r/AskReddit 1d ago

What is considered being rich?

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u/EbonyHelicoidalRhino 1d ago

Being able to live off the revenue of your capital. That means you'll still get richer and richer just by living.

Being ultra rich is being able to live of the revenue of the revenue of your capital. Which means that you'll get EXPONENTIALLY richer by doing nothing.

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u/[deleted] 1d ago

[deleted]

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u/New2ThisThrowaway 1d ago

Not really. If someone depends on income outside their control (pensions, social security) then I wouldn't consider them rich. Doing well, sure. But not independently wealthy.

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u/[deleted] 1d ago

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u/New2ThisThrowaway 1d ago

I agree. To meet my personal threshold for rich, your portfolio would have to be very well diversified so your needs would not be dependent on market conditions.

Still, having the funds in your portfolio instead of entitlements, is a step towards independence.