Once again,
let me get your attention!
A recent documentary titled The
Top 1% by Jamie Johnson (one of the heirs to the Johnson & Johnson fortune) indicated the net worth of the top 1% of the richest people in the USA, is worth
more than the net worth of the bottom 90% of Americans combined!!! It is likely, that number is even higher now!
Read that two or three times and
think of what it actually says... it is absolutely astounding!!!
When we speak of wealth, we are
talking about your net worth. Do you have $15,000 in net worth or $15,000,000,000 (yes that is billion)?
Before you read any further in this section,
I need to be sure you understand something very important!
We all hear the terms "billion"
and "trillion". Since many of us have been out of school for awhile and, even those who are still
in school, may not have actually thought what these words really mean. Consider this very simple example:
One billion dollars is actually one
thousand millions. What?
If you had a billion
dollars and you have 100 friends and 500 family members, you really like, you could give each one of them a million
dollars and still have 400 million dollars left for yourself to try to survive on!
Did that sink in?
Now, imagine a trillion dollars and the
same example. In this case you could give each of those people a billion dollars and still have 400 billion dollars
for yourself!
When we talk about net worth in amounts
of millions of dollars; having millions is quite shocking! Imagine have billions!!
Yes, we have individuals
with a net worth in the billions of dollars!!!
I will again describe wealth based on
our general population and where each of us might fit. Let us take a look at who is who. Where do you fit? Where does your family fit?
Note: It is difficult finding information
on actual wealth for obvious reasons. This information is not available in tax records or virtually any public records.
These figures are from 2004.
Since more than five years have elapsed, you can assume, based on income inequality, the rich got richer. (Refer
to America’s Income Inequality)
Note: Anyone can argue
about the numbers but the one thing that cannot be argued is the clear disparity in wealth in the USA!
Net worth is the total market value of
all your assets (houses, cars, bank accounts, etc.) minus all debt owed on those assets and any other debt you may
have. ("other debt" is debt owed to hospitals, loan companies, etc. and not associated with your
assets.) The table on the next page defines the net worth of America’s households and will give you
an idea where you might fit.
