Rich people don't just swim in money you know. It's fairly likely they'll have far more expenses than poor people. So they might have a better pension plan, pay a gardener. Might send their kids to private school. etc etc

So someone earning $200k could well be less well off after expenses than someone earning $50k.

>So they might have a better pension plan, pay a gardener.

>So someone earning $200k could well be less well off after expenses than someone earning $50k.

Poe's law invoked.

Except that their kids have better chances in life, their retirement is secure, they have a nice garden to relax in etc etc...

Money well spent if you ask me.

I agree. I'm just saying that just because someone is a lawyer, and has a reasonably high salary, doesn't necessarily follow that they're swimming in money.

When I charged $45/hour before I quit to go back to school, I was nominally making $90k a year. According to the rich list website, that puts me at 0.09% worldwide. No, I am by no means wealthy. I have loans I am not done with!

> So someone earning $200k could well be less well off after expenses than someone earning $50k.

less disposable income != less well off

The freedom to choose to take on greater discretionary expenses like that is the definition of being more well off.

You probably should have mentioned taxes. In the US, if most of your income is employment income, the tax system is still very progressive. Not so much for investment income.