Nationally, the “financially comfortable” mark was $1.1 million and the “wealthy” mark was $2.4 million, according to an online survey of 1,000 people. In metro Denver, financially comfortable was defined as $541,700 and wealthy as $2 million, according to a survey of 500 people.
“Older generations have a more structured definition of wealth, and it will be accompanied by a number,” said Brad Bartick, manager of Charles Schwab’s downtown branch. “For others, it is leading a rich life.”
About 29 percent of those surveyed in Denver defined wealth as having “a lot of money.” But 23 percent described wealth as being able to buy whatever they wanted or enjoying life’s experiences. Another 22 percent described wealth as living stress-free and having peace of mind, while 13 percent described it as financial security and stability.
Geography can influence perceptions of wealth. Philadelphia and Houston had the lowest wealth threshold of the participating metros at $1.7 million each, while in Boston it was closer to Denver at $2.1 million. New Yorkers, not surprisingly, had the highest definition of wealth at $3.2 million, followed by San Diego residents at $2.7 million and Los Angeles respondents at $2.6 million.
Net worth is assets minus liabilities. For many people, home equity can make up a big share of net worth, especially in areas with rapidly rising home prices such as Denver.
Although $2 million may seem like a large sum, it…
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