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https://www.cnn.com/2019/05/31/success/feel-wealthy/index.html

Is $2 million enough to feel wealthy?
Anna Bahney byline
By Anna Bahney CNN Business

Updated 10:14 AM ET, Fri May 31, 2019
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How much does a person need to feel rich?

A recent survey from Charles Schwab revealed that a net worth of $2.27
million would be enough. But can you really put a number on it?

For many people, being wealthy means being financially independent and
not having to work for a living, says Bradley Nelson, of Lyon Park
Advisors. He says a family with a net worth of $2.27 million could
easily be wealthy.

If that family spent a conservative 3% of their assets each year, they
would have $68,100 a year to live on. That's more than the median
household income in the United States of $61,000 -- without even having
to work.

But that wouldn't be enough for some people. And for others, wealth
isn't a financial concept at all.

That's why finding what makes you feel wealthy takes a strategy rather
than a single specific number, says Nelson.

$2.27M net worth

"I know people who make $250,000 to $500,000 and feel poor, and other
people who make $70,000 and feel rich," says Tara Unverzagt, a certified financial planner.

She points to research showing an income of about $70,000 is optimal for emotional well-being, and $95,000 is ideal to feel positive about your
life, including meeting long-term goals and the inevitable comparisons
with everyone you know.

"But for most people, when they get to $2.27 million, if their friends
have more, they won't feel 'rich,'" she says. "And today with so many billionaires, many feel having mere millions is nothing -- and to some
degree, that's true."

$2.27 million? 'Not even close'
Matt Doran is a wealth manager in St. Louis with a personal net worth of
"more than $5 million, but less than $20 million." He's not fixed on a
number, though, and has no intentions of slowing down.
He works with clients who are worth more than $2 million and says, "they
don't feel wealthy and neither do I."

For Doran, the drive to continue earning money and growing his assets
builds security for his family and allows him to support the things that
give his life meaning -- the people, places and causes that he loves.
"And $2.27 million doesn't get me there," he says. "Not even close."
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Doran says he and his wife and daughter spend on things typical for
families at their income level. For example, they have a lake house in Michigan, with a boat.
"Our spending is really about lifestyle. While not overly extravagant in
our opinion, we do drive nice cars, travel frequently and help others regularly," he says. "We, like many others, find ourselves spending on experiences more than things because they enrich our lives and
relationships."
In his view, the purpose of building wealth is to generate more income.
And the more income you make, the more options, flexibility and
opportunities you have.
"When someone has financial resources in a substantial amount, they have choices they didn't have before," he says. "How to work, when to work,
what work to pursue, where to live. How to spend their time."

The reluctant millionaire
Russ Ford considers himself wealthy, but it has taken him a while to say
it without feeling guilty.
Ford was 21 years old when he inherited $2 million from his grandfather.
"I got $1 million free and clear I could pick up and go to Vegas with,"
he said. There was another million in trusts. That's in addition to
money likely to come his way through his parents' estates.
"I do feel wealthy," he says, "But in today's society, I've felt guilty
about it. I've worked through it to understand the opportunity to do
good with it."

But for a young person with seven figures, that kind of money can
evaporate a lot faster than people think, says Ford. "Feeling wealthy
can lead to a lot of temptation. You feel wealthy when you don't have to
think about money. The minute you don't think about it, you can get into
a lot of trouble."

Russ Ford, with his son Liam and wife Kathleen, looks for what
opportunities his wealth can bring.

After college he became a financial planner, got married and had a son.
Ford says that at first, his inherited wealth caused a lot of pressure
and stress.
"The pressure comes from having the money and feeling like I can't let
my grandpa down and I can't let my son down," he says. "I was feeling a
lot of pressure from the culture around me to keep up with the Joneses
and becoming a father magnified all of that. The money has definitely
made me more anxious."
He's appreciative of what he has, but he's not interested in
accumulating more money.

"I know that chasing more isn't going to make me more happy," he says. Ultimately, the money that caused his anxiety helped him and his wife
out a lot when he experienced loss of income due to his health. It helps
his family have more of what they value the most -- time together.
"Money certainly gives us more of that," says Ford. "It gives us
security that we'll have more of that in the future and feeling secure
in that makes me feel wealthy.

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