Wealth and Poverty

Number Of Millionaires Is On The Rise

Some 3.5 million U.S. households are estimated to be worth $1 million or more, according to figures from the Affluent Market Institute. That represents 3.5 percent of all households.

Moreover, that figure is expected to grow to 5.6 million households by 2005 -- or 5.2 percent of the total.

  • In 1975 there were only 350,000 millionaire households -- 0.5 percent of the population.

  • Only one-third of the increase can be attributed to inflation, says Tom Stanley, head of the institute and author of "The Millionaire Next Door."

  • While these figures include the value of homes, there are 2.7 million households that have at least $1 million in liquid, income-producing assets -- not including homes.

  • Baby boomers, who stand to inherit $20 trillion over the next 20 years, represent the fastest growing segment of millionaires.

Measuring by inflation, $1 million 30 years ago would be the equivalent of $5 million today. The net worth of the typical American household is $35,000 today.

Households in the $5 million category number about 328,000; with 38,000 enjoying at least $10 million worth of comfort.

Source: Paul Davidson, "So, How Much Money Does It Takes to be Rich?" USA Today, June 20, 1997.

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