In 1902 the New York Evening World newspaper used the phrase “feel like a million bucks.” This was a brand new idiom for expressing a feeling of extraordinary well-being.1
At the time, surgeons and bankers could expect to make about $1600 per year. You could buy a new Ford for $750.2 And you could build a sizeable house for around $3000.3 You can see why, at the beginning of the twentieth century, being a millionaire meant having more wealth than you knew what to do with. Another definition might be: Feeling like you could spend money on luxuries without having to think about it.
Today, a million dollars doesn’t go nearly as far as it did when people started saying “I feel like a million bucks.” In many metro areas $1 million will buy you a modest house. Still, according to a recent poll, 65% of people today said that if they had a million dollars in the bank, they would feel wealthy.4
Not surprisingly, when the same researchers asked actual millionaires how much money they would need to feel wealthy, the amount was substantially more. Of those responding, more than half said they would need at least $3 million to feel wealthy. And 40% said that they would require $5 million or more. All told, only 33% of millionaires said that they feel wealthy.
However, having a seven-figure bank balance is not the only or even best way to gain peace of mind about your money.
A better way is to be financially healthy. This means having full control of your money today and consistently working toward your financial well-being in the future. This approach requires discipline, emotional resilience, and willingness to follow professional advice.
Unfortunately, in popular culture, being wealthy means amassing so much money that they can be out of control with their spending without facing any consequences. This is how lottery tickets are sold.
But on the other hand, being financially healthy simply means having control of your spending so that your money is working to make possible the things that are most important to you. This is a sense of financial well-being you can enjoy regardless of your income.
Your trusted fiduciary financial advisor is happy to talk with you about ways to increase your financial health as you continue to work along the path set out in your unique financial plan.
If you ever have any questions about your investments or retirement plans, please feel free to give me a call at 801-545-0696.
Regards,
Mark Lund
Stonecreek Wealth Advisors, Inc.
10421 South Jordan Gateway, Suite 600
South Jordan, UT 84095
Sources:
1. http://go.pardot.com/e/91522/feel-like-a-million-bucks-/969k3h/2640780608/h/ZvU7pzh7y6J_MK9XVq0JINWUioHjZfcO56FjQrhhhlA
2. http://go.pardot.com/e/91522/-id-uc1-31175027072126-seq-368/969k3l/2640780608/h/ZvU7pzh7y6J_MK9XVq0JINWUioHjZfcO56FjQrhhhlA
3. http://go.pardot.com/e/91522/pricesandwages-1900-1909/969k3p/2640780608/h/ZvU7pzh7y6J_MK9XVq0JINWUioHjZfcO56FjQrhhhlA
4. http://go.pardot.com/e/91522/lves-wealthy-report-finds-html/969k3s/2640780608/h/ZvU7pzh7y6J_MK9XVq0JINWUioHjZfcO56FjQrhhhlA
Disclosure: This information should not be construed as investment, tax or legal advice and may not be relied on for the purpose of avoiding any Federal tax penalty. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. All economic and performance data is historical and not indicative of future results. Market indices discussed are unmanaged. Investors cannot invest in unmanaged indices. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional. This material was prepared by Efficient Advisors, LLC (“EA’) for Mark Lund, Mark is a Fiduciary Financial Advisor in Utah. He is known as a Wealth Advisor, The 401k Advisor, Investor Coach, Financial Planner, Investment Advisor and author of The Effective Investor. Mark offers investment advisory services through Stonecreek Wealth Advisors, Inc. a fiduciary, independent, fee-only, Registered Investment Advisor firm providing investment management and retirement planning for individuals and 401k consulting for small businesses. Mark’s newsletter is called The Effective Investor Newsletter. Cities served in Utah are: Salt Lake City, Salt Lake County, Utah County, Park City, Murray City, West Jordan City, Sandy City, Draper City, South Jordan City, Provo City, Orem City, Lehi City, Highland City, Alpine City, American Fork City. The views expressed herein are exclusively those of Efficient Advisors, LLC (‘EA’), and are not meant as investment advice and are subject to change. All charts and graphs are presented for informational and analytical purposes only. No chart or graph is intended to be used as a guide to investing. EA portfolios may contain specific securities that have been mentioned herein. EA makes no claim as to the suitability of these securities. Past performance is not a guarantee of future performance. Information contained herein is derived from sources we believe to be reliable, however, we do not represent that this information is complete or accurate and it should not be relied upon as such. All opinions expressed herein are subject to change without notice. This information is prepared for general information only. It does not have regard to the specific investment objectives, financial situation and the particular needs of any specific person who may receive this report. You should seek financial advice regarding the appropriateness of investing in any security or investment strategy discussed or recommended in this report and should understand that statements regarding future prospects may not be realized. You should note that security values may fluctuate and that each security’s price or value may rise or fall. Accordingly, investors may receive back less than originally invested. Investing in any security involves certain systematic risks including, but not limited to, market risk, interest-rate risk, inflation risk, and event risk. These risks are in addition to any unsystematic risks associated with particular investment styles or strategies.
