nyc has more millionaires then anywhere in the world

[mathjak107]

Originally Posted by SuperJewNYC

It’s officially 19% since 2021 ( BLS calculator $1 in Jan 2021 is worth $1.19 today) but cars and houses are up closer to 30% and I’d guess anything of substantive value/ cost (insurance, healthcare, etc). is up almost that much as well.

the cpi is not a cost of living index despite its name .
it is a price change index that tracks goods and services over the 1500 mini economies that make this country up .

a cost of living index would have to track only what you buy or use , the number of times you use it and have some quality adjustment to it since higher priced goods tend to see bigger increases but last longer .

inflation is very different for all of us .

as a retiree we no longer do or buy things we used to , so a lot of what we no longer use or spend on offsets what has gone up .

that is very different then someone raising a family .

so for us our biggest jumps have been food , eating out and long term care insurance premium jumps and the cost of my trulicity i take which runs a few thousand a year

cost of housing and rent increases are not big factors for us .

in actuality we have taken very few inflation raises since we retired 9 years ago .

that is very different then the huge jumps our kids have seen raising families.

so inflation is not some one size fits all number , it’s a number that first has to be molded to only you and different stages of life as well as different financial situations change things .

famous studies by ty bernakie and sun life showed the retirees with a fair amount of descretionary spending tend to spend in a smile shape .

they spend more early on in the go go years , then spending drops a lot in the slow go years , then it ramps up on healthcare in the no go years .

so not a lot of inflation adjusting is needed as the stuff no longer done pays for what went up .

but a retiree with no or little discretionary spending does not see much fall off . so they are effected more .

those still younger and raising families are hit the hardest as what they do and buy increases .

so one has to go by their own personal index

[mathjak107]

Originally Posted by SuperJewNYC

It’s officially 19% since 2021 ( BLS calculator $1 in Jan 2021 is worth $1.19 today) but cars and houses are up closer to 30% and I’d guess anything of substantive value/ cost (insurance, healthcare, etc). is up almost that much as well.

you made a mistake


jan 2021 as a start date is 15.3% which is 1.15

that is the date above you picked above .

you ran from 2020 by mistake , that is 1.19 today and 19%

[AntonioR]

Originally Posted by mathjak107

with everyone beating up nyc daily here , here is some good news .

nyc has more millionaires then any other city in the world .

1 out of every 24 people in nyc is a millionaire.

not surprising since anyone who owned a house for a while and has a 401k , likely is there .

New York City saw its population of millionaires jump by 48 percent in a decade, according to a new report.
The Big Apple still leads the U.S. — and the world — among wealthy cities. It has nearly 350,000 millionaires and 60 billionaires, according to the USA Wealth Report from an investment migration consultancy firm Henley & Partners and New World Wealth.

https://thehill.com/homenews/state-w...y%20with%20744.

That’s good to hear, but throughout the USA a good chunk of “millionaires” are in fact “house rich, cash poor” types. With how expensive real estate has become in NYC, how much of that are those types of millionaires? Manhattan probably has the highest share of actual millionaires given how widespread is renting, but in the outer boroughs where there are more houses I don’t think the same applies.

Also, things like inflation and the decreasing value of money over time will increase the “amount of millionaires” simply by the houses showing a higher nominal figure.

This was the case in Zimbabwe a few years ago (see the spoiler.) Millionaires on every corner in Harare, millionaires in Zimbabwe dollars. lol That was the result of hyperinflation.

Spoiler

https://www.facebook.com/hatirare263.../?locale=ms_MY

In Latin America Colombia comes to mind. Many of the simplest things cost millions of Colombian pesos and it isn’t particularly out of reach of many Colombians who themselves are Colombian pesos millionaires. Many of those millionaires have a modest existence not by choice!

[mathjak107]

As I said above the definition of net worth is assets minus liabilities. Not how liquid an asset is.

Anyone who owned a home here a long time , even at 3% appreciation and today sells for 700k is lot more then a local in cheapsville appreciating to 300k

Plus the higher wages of a high cost of living area lead to a lifetime of higher social security then locals


When we had the house in the poconos transplants had far more wealth then locals

Even a retiree is restricted to how much of a million dollars is liquid if they are living off what it can safely generate for decades

So liquidity has nothing to do with asset value if one sells

[SuperJewNYC]

Originally Posted by mathjak107

you made a mistake


jan 2021 as a start date is 15.3% which is 1.15

that is the date above you picked above .

you ran from 2020 by mistake , that is 1.19 today and 19%

January 2021 to present day. 19% loss in purchasing power.
https://data.bls.gov/cgi-bin/cpicalc...1&year2=202403

[Tall Traveler]

Originally Posted by mathjak107

with everyone beating up nyc daily here , here is some good news .

nyc has more millionaires then any other city in the world .

1 out of every 24 people in nyc is a millionaire.

not surprising since anyone who owned a house for a while and has a 401k , likely is there .

New York City saw its population of millionaires jump by 48 percent in a decade, according to a new report.
The Big Apple still leads the U.S. — and the world — among wealthy cities. It has nearly 350,000 millionaires and 60 billionaires, according to the USA Wealth Report from an investment migration consultancy firm Henley & Partners and New World Wealth.

https://thehill.com/homenews/state-w...y%20with%20744.

Many factors have led to this including:
- Big cities have developed for commercial reasons and NYC is the largest in the US
- The US has the biggest economy in the world
- NYC is the leader in stock market and banking in the world (lots of cash floating about)
- Brilliant and cunning people have assembled in NYC because of the line above

I will say that because of the cost to live there, you better be a Millionaire or on the path to being one or you should find a less costly place to reside.

I just did a comparison between where I live (Phoenix) and NYC and the cost of living in NYC is 87% higher and the purchasing power after factoring in COL is 30% lower than Phoenix.

[mathjak107]

Originally Posted by SuperJewNYC

January 2021 to present day. 19% loss in purchasing power.
https://data.bls.gov/cgi-bin/cpicalc...1&year2=202403

There calculators show different rates depending on cpi used and cut off date This ends April 10 yours ends in march

https://www.usinflationcalculator.com/

[MKTwet]

Originally Posted by mathjak107

As I said above the definition of net worth is assets minus liabilities. Not how liquid an asset is.

Anyone who owned a home here a long time , even at 3% appreciation and today sells for 700k is lot more then a local in cheapsville appreciating to 300k

Plus the higher wages of a high cost of living area lead to a lifetime of higher social security then locals


When we had the house in the poconos transplants had far more wealth then locals

Even a retiree is restricted to how much of a million dollars is liquid if they are living off what it can safely generate for decades

So liquidity has nothing to do with asset value if one sells

This is why most millionaires in NYC aren't doing much better than someone who makes 6 figures and live at mom's house. Property taxes, utility bills, and inflation adjusted living expenses are rising faster here than anyplace else and NYC is again pushing for higher fees with congestion taxes all which will hurt people who live here.

[mathjak107]

Originally Posted by MKTwet

This is why most millionaires in NYC aren't doing much better than someone who makes 6 figures and live at mom's house. Property taxes, utility bills, and inflation adjusted living expenses are rising faster here than anyplace else and NYC is again pushing for higher fees with congestion taxes all which will hurt people who live here.

i agree . which is why is say if we only had a million dollars which generates an initial 40k inflation adjusted we wouldn’t live here..

it wouldn’t be a lifestyle we would want as well as it would be stressful sweating every unexpected bill.

a 40k pension is no better then that million may be in retirement

[hotkarl]

Today’s millionaires are the new middle class.
A million bucks ain’t worth crap anymore. Can squirt through a million bucks like crap through a goose these days.