Close to 10 Million Millionaires in the US

number of millionaires in the US
If you ever wondered how many millionaires there are in the US, the answer is a record number as of 2013. There are just under 10 million (9.63 million) households in the US, not including their primary residence, who have a net worth of at least $1 million according to a recently released 2014 study by Spectrem Group. While $1 million won’t put you into the billionaires club, it’s still a good amount of money that many people strive to reach. The current number of millionaires surpasses the previous record of 9.2 million US households in 2007.

It’s not only millionaires who have increased in numbers. Households with a net worth of more than $100,000, not including their primary residence, reached 1.2 million households. There are now some 38.6 million households that have a net worth of at least $100,000.

Those on the wealthier end have also been increasing. There are a record number of households with a net worth of $5 million or more, not including their primary residence, at 1.24 million. That is an increase of 100,000 households from the previous year. Those with a net worth of $25 million or more increased by 15,000 households to 132,000 in the US.

The one segment that still hasn’t been able to reach pre-recession highs are those households with a net worth of $500,000 or more, excluding their residence. They increased by 1 million households from the previous year to 15.3 million, but fell short of the 15.7 million households that held this net worth in 2007.

For those who are looking to obtain millionaire status, the formula isn’t nearly as difficult as you might imagine. It certainly isn’t rocket science, but it does take discipline and time to achieve. There are two key elements you need to do in order to achieve this goal:

Avoid Consumer Debt

The earlier you can learn how damaging consumer debt can be to your net worth, the better off you’ll be. Credit cards and other consumer debt that aren’t paid off in full each month will greatly hinder your ability to join the millionaire’s club. The problem is that with this debt, you’re paying interest to companies rather than having interest paid to you. The sooner  you learn to spend less than you earn, and begin living a debt-free life, the better the chance that you can build your net worth to more than $1 million. While this is a main reason that many don’t become millionaires, there are other reasons as well.

Invest Early

The second key is to start putting away a portion of all the money that you earn. The earlier in your career that you begin to place a portion of your paycheck into a retirement account, the better chance you have of one day having a net worth of over $1 million. If you are able to place 10% of your income each month into your account as soon as you get out of college, you will almost certainly reach the millionaires club by the time you retire due to the magic of compound interest. You want to make it a monthly habit that you do year in and year out.

(Photo courtesy of dfan09)

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7 Responses to Close to 10 Million Millionaires in the US

  1. By avoiding debt will definitely lead you to become financially stable. And saving more instead of spending less and living below your means are just one secret to be able to reach your financial goals.

  2. Developer says:

    This was surprising but great to know.

  3. scfr says:

    Jeffrey, I may be in the minority, but I think it’s important to distinguish between “Millionaire Households” (which is how the original article is titled) and “Millionaires” (which is how your article is titled). Because I am in a 2 adult household, I consider my personal net worth to be household net worth divided by 2.

  4. scfr says:

    I know you mention “household” in the article … but the title may be misleading.

  5. iSad:( says:

    the rich keep getting richer and the poor keeping getting poorer
    sometimes i read comments on the internet like “there needs to be a change in the system! Until they change the system nothing is going to change!”

    It’s been like this for over 2500 years (since Roman times)

    Nothings changing. Not in our life times, not in our children’s, not in their children’s. Maybe another 2000 years from now, but I’m just making that number up, I really have no idea.

    I should be making around 100-250 thousand a year when I get a little older (all things willing) but even that doesn’t seem like much in the grander scheme of things. Hopefully more in the long run but well, lets get there first.

    I’ll be thankful, and I’ll understand the value of it all, though.

    It breaks my heart, this system that’s seemingly really just the best solution we have to economic problems.

    Capitalism IS better than socialism, it’s been proven – but there is undoubtedly still something very fundamentally amiss.

    Could there be an overlooked factor somewhere, or is this really the way it’s going to be in economies till the end of time?

    I used to think poor people were just complainers, lazy, good for nothing – but that’s not true. It’s hard, life gets hard, it gets depressing. We live in a society that feeds off what’s in demand, and if you’re not whats in demand you really have nothing going for you. Sure, many people end up working hard and making a decent living (like I hopefully will) – but with the amount we’ll end up making, it really seems like we’re being ripped off for working as hard as we do – ultimately the extreme rich are the ones who benefit most from a hard working society. It’s hard to find incentive even if it’s making 150-250k a year – and most people who work hard won’t ever make that much – so think about them.

    Not to mention your entire life kind of feels like you’re at the mercy of someone else who’s richer, more powerful

    At the risk of sounding childish, It’s a sad world.

  6. Minny says:

    Two books I love and which helped me to save.

    The Millionaire Next Door

    The Rich Man of Babylon (short version – read it in an hour)

    I passed them on to my daughter who has learned the lessons. Worth a read, neither give get rich quick schemes but good solid examples and advice.

  7. Jamie says:

    Most of them don’t live the way we think. They drive Honda Accords and live in modest houses.

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