The Truth about “The One Percent”

For “progressives” these days, the Great Evil seems to be the so-called “one percent”. They  want you to think that the “One Percent” are the “mega rich.”
They think the “1%” are this:

However, it shows their lack of understanding of math, statistics or even common sense.  The phrase “1 percent” came about because of the notion of _The Millionaire Next Door_, that 1 in every hundred Americans has a net worth of a million dollars or more in savings, and most of them live in middle-class neighborhoods.  That includes upper-middle class professionals like doctors and lawyers, and retirees.

If the “1 %” really means retirees with a million or more in savings, let’s look at that.  Let’s look at person retiring at 65 with a net worth of $1,000,000.  Let’s say the person’s home, originally purchased for $70,000 40 years ago, is now worth $250,000.  That leaves $750,000 in net worth from retirement investments.  So the person has that, plus Social Security, to live off of.

If a 65 year old has $750,000, and lives to be 95, for those of you who think that the 0.1% are the 1%, that’s $750,000/(95-65)= $750,000/30 = 25,000 per year, without interest.

The true “1 percent” look more like this:

One response to “The Truth about “The One Percent”

  1. I think you have confused income with assets. But that is not surprising, because everybody in this issue quite often does.

    The top 1% of income earners will earn 2.5 x what the top 1% of asset owners own, every year.

    But if you widen the circle- to world wide, not just the United States- every person in America is in the top 1% of income world wide.

    Is it any wonder that through thrift, even the lowest illegal immigrant can come to the United States and become a top 1% asset owner?

    Of course, for 99 Americans out of 100, Thrift is a dirty word.

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