pretty easy. if you had a million in the bank at 4% return you’d have a income of 40K a year. if you could live on that income you’d be all set and not have to work.
so scale that up a bit, say 5 million in the bank at 5% return, that would be an income of 250,000K a year.
Right, but someone living comfortably on the interest of £1m, are we really calling them part of the wealthy class, but not someone who works for a 6 figure salary and has more wealth than the first guy while living in more luxury?
pretty easy. if you had a million in the bank at 4% return you’d have a income of 40K a year. if you could live on that income you’d be all set and not have to work.
so scale that up a bit, say 5 million in the bank at 5% return, that would be an income of 250,000K a year.
Right, but someone living comfortably on the interest of £1m, are we really calling them part of the wealthy class, but not someone who works for a 6 figure salary and has more wealth than the first guy while living in more luxury?
it’s relative to where you live.
where i live people make 300K a year and feel impoverished. if you go three hours away, making 30K a year is a total good salary.