We Have Just Over a Million New Millionaires

Today in “the increasing number of millionaires,” we go to Time’s Money section:

In its annual report on the state of global wealth, Credit Suisse says 1.1 million new millionaires were created in the U.S. in 2017. That brings the total number of millionaires in the U.S. up to approximately 15,356,000, or about one in every 20 Americans.

The rise in the stock market is the biggest reason for the gains, which in turn were driven by both stronger underlying economic conditions and the prospect of lower taxes and deregulation, Credit Suisse reported.

Yeah, well, they haven’t passed that tax bill YET and it is going to be WORSE for a lot of us, okay?!

Sorry. I may be a little agitated about the prospect of the Tax Cuts and Jobs Act. Last week we looked at the way it would make health insurance less accessible, and I am also ready to talk about how it will make graduate education less accessible. (Also, that second link goes to a Fox News affiliate, and if Fox News isn’t happy about the Tax Cuts and Jobs Act, it’s really bad.)

But back to millionaires. The fact that the increase in millionaires is primarily due to stock market growth is a little disappointing, because it means it isn’t strongly correlated with rising wages or higher-paying jobs. You can’t become a millionaire just by working for money, and you can’t become a millionaire just by following five tips you saw on an airport television.

You have to invest, which is the part of personal finance that a lot of people put off (either because investing is intimidating or because they don’t have enough extra income).

For what it’s worth, my investment accounts have increased by $11,717 this year, and are currently at a new high of $52,707. I definitely want to invest more, and I definitely have not prioritized making that happen.

What about you?

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