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So the basement income to qualify as 'rich' will here be considered to be $400,000 in annual income that'll come in regardless of whether anyone in the family is holding a paying job or not.
So if you have a rich relative who really really likes you (and is considerably older than you), you may have a shot there. Of those on the 1997 Forbes 400 list, less than one third (31%) did not possess a wealthy background to begin with, or inherit substantial funds from their family on which to base their own fortune or start a business. Unfortunately for the gold diggers among us, there's only roughly 31 such eligible men per year, and 31 women, throughout the entire country. So is there any way to figure out the percentage of the newly rich getting that way from both outright illegal as well as maybe technically legal but unethical activities? Basically big-time crooks must at some point 'launder' their money, or disguise it as legitimately gotten gains, in order to spend or invest it in any practical manner without incurring unwanted scrutiny or other problems from official society.
In 1996 (almost ten years ago as of 2005) it was estimated money laundering worldwide could be occurring at a scale of up to $1.5 trillion per year.
As in general some 21.2% of all (accounted for) economic activity occurs in or about the USA, it seems safe to assume at minimum a similar proportion of global money laundering is taking place there as well. In 2004 the estimated USA GDP was $11,750,000,000,000 out of a total $55,500,000,000,000 for the entire world. If the $318,000,000,000 of laundered money is distributed among criminal households in America in a fashion similar to that of legitimate funds, then even among criminal families only the top 1% of them would qualify as rich as defined on this site. Assuming these proportions hold for crime families too, it appears negligible (zero) crime households of this sort are making anywhere close to $175 million a year. So it appears all criminally financed wealthy households of this kind in America enjoy incomes above $400,000 a year, but well below $175 million a year. As there's just some 1,464 newly rich US households each year, and we've already accounted for 1072 of them deriving from inheritance or marriage, that leaves only 392 in which any new criminally rich may emerge. If the criminally rich gain in numbers at roughly the same rate as the officially sanctioned rich (which successfully laundered funds would enable), then their total number may grow at about 7% per year.
So we've got an estimate here of a total amount of criminally made money laundered into the system, plus percentages regarding what fraction of that money likely goes to what portion of the wealthy criminal population in America.
That is, in a year around 2005 where it just so happened that every newly wealthy household was generated either via inheritance, marriage, or crime-- and no other method whatsoever-- 392 would be approximately the maximum number possible for such criminals. So since we're hurting here for more precise data, why not play with the numbers available to us, and see if that gives us an idea how far off or wrong the 392 number might actually be? For instance, if 392 represented the total number of newly rich US crooks in 2005-- and approximately 7% the number of pre-existing rich crook population in the country-- then the total number of rich criminal households in America would have to be around 5,600. That would put the wealthy criminal element in America at roughly 0.00424% of the total population.
So newly rich criminal households could easily account for every single new wealthy household appearing in a given year in America without benefit of inheritance or marriage. That would leave the number stemming from actual legal breakthrough entrepreneurial successes like Steve Jobs of Apple Computer, superstar billing in music or films like Britney Spears or Cameron Diaz, or the biggest lottery wins in history as basically just statistical noise. Keep in mind the above figures dealt only with criminals like the higher ups of drug, prostitution, and slavery rings; crooks who must launder their money to get it into the conventional economic system. But there's a whole other bunch of wrong doers who might never have to launder their money in such a way, as their profits are generated from 'inside' the system to start with, rather than outside: the white collar bunch who exploit secrecy, weaknesses in government regulations and law enforcement, the lag of policy updates behind technological advances, and plain old political corruption to wrongfully endanger or steal from their employees, investors, customers, or tax payers, leaving the rest of us facing the fallout for years or decades to come in environmental degradation, higher deficits and taxes, fewer public services, deteriorating infrastructure, looted pensions and benefits, higher prices, fewer good paying jobs, and slower innovation due to less honest competition. According to the science in the report below, it appears any body capable of wide-ranging effects upon an economy may either purposely increase economic opportunity and security moderately for the majority of the population, or heap extreme helpings of same onto just a few.
But just skimming some estimates for these seem to further support the overall criminal path to riches, and in the proportion speculated of here. Although the reference above provides a breakdown of the total into items including tax fraud, a much larger number than that for total tax cheating is given in the 2004 article below: $311 billion per year.
The US government actually seems to encourage internal corruption as well as corporate crime-- so long as it involves sufficiently large sums. For the richer a crook gets from his crimes, the less likely the government will investigate his ill-gotten gains with a tax audit or other means. Heck, besides doing its best to stamp out whistleblowing and independent audits and investigations, the government also bends over backwards in other ways to empower insider crime. Of course the best and easiest way to avoid the availability of incriminating information is to not collect it in the first place.
One way the government does things like this is by basically allowing corporate lobbyists to write the rules of regulation under which big businesses (and even government agencies!) are run. Another way government aids wealthy crooks and insiders is by making it easy for them to hide portions of their income or assets through use of various loopholes which serve to protect them from taxes or accurate accounting by outsiders. I'm curious if this policy has anything to do with the fact many of our top governmental officials appear to be substantially better off than the rest of us (financially speaking). Now if you steal a TV set or car (or rob a bank) all sorts of law enforcement folks will be after you. But just juggle the books in government or corporate business to shift millions or billions from employee pensions or health benefits (or small investors) to the pockets of you and co-conspirators, and often no one will care at all. So in America, various corporate executives, politicians, bureaucrats, and generals appear to be responsible for at least EIGHT TIMES the criminal acts of folks like drug dealers, human traffickers, and black market arms dealers-- at least in financial terms. Folks, if there's almost TEN TIMES the crime going on in our government and corporate circles than among the 'outlaws' we officially send our police and FBI agents after every day-- and we punish shop-lifters and the homeless much more frequently and about a zillion times harsher than the well dressed crooks stealing tens of millions or even billions of dollars from the rest of us-- isn't there something wrong with our system?
In 2003 America, stealing $200 worth of video tapes can get you a life sentence in prison while a $1200 theft of golf clubs can get you 25 years. Note that one of the constitutional principles undergirding America is supposed to be a ban on cruel and unusual punishment.
Perhaps the closest thing to predictability in American criminal sentencing today is that the rich or powerful who steal millions or billions of dollars, or harm thousands or millions by their actions or inactions, usually get far lighter punishment (if any) than poor whites or blacks or other disadvantaged citizens involved in crimes which are trivial by comparison. Gross inconsistency in punishments for businesses which knowingly abused their customers often results in negligible penalties for relatively large-scale crimes. So 69% basically inherit their wealth, 4.2% marry into it, and virtually all the rest make it via criminal acts. Yeah, sure there's the occasional superstar like Apple's Steve Jobs or Britney Spears who defy the mainstream statistics.
Plus there's a small multitude of popular entertainers and athletes whose incomes spike into rich territory briefly only to sputter out later, leaving those folks in the bottom 99% of income again at some point, if they didn't save for a rainy day. Well, in order to earn $400,000 a year purely from something like interest, how big would your principal have to be? Based on the interest currently generated by my own savings it appears that number would be roughly around $35 million. With income taxes roughly amounting to 50% for gigantic lottery wins in America, that means someone who won around $70 million all for themselves (no need to split it with a pool of ticket buyers) could get rich-- IF they immediately stuck the money into interest bearing accounts and waited a full year to spend a penny. Unfortunately you'd need to be a 35x millionaire at minimum to earn the interest required to be rich. Turns out somebody documented the fact there were around 70,000 individuals worldwide in 2003 with $30 million or more in financial assets each.
For reasons of comparison with other estimates here I'm going to assume that each of these individuals basically accounts for the lion's share of the income for their immediate family or household. So we've got 70,000 households worldwide in 2003 possessing $30 million or more in financial assets each. Around 2001 Merrill Lynch coined the term "ultra-high-net worth individuals" or "UHNWIs" to describe these folks. So we've got roughly 70,000 of these "ultra-high-net worth individuals" in 2003, with some analysts expecting this number to grow by around 7% annually.
That would give us approximately 4,900 new 30x millionaires or better a year worldwide, circa 2005.
295,798,362 in America results in a 0.000004949 chance of any US citizen attaining this status for the first time next year.
That means if somehow you could make the whole world maintain its current state indefinitely-- with the only difference being you yourself were immortal-- then you'd need only wait another 202,061 years to definitely become rich yourself!
If we assume that wealthy Americans possess the same tendency towards marriage as all other Americans, then some 62 marriages in the US each year may involve at least one person of sufficient wealth to establish an all new rich household. There appears to be around 999,800 households or family units in the USA around the dawn of the 21st century who qualify as independently wealthy.
BUT-- the vast majority of these likely cannot spin off an entirely new household or family group which itself will qualify as rich too.
At minimum twice the annual income required to get into the wealthy ranks in the first place would have to be available. But of course few households would likely be willing to hand over as much as 50% of their net assets to help form a new wealthy household. So just how rich would a family have to be in order to shrug off the assets required to form an all new wealthy household via marriage? Well, the 200 households making at minimum $175 million a year could do that with no concern whatsoever-- as $400,000 for them per year amounts to a rounding error.

If 1.56% of those super-rich 200 families produce a marrying member per year, that would amount to three supremely eligible men and women annually.
I suppose that depends on just how extravagant a lifestyle the original household is accustomed to. Perhaps most households would tend to sustain such a loss if $400,000 represented something less than 20% of their yearly income. OK, I admit here I don't have the financial savvy claimed by Wall Street brokers and big bankers. So in the dumbest, easiest, most straightforward, and maybe worst way to generate income off a nest egg, it appears at least $150 million would be necessary to earn $2 million a year. If anything like this number holds for a substantial number of the truly wealthy, then that drastically reduces the likely number of all new wealthy households which might be spun off annually from existing family units. For there appears to be only some 3959 US households in possession of net worths of $150 million or more (rounded off from 3958.63). If these households produce marrying folks at the same rate as Americans in general, then some 62 (rounded off from 61.76) eligible men and women from these families get married each year. The Rich Register 2005 lists 4,700 Americans as having a net worth of more than $25 million apiece. I'm assuming here that we can take the above number as representing some 4700 separate wealthy households. So are my estimates of the interest generated on such sums even in the ballpark when compared to real world situations?
The legal battle over the estate of the late founder of Herbalife International offers us one peek.
Whatever the total amount currently existing, it's yielding something like $3 million a year.
Information relating to a different family member involved in all this says they themselves have a net worth of over $10 million, which is yielding them over $600,000 per year in income. The article seems to say that this second person also gets $120,000 a year in child support, plus $100,000 a year for other expenses.
So anyway in these two cases of real world big money we get an interest rate range between 0.75% and 6%. As the truly wealthy represent such a miniscule percentage of the population, we can probably safely assume that the number of annual marriages where both partners are wealthy is so small as to be statistically insignificant. So for our purposes here virtually all (100%) American marriages including a person of such wealth will also include a much poorer mate. This leaves us with around 392 Americans each year getting rich without basically inheriting it or marrying into wealth (454 minus 62). Unless of course already wealthy households are willing to part with more than 20% of their wealth to help the new family unit enjoy wealthy status.
This leaves us with maybe as many as 392 openings for folks being reborn rich per year in America without benefit of inheritance or marriage.
So let's examine the channels of wealth-acquisition available to average, law-abiding citizens.
Another reason those folks aren't challenged on their claims is Americans-- like all folks everywhere-- want to believe their country is the best place in the world; special.
But anyone who truly craves freedom and opportunity must seek out the truth of their existence. So shall we examine those avenues to wealth-building so often hyped by charlatans among us? So it's just another lottery, where pure luck will usually be the major determining factor of success or failure (unless you're already wealthy). Which raises the question: Why do the proles continue to invest in publicly traded companies? However, if you are a psychopath you have a considerably better chance than 99% of other Americans at attaining wealth in the stock market and elsewhere.
And one of the striking features of the modern period is the institutionalization of that process, so that we now have huge industries deceiving the public—and they're very conscious about it, the public relations industry.
This is why stories about the very very few folks who did succeed in such efforts (like Steve Jobs of Apple Computer) are so well known to practically everyone around the world: they are the ultra rare exceptions.
And all this is despite the fact that the very best company workers might be 50 times more valuable to their employer, than the worst.
June 4, 2013 • NPR's Susan Stamberg asked three of our go-to independent booksellers to help fill our beach bags with good books.
March 13, 2013 • Mohsin Hamid's How to Get Filthy Rich in Rising Asia explores life in the modern megalopolis and the growing scarcity of clean water. March 6, 2013 • Mohsin Hamid chooses an unusual second-person structure throughout his new novel, How to Get Filthy Rich in Rising Asia. March 6, 2013 • In Mohsin Hamid's fictional how-to, a nameless protagonist makes a fortune selling knockoff bottled water in a thirsty Asian metropolis. February 27, 2013 • Mohsin Hamid's How to Get Filthy Rich in Rising Asia presents itself as a how-to manual for success in South Asia. Note: Book excerpts are provided by the publisher and may contain language some find offensive. As you lie motionless, a young jaundiced village boy, radish juice dribbling from the corner of your lips and forming a small patch of mud on the ground, it must seem that getting filthy rich is beyond your reach. November 21, 2012 By Mike Cernovich 11 Comments I once drove a 33-year old friend of mine to the ER.
The first thing you’ll notice about How to Get Rich (here) is that the author did not get rich selling people self-help advice on getting rich. How to Get Rich is something ever-so-slightly new in the world, or at least I have tried to make it so. My book points out, in harsh detail, the damage to your present contentment and the risk to future and existing relationships that you run by seeking to get rich. Getting rich means getting divorced, paying alimony and child support, having nervous breakdowns, using massive amounts of drugs, paying whores to have sex with you (there’s no time for game when you are chasing real paper), never being able to trust people who claim to love you, dreading talking to people because you know they are all looking for a way to get into your pockets.
He tells you to work 14-18 hour days, ruin your relationships with friends and families, destroy your health…all for the chance at being rich. Read this book awhile back and it is a great read because it is not the usual inspirational BS that anyone can get rich with ease.
Motivating but also makes you question if you are really willing to pay the price that it will take. Of course it may happen, but the point is you will have to commit to risks that may ruin them.
But when I see and hear about the hours some guys are working to make someone else rich…What the fuck?
I agree with him, they’re is absolutely no way of becoming rich quick (unless you have some shitty parents who are always giving you money). But what I tend to disagree with him on is, these two points that I read on the amazon summary for his book, and yes I am judging the book by its cover(summary?). The reason I disagree with his philosophy on great ideas being overrated is because if you believe your idea is great enough, then shit by all means take it to its limits, and people will see that. Read previous post:Hating on the Military Makes You a WomanSomehow guys got in in their minds that making fun of the military is edgy and cool. Your city is not laid out as a single-celled organism, with a wealthy nucleus surrounded by an ooze of slums.
Please contact me with any factual errors, inaccuracies, or miscalculations found, so that I may address them. It's an eclectic mix representing many different sorts, from top crime lords and corporate executives to superstars among the entrepreneurial, film, and music crowds, and the biggest lottery winners in history.
Like both big-time dealers in illicit drugs, weapons, and human trafficking, as well as top corporate executives responsible for stealing the pensions or health benefits from thousands or hundreds of thousands of workers, or bilking investors, or secretly committing acts imperiling worker or customer safety or the environment? So that in general very near 100% of the newly wealthy in America are getting there by way of inheritance, marriage, or outright crime. For those additional figures we'd have to plumb the estimates of securities fraud and other such elements occurring per year in America. It would seem both governments and large corporate and criminal organizations would all enjoy such power. This larger figure may account for both the lost taxes from white collar corporate crime and the more easily defined crime lords described earlier.
Like literally hiding some possibly incriminating information under the rubric of "national security" or "executive privilege" or by utilizing other forms of censorship. Or else avoid any credible analysis of existing information which might lead to you or your cronies getting into hot water. Apparently due to them feeling they have everything so securely under their thumb that even their own custom-made rules are meaningless. So often the actual net worth and income of the rich or the corporate are even larger than the awesome amounts indicated by the statistics released to the public. And election campaign laws have practically assured no poor person can run for office without the blessing of the rich themselves.

Yeah, the employees will get a horrible surprise at retirement (or the next time they get injured or ill)-- as will the investors in their own aspirations-- but you and your cohorts will likely get away scot-free. Namely, the amount of crime going on in government and corporate agencies in America dwarfs that in the so-called 'outlaw' community our leaders typically rail against. Frazier got five years in prison and an order to pay $500 a month for 30,000 years for trying to make a living off selling unauthorized satellite TV signal unscrambling boxes. How many are reaching the point where they're likely to have $400,000 a year or more coming in from now on, despite being effectively 100% retired?
Another source said they expected this group would grow by roughly 7% each year around 2005 and thereabouts.
Maybe 1,464 if the 30x and better millionaires number is proportional to the total US share of global millionaires.
Of course this number may still include many who get rich by marrying into wealthy families. How many wealthy households could actually generate a whole new rich household via marriage if wished? So those 200 families can certainly spin off such new family units via marriage with no problem at all.
Plus how easily they might be able to ratchet up their subsequent income to make up for the permanent diversion of funds. That would put the threshold of income for willingly spinning off a new $400,000 per year income family unit at around $2 million annually for the original household. So there may be all sorts of ways to make more than $2 million a year off a nest egg of $150 million. That is, that the majority of individuals listed do not live in the same home with one another. Since then some $17-20 million in various legal and other fees have been subtracted from it. It's unclear if these other amounts are included in the $600,000 annual income mentioned before. I guess the awful rate has something to do with ongoing legal fees taking a bite out of the action. In that case the number of newly rich achieving their wealth without benefit of inheritance or marriage could be lower. Albeit microscopic opportunities compared to the monumental avenues of inheritance, marriage, and crime, most of these courses are none-the-less often touted by various popular authors and powerful political factions, despite them almost never working out for the vast majority of those who try them.
Partly because the truth is so hard to come by-- and even if acquired, difficult to analyze. The bewildering, overpowering nature of the details and complexity necessary to get at the truth? Swensen, chief investment officer of the Yale endowment, author of book "Unconventional Success: A Fundamental Approach to Personal Investment" speaking about the research necessary for successful investing. We may not have arrived at the point where the publicly traded shares in a company are a sure sign that those shares are a poor investment.
Interestingly, this developed in the freest countries—in Britain and the US—roughly around time of WWI, when it was recognized that enough freedom had been won that people could no longer be controlled by force. In search of his fortune, Hamid's protagonist lands on a scam to boil and sell tap water as bottled mineral water in a novel that takes inspiration from self-help books.
Hamid joins NPR's Steve Inkeep to discuss the book's conceit and the side effects of rampant development. The story of a street urchin's corrupt path to prosperity, the novel puts critic Alan Cheuse in mind of that quintessential American story of an unscrupulous striver, The Great Gatsby.
Join us in this 10-minute Boomtank Book Review to hear more about Felix Dennis’ business book classic, How to Get Rich. It is an anti-self-improvement book – because it admits openly that the chances of anyone reading it it and then become rich are minuscule. It also deals with the coarsening of your nature that will accompany the rough and tumble of acquiring a piece of pie from another’s table.
His point was you have to be a covetous asshole and screw a fair number of people to get that kind of money.
And if you end up failing, you’ve still succeeded by gaining experience in what you were doing, and using that for next venture. It lacks sufficient mass transit to move all of its workers twice daily in the fashion this would require. Some winners may find themselves in worse financial shape a few years after winning than they were before! And all the money that's successfully laundered ends up making its owners smell like roses so far as the public or law enforcement is concerned in regards to their actions. That is, at what level of wealth does it become sufficiently bearable for an existing household to basically hand over $400,000 a year in income in order to begat a new one of 'poor' rich status? If a net worth of $30 million is necessary to collect $400,000 minimum a year in interest, then a net worth of $150 million may be required to get $2 million annually. All I'm doing here is basing my calculations on what my own bank gives me in interest on my own investments, and scaling it up.
But the trustees expect the estate to be worth well over $500 million by around 2027-- when it all goes to its legal heir. So those authors and political operatives reliably rake in the profits and other benefits of their claims year after year, decade after decade, with no one of prominence challenging the truth of their statements. Sure, your idea might be great, but it's much more likely to be effectively stolen from you in one manner or another rather than bringing you great rewards. The power of this book is hearing Dennis describe his personal rise from poverty to extreme wealth, by clinging to his personal mantra, ‘Never Give In’.
It points out, too, that avarice is tremendously time-consuming and that time is in somewhat short supply – our lives are way too short.
But $10M is totally achievable without being a dick to anyone, and sane people would regard that as rich. It also lacks, since the end of colonization generations ago, governance powerful enough to dispossess individuals of their property in sufficient numbers. And prestigious awards like the Nobel Prize, Pulitzer, or MacArthur Foundation Award fall even shorter in regards to propelling winners into the 'rich' class. But still our calculations should get us into the general ballpark for the purposes of this page. But the book's nameless protagonist, who transforms from rural peasant to corporate tycoon, fails to follow this last directive a€” after all, the dogged pursuit of success doesn't happen in a vacuum.
Wealthy neighbourhoods are often divided by a single boulevard from factories and markets and graveyards, and those in turn may be separated from the homes of impoverished only by an open sewer, railroad track, or narrow alley.
And if 30x millionaires could find a way to get a better interest rate than I currently do, then they might achieve the magnitude of wealth we're looking for after all. In his book, he candidly describes himself at one point in his life as a “…coked-up, overweight, cigarette smoking, malt-whiskey-drinking idiot…” working 16-hour days, until later in life when he transitioned to a focus on writing poetry in his 50’s. In May 2013, Dennis was awarded a Lifetime Achievement Award by the British Media Awards, shortly before his death in June 2014.
After all, folks with a much bigger principal than I possess should have more options interest-wise. Hear about his rise to incredible success and his thoughts on being a ‘wage slave’ and how, “There is absolutely nothing more likely to dampen the prospects of becoming rich than a nice, fat, regular salary check.” It’s guaranteed to make you stop and think, hard.
But that night he tells your mother that he has decided she and you children will join him in the city. If it tips over as it careens down the road, swerving in mad competition with other equally crowded rivals as they seek to pick up the next and next groups of prospective passengers on this route, your likelihood of death or at least dismemberment will be extremely high.
Just as when headed into the mountains a quick shift in altitude can vault one from subtropical jungle to semi-arctic tundra, so too can a few hours on a bus from rural remoteness to urban centrality appear to span millennia.
Dirt streets give way to paved ones, potholes grow less frequent and soon all but disappear, and the kamikaze rush of oncoming traffic vanishes, to be replaced by the enforced peace of the dual carriageway.
Electricity makes its appearance, first in passing as you slip below a steel parade of high-voltage giants, then later in the form of wires running at bus-top eye level on either side of the road, and finally in streetlights and shop signs and glorious, magnificent billboards. Buildings go from mud to brick to concrete, then shoot up to an unimaginable four stories, even five. Where once your clan was innumerable, not infinite but of a large number not readily known, now there are five of you. The fingers on one hand, the toes on one foot, a minuscule aggregation when compared with shoals of fish or flocks of birds or indeed tribes of humans.
In the history of the evolution of the family, you and the millions of other migrants like you represent an ongoing proliferation of the nuclear. It is an explosive transformation, the supportive, stifling, stabilizing bonds of extended relationships weakening and giving way, leaving in their wake insecurity, anxiety, productivity, and potential.

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