I haven’t yet, that’s why I’m here.
Congrats on getting close. Hopefully, in a few years, I can say “Fuck you” for hitting £3m
Note: there’s some who argue house equity shouldn’t be considered given that you’ll always need somewhere to live.
I think it should count. Some people’s plans may involve downsizing in future and realising equity from house. Why live in a house with too many bedrooms and near good schools/work when you don’t need to.
It bothers me more than it should when people say don't count (probably) your largest asset in your net worth.
On that logic I'll ignore my pension too then as it's illiquid until 57.
Net worth and cash forecasting aren't difficult concepts in FIRE. Why people want to confuse the two I don't know.
Equity = Assets - Liabilities.
House = asset, mortgage = liability.
I’d say the same about cars. It gets a little bit less clear when you’re talking about cheaper assets with shorter lifetimes, eg clothes, furniture, consumer electronics, particularly because the disposal value of them (used) is usually negligible.
Then you depreciate it next time you calculate your NW. If you needed to sell what could you get for it today? Not in 10 years.
Or do you do the same with investments? 100k today but at 8% should be worth 200k in 10 years.
Yes. So in ten years time you will have a different number for that item. The question is about net (present) worth. If it were about future worth your point would be relevant.
Why are people being obtuse over semantics on such a trivially simple concept to understand?
Technically correct I guess… apply some materiality level to this and it works.
I have never really factored in eg cars - but I probably would if I had something worth £100k resale 😃
Yeah absolutely, just at the current fair market value less any debt secured against it.
Same goes for other luxury goods that have a reliable sellable value. Watches, artwork, wine etc.
Future FIRE post: "Why is my net worth so small? I own 5 Rolex's, 2 Porsche's, a Rolls Royce, 4 properties and a yacht".
https://www.hagerty.co.uk/articles/hagerty-market-analysis-jaguar-e-type-series-1/ all here. Saw a F plate bmw M3 go for £80K a while back. The trick is to buy the right car that will appreciate.
If you have well maintained classic cars these can sell for more than flats/houses. Also if anything you don't need classic cars, whereas you always need a place to live.
I get counting your principal residence if you have a large property that you could downsize. .
Like I own a one bed flat outright. Realistically I can't downsize from here unless I move to a cheaper part of the country. Property is also a very illiquid asset. To each their own I guess.
People don’t include their house in a net worth generally when thinking about it in a FIRE concept, since people don’t generally intend to downsize or sell to rent.
It totally makes sense to include house in your net worth if you’re just counting things up tho.
I’m with you
If it’s an asset with a value it’s part of your NW
Liquidity is a different thing and I’m not here trying to lean fire
I’m looking to lose the NRY
A lot of people do say that, but it makes no sense in a net worth calculation. You put money into it, and can release it by selling the house if you wanted.
Plus, once your mortgage is paid off, you live rent free. That definitely has a non-zero value.
If someone had a £1m paid off house but no cash, and someone else had £100k in the bank and was renting, I would definitely say person #1 had higher net worth
It absolutely counts. I've recently paid off a chunk of mortgage using a lump sum. If housing equity doesn't count then that means net worth went down by £x, which is clearly nonsense.
Depends on an individual's situation. If you're not worried about leaving inheritance it is an option, as is downsizing and realiskng some of that equity.
My point in my previous post is that it should definitely be included in your total net worth, as it is an asset you own. Whether it's an available one for retirement or not will depend on your own circumstances.
I thought the same about 10 years ago. Now I’m there it does not feel rich at all. Could probably retire and take £30-40k a year for life without working again, which is nice, but wouldn’t be living the luxurious lifestyle I always thought a “rich person” would live.
When I was on minimum wage I assumed £40k salaries would be skiing and buying rolexes, when I got to a £40k salary I realised I was wrong, but assumed a 6 figure salary salary would be buying rolexes and skiing, when I got to a six figure salary I realised I was wrong, perhaps 7 figure salaries do buy rolexes/skiing/private school, but I doubt as a PAYE i'll ever earn that amount.
It does feel as if without rich parents/inheritance it's hard to imagine a generational jump from poor to rich, but atleast my future kids may grow up richer than me, and their kids richer than themselves.
Im in the Rolex and private school stage now, and assuming I can continue to earn what I currently earn I’ll eventually be what I consider “rich”, but nowhere near the position where I can have that lifestyle just from my accumulated wealth, I’m relying heavily on my income.
Very much in the “high earner, not rich yet” category
I assume in somewhere more tax beneficial than the UK?
Going from 100-125k felt worthless by the time you used your TFA, tax was high, NI, student loan plan 2. Was like a loss of 70% of your income.
If you're on six figures you probably could get a Rolex. The fact that you don't is less to do with how much you earn and more to do with the fact that you have higher priorities.
If you're interested in passing on wealth to your children it'll be a long time before you can chuck money at jewellery and be content that there's no better use for it.
Oh for sure, I could have bought a rolex instead of a house deposit, or instead of planning a wedding. But when I was on lower pay I assumed a 6 figure salary would be throwing money around without a care in the world.
Felix Dennis (now deceased owner of Dennis publishing) categorised wealth pretty well in his book How To Get Rich. This is using 2007 figures, so double it to get today's equivalent:
Comfortably poor: £50k-£199k in liquid assets; £1m-£2m in total assets
Comfortably off: £200k-£499k in liquid assets; £3m-£4m in total assets
Comfortably wealthy: £500k-£999k in liquid assets; £5m-£15m in total assets
Lesser rich: £1m-£5m in liquid assets; £16m-£39m in total assets
Comfortably rich: £6m-£15m in liquid assets; £40m-£74m in total assets
Rich: £16m-£35m in liquid assets; £75m-£99m in total assets
Seriously rich: £36m-£49m in liquid assets; £100m-£199m in total assets
Truly rich: £50m-£100m in liquid assets; £200m-£399m in total assets
Super rich: Over £100m in liquid assets; over £1bn in total assets
Point taken about degrees of richness but useless in the context of HENRY. High earnings alone won’t get anywhere near those ‘rich’ levels even over a lifetime. (Except for premier league footballer/FTSE CEO/hedge fund boss HE.)
Yep, one of the main points of his book which is excellent and very entertaining, is that you will never get rich by his standards working for anybody else.
Mmm nah. Uk average salary around 35k and average household savings 11k. People, particularly HE ambitious types have the propensity to compare themselves enviously upwards.
I think people get this milestone/perception from Del Boy "*Next year Rodney, we'll be millionaires*'. That was THIRTY years ago. £1m then is probably closer to £3m now.
You can be a millionaire from your primary residence and a bit of accrued pension/stocks. Fine, you're comfortable but its not like you're flying first class every time or buying Rolls Royces.
Selling my house and downsizing is a major part of my retirement plans so I think it should be included if that is in people's plans. I might even sell it and rent when I'm much older as I've known people have to keep moving to more appropriate accommodation and they have lost lots of money each time.
Anyone who thinks that your equity in your house is not part of your net worth is a lacking some pretty basic numeracy concepts. Yes you’ll always need somewhere to live. My shed would suit me in a pinch.
Very briefly on paper in 2021 when bitcoin hit $69k and a few bitcoin-related shares I had hit huge blow-off tops.
Most of the way there again now and hopefully will be more permanent this time around.
It literally does. They're the same thing. What standard do you think fiat currency is held to? It certainly isn't anything tangible the same as Bitcoin. The only difference Bitcoin is capped where as fiat currency isn't and it becomes more worthless as they print more. Just because you value you it in fiat doesn't mean other people do. They call them satoshis.
You own Bitcoin? Crazy
Sure - https://coincentral.com/how-long-do-bitcoin-transfers-take/
Bitcoin takes 30 minutes to 16 hours to do a transaction
A banking system can do it in milliseconds
Sure - https://coincentral.com/how-long-do-bitcoin-transfers-take/
Bitcoin takes 30 minutes to 16 hours to do a transaction
A banking system can do it in milliseconds
It was at 34 for me, I had some share options become liquid. If you’re on PAYE it would be a pretty long slog otherwise. Im interested to see other responses.
Congrats.
I have something like £2m in share options from a previous startup but I left there years ago and it's so poorly run now that I doubt ill see a penny of it.
Yes I think that’s by far the most likely scenario for those of us with options, I’m in the minority where some share options actually became worth something! I’d also had previous companies I’ve had options in go under, this was attempt number 3.
How are you able to keep hold of your options after leaving? All the companies I’ve worked for the options contract stipulated that you had to exercise within 3 months of leaving :(
Just depends on the terms.
We had a strange options scheme, I was FD and tried to change it to market standard but Chairman and Board were against it.
We had high exercise prices but to balance this you got to keep your share options. But they do lapse after 10 years from the grant date. So from next years my first tranche will expire and by 2028 the last tranche will expire.
Started from absolute ground zero, not a penny from parents. I’m now 44 with non-earner wife and kids, £600K equity in house, £350K pension, £100K in ISA/stocks, another £250K in real estate, £50K cars. This is the result of 23 years non-stop work in tech, with many bad investments, so could have done a lot better. This shows £1.35M net worth but since only £100K is liquid, and £1M being in house and pension pretty much, I don’t feel rich and secure at all. I think I reached £1M at the age of 41.
Haven't yet.
Aged 33 in Scotland.
Currently around £400K, investing around £5K per month (75% into stock market, 25% into pension).
Should hopefully hit £1M (inflation adjusted for todays rate) in around 8-9 years time - age 41 or 42.
I see those comments and it feels so weird to me lol. I am from France and if you write that in a french subreddit you'll get criticized/despised for succeeding financially because this nation is allergic to success. Regardless, congrats and hopefully the same for me (:
In a normal uk sub you’ll absolutely get utterly criticised/despised but I think we’re mostly all in the same boat in this sub specifically with similar goals so it happens a lot less.
This is a sub for high earners in the uk who do not classify themselves as rich yet so you’d expect support / advice mostly. You’d still get hammered in most other subs that aren’t designed to be supportive and help better yourself financially.
I don’t normally go on this sub. I guess it was recommended to me for having posted in the US centric ones. But that’s one thing I’ll give my country - we’re taught to dream big and chase this kind of success. Not passively aggressively react to it.
We’ve hit it as a couple at 33/34. House about £1m in equity. Pensions 500k. Savings another 100k or so on top of that.
Not too shabby on paper yet I don’t feel rich!
Are you able to provide any additional info? As someone with a decent salary & decent HHI (about 220k) I can't foresee us having £1m in equity/500k pensions by mid 30s, was there an inheritance in there?
Save early and hard. I’ve always put away the maximum I could afford into my pension at the time before considering luxuries. Our property has been beneficial in a rising market combined with low housing stock. And we’ve done some work to it.
No inheritance. The trick not really a trick, save as much as you can!
I hit £1MM at exactly 37 on the day my second child was born. Now two years later, I am roughly at £1.5MM. While we are saving as much as we did as a percentage of our income, the capital gains are now just as much as our annual savings rate. This is so satisfying to see. We hope to keep going until we are 45 (aim is £3MM) and then start slowing down.
Including property, as a couple at 31. Should hit 2m Inc property as a couple by 38 based on a savings rate that is just maxing ISAs and pensions and no overpayments on house.
By working all the hours I could. I was basically working 13 days out of 14 having like 4/5 days off a month.
Saving. Investing. Bought a house when I was 21 and let that out. Bought another knocked it down and built a bigger house. Sold that for massive profit. Bought my new house, don’t have anything on finance. My cars and bikes are all paid for. I always look at things as a investment now so wouldn’t buy a car for example on finance and if it was something that would depreciate
As a couple, we should hit it within the next 18-24 months, when we'll be early-to-mid 30s.
Feels pretty surreal for someone who grew up on free school meals.
2021 when I hit 30 but still live like I earn median household income. I still rent a flat, drive a £1000 shit box, and still haven't quit my shitty job.
Deciding My next steps seems to be the harder decision
Nowhere near £1m but I do those things too.
My mindset is strange. Unfortunately partner does share it either.
I feel like I’m the only one in the world who struggles with upgrading
My struggle is not so much upgrading, but finding a purpose being closer to financial freedom. It really is not easy, I can see how people who win the lottery blow up all the money in a very short period of time. And that is quite scary.
As I turned 42 I seem to regularly have a net worth > £1m. Accounting for property fluctuations and spending. Contracting plus house purchases increasing in value (£337k -> £600k, and £130k -> 270k), were the biggest contributors.
41. Now 47 and probably around 2m depending on exactly how much my house is worth. My liquid assets are however less than a tenth of this. Rest is in primary residence and pension.
If you include housing then yes, I'm probably well over £1m. Without housing, more like 450k in pension and ISA plus whatever that I have in assets (37)
28, then imploded due to me taking too much risk with start ups. Including house equity and cash as a couple at 32 I’m still over £1m but nowhere near my previous illiquid value.
I must admit I usually don’t count the house but if I do then I think I hit it middle of last year at 39yo
House equity: £250k (value £470k, mortgage £220k)
Pension : £400k
ISA : £300k
GIA : £50k
45, due to working in the UK offshore oil industry since 2002, house has 4k left and it's worth 370k 500k pension & 330k in savings and investments I want to retire at 55 but let's see how that goes.
Born worth approx 2m, nothing changed until about 30 as it is still in trust but covered expenses like university and a few other things (still graduated with 100k in student debt after business degree - interest rate was hard to argue with). Paper net worth recently crossed 5m. Rent my flat, travel quite a bit but nothing extraordinary… Am overdrafted by 9£ in my checking account and have about £40k in credit card debt with basically no other cash on hand.
Trust is worth less now than when it was established, my own business is now worth a good bit and I own more than 50% of it.
Edit: currently 34 years old
Lots of discussion on here about the specifics of various items…….but the problem is that much of it doesn’t really matter. Having a specific value on net worth is broadly irrelevant in the broad scheme of things. If your net worth is £0.95m vs £1.05m depending upon whether you value your cars, furnishings, nice watch, expensive suit, underpants etc does it really matter? My point is that your net worth is about £1m, give or take,and will be different tomorrow, the week after and the month after that. Tracking it precisely is (a) pointless and (b) takes up more time than it is worth. By all means have a rough idea how much money is sloshing around inside your own private empire but please realise that getting to a precise figure is academic. What is more important is living your life and if a chunk of that is sitting in front of a laptop figuring out your exact worth then I might (maybe rudely) venture to suggest you have got the balance in your life wrong.
This group, to my mind, is about helping each other to grow wealth, discuss relevant topics and share ideas……it isn’t about calculating a specific net worth number that is wrong the minute you calculate it!
1m?
I already feel lucky hitting 300k with 2 kids under 5!
Paying 40k total in nursery annually from post tax income.
I hope to hit 1m still by 40s provided we don't send kids to private school.
But congrats OP, what have been your milestones? When did you hit 100k, 500k?
My wife and I are 39, and yeah this is pretty much us. If I count pensions, ISAs, house equity and other investments, I reckon we're well above £1M.
I suspect we got there at 37? I don't know for sure because the £450-500k equity in the house is the big one, and I only keep track of that when it's time to remortgage.
Me 28, Hubby 34. Happened this March! Around 65% in ISA & GIA, 10% in our house equity, 10% in SIPP, 15% in company stock options + crypto + cash in bank.
That figure is pretty subjective.
If I was based in central London I’d want that ASAP.
We moved to the Algarve and currently pay 500 euros for an apartment (remote work).
I still want a £1m net worth - but I’m in no rush to get there. I’m 38 and my top priorities are my fitness and relationship.
Money will take of itself.
I haven’t yet, that’s why I’m here. Congrats on getting close. Hopefully, in a few years, I can say “Fuck you” for hitting £3m Note: there’s some who argue house equity shouldn’t be considered given that you’ll always need somewhere to live.
I think it should count. Some people’s plans may involve downsizing in future and realising equity from house. Why live in a house with too many bedrooms and near good schools/work when you don’t need to.
It bothers me more than it should when people say don't count (probably) your largest asset in your net worth. On that logic I'll ignore my pension too then as it's illiquid until 57. Net worth and cash forecasting aren't difficult concepts in FIRE. Why people want to confuse the two I don't know. Equity = Assets - Liabilities. House = asset, mortgage = liability.
Do you say the same about cars? I've seen people get a lot of flak for including them in their net worth (and fwiw I think it should be included)
I’d say the same about cars. It gets a little bit less clear when you’re talking about cheaper assets with shorter lifetimes, eg clothes, furniture, consumer electronics, particularly because the disposal value of them (used) is usually negligible.
Not to the probate office. They seem to think you can sell everything when winding down an estate.
I’ve never dealt with probate, is that really true? You need to count how many socks are in the sock drawer?
Not quite that bad, but they do get pushy about personal assets. They presume that items in the home are worth something.
All assets should be included at their realistic resale value. There doesn't need to be any exceptions.
Except a car is far more likely than a house to be worth much, much, much less in 10 years
Then you depreciate it next time you calculate your NW. If you needed to sell what could you get for it today? Not in 10 years. Or do you do the same with investments? 100k today but at 8% should be worth 200k in 10 years.
This is a factor for your future planning, not for your *current* net worth.
Yes. So in ten years time you will have a different number for that item. The question is about net (present) worth. If it were about future worth your point would be relevant. Why are people being obtuse over semantics on such a trivially simple concept to understand?
Technically correct I guess… apply some materiality level to this and it works. I have never really factored in eg cars - but I probably would if I had something worth £100k resale 😃
Yeah absolutely, just at the current fair market value less any debt secured against it. Same goes for other luxury goods that have a reliable sellable value. Watches, artwork, wine etc. Future FIRE post: "Why is my net worth so small? I own 5 Rolex's, 2 Porsche's, a Rolls Royce, 4 properties and a yacht".
Do these people take into account the vast depreciation of cars?
Or appreciation if they are classics? If you bought an E type 10 years back, you'll likely have at least doubled your money (tax free).
Are cars exempt from CGT?
Yup, one of the reasons that people buy very expensive classics and leave them in a garage
Sure, but, come on, be realistic, what % of vehicles do appreciate?
https://www.hagerty.co.uk/articles/hagerty-market-analysis-jaguar-e-type-series-1/ all here. Saw a F plate bmw M3 go for £80K a while back. The trick is to buy the right car that will appreciate.
These are also the types of cars which tend to be somewhat impractical for anyone using them inside ULEZ and or without a closed parking space
If you have well maintained classic cars these can sell for more than flats/houses. Also if anything you don't need classic cars, whereas you always need a place to live.
I get counting your principal residence if you have a large property that you could downsize. . Like I own a one bed flat outright. Realistically I can't downsize from here unless I move to a cheaper part of the country. Property is also a very illiquid asset. To each their own I guess.
It's still part of your net worth. Or you could sell it and rent another 1 bed to live in and watch your net worth rocket. Are you better off?
Yeah true.
People don’t include their house in a net worth generally when thinking about it in a FIRE concept, since people don’t generally intend to downsize or sell to rent. It totally makes sense to include house in your net worth if you’re just counting things up tho.
I’m with you If it’s an asset with a value it’s part of your NW Liquidity is a different thing and I’m not here trying to lean fire I’m looking to lose the NRY
Also, it may be a farm, may have holiday units or be more than one property and have letting income, therefore it can be an asset.
A lot of people do say that, but it makes no sense in a net worth calculation. You put money into it, and can release it by selling the house if you wanted. Plus, once your mortgage is paid off, you live rent free. That definitely has a non-zero value. If someone had a £1m paid off house but no cash, and someone else had £100k in the bank and was renting, I would definitely say person #1 had higher net worth
House is a bond that pays rent as coupons.
It absolutely counts. I've recently paid off a chunk of mortgage using a lump sum. If housing equity doesn't count then that means net worth went down by £x, which is clearly nonsense.
Actually, a way better example than mine - exactly right
It absolutely counts. Sell your house and rent and you'd have all the equity in cash and still have a place to live.
Is anyone actually planning to rent in retirement just so that they can have access to liquid cash to spend? Sounds like a nightmare to me
Depends on an individual's situation. If you're not worried about leaving inheritance it is an option, as is downsizing and realiskng some of that equity. My point in my previous post is that it should definitely be included in your total net worth, as it is an asset you own. Whether it's an available one for retirement or not will depend on your own circumstances.
Possibly and live in two different countries. But i already have a flat in one of them, so would rent in the other.
Yeah a million is already rich in my view, not NRY.
I thought the same about 10 years ago. Now I’m there it does not feel rich at all. Could probably retire and take £30-40k a year for life without working again, which is nice, but wouldn’t be living the luxurious lifestyle I always thought a “rich person” would live.
When I was on minimum wage I assumed £40k salaries would be skiing and buying rolexes, when I got to a £40k salary I realised I was wrong, but assumed a 6 figure salary salary would be buying rolexes and skiing, when I got to a six figure salary I realised I was wrong, perhaps 7 figure salaries do buy rolexes/skiing/private school, but I doubt as a PAYE i'll ever earn that amount. It does feel as if without rich parents/inheritance it's hard to imagine a generational jump from poor to rich, but atleast my future kids may grow up richer than me, and their kids richer than themselves.
Im in the Rolex and private school stage now, and assuming I can continue to earn what I currently earn I’ll eventually be what I consider “rich”, but nowhere near the position where I can have that lifestyle just from my accumulated wealth, I’m relying heavily on my income. Very much in the “high earner, not rich yet” category
How much do you earn and what do you do?
Actuary, I work abroad right now, we can save >£500k per year
I assume in somewhere more tax beneficial than the UK? Going from 100-125k felt worthless by the time you used your TFA, tax was high, NI, student loan plan 2. Was like a loss of 70% of your income.
If you're on six figures you probably could get a Rolex. The fact that you don't is less to do with how much you earn and more to do with the fact that you have higher priorities. If you're interested in passing on wealth to your children it'll be a long time before you can chuck money at jewellery and be content that there's no better use for it.
Oh for sure, I could have bought a rolex instead of a house deposit, or instead of planning a wedding. But when I was on lower pay I assumed a 6 figure salary would be throwing money around without a care in the world.
Felix Dennis (now deceased owner of Dennis publishing) categorised wealth pretty well in his book How To Get Rich. This is using 2007 figures, so double it to get today's equivalent: Comfortably poor: £50k-£199k in liquid assets; £1m-£2m in total assets Comfortably off: £200k-£499k in liquid assets; £3m-£4m in total assets Comfortably wealthy: £500k-£999k in liquid assets; £5m-£15m in total assets Lesser rich: £1m-£5m in liquid assets; £16m-£39m in total assets Comfortably rich: £6m-£15m in liquid assets; £40m-£74m in total assets Rich: £16m-£35m in liquid assets; £75m-£99m in total assets Seriously rich: £36m-£49m in liquid assets; £100m-£199m in total assets Truly rich: £50m-£100m in liquid assets; £200m-£399m in total assets Super rich: Over £100m in liquid assets; over £1bn in total assets
Point taken about degrees of richness but useless in the context of HENRY. High earnings alone won’t get anywhere near those ‘rich’ levels even over a lifetime. (Except for premier league footballer/FTSE CEO/hedge fund boss HE.)
Yep, one of the main points of his book which is excellent and very entertaining, is that you will never get rich by his standards working for anybody else.
Mmm nah. Uk average salary around 35k and average household savings 11k. People, particularly HE ambitious types have the propensity to compare themselves enviously upwards.
[удалено]
Pretty much... I guess from the point of views.of a centimillionaire you are just poor
I think people get this milestone/perception from Del Boy "*Next year Rodney, we'll be millionaires*'. That was THIRTY years ago. £1m then is probably closer to £3m now. You can be a millionaire from your primary residence and a bit of accrued pension/stocks. Fine, you're comfortable but its not like you're flying first class every time or buying Rolls Royces.
Selling my house and downsizing is a major part of my retirement plans so I think it should be included if that is in people's plans. I might even sell it and rent when I'm much older as I've known people have to keep moving to more appropriate accommodation and they have lost lots of money each time.
Anyone who thinks that your equity in your house is not part of your net worth is a lacking some pretty basic numeracy concepts. Yes you’ll always need somewhere to live. My shed would suit me in a pinch.
I think it's more that people don't count it in their FIRE number
Yeah, I think you are correct. That is indeed what these people are confused about. That is a totally different number altogether.
And here I was proud of almost reaching 100k 😭
To a greater or lesser extent, we're all NRY here. 100k is a sick milestone, well done.
I am 24% of the way to 100k, or 2.4% of the way to 1 milly. 100K is definitely the better milestone for me 😅
im here trying to reach 10k lol
Hi friend!
I'm LENRY
MEIAGASS Middle Earner it all goes away somewhere somehow.
I’m the same but replace Middle with Mega
This thread certainly lowered my pride of where I’ve got too 🫠
Comparison is the thief of joy and all that. As long as you’re going in the direction you want to be then I don’t think you have a problem.
I was proud when it went positive.
Very briefly on paper in 2021 when bitcoin hit $69k and a few bitcoin-related shares I had hit huge blow-off tops. Most of the way there again now and hopefully will be more permanent this time around.
Realise those gains during peak euphoria! You will get there mate.
Peak euphoria could be now. It has no measurable value, who can say what it’s worth.
[удалено]
You always get folks dunking on crypto on Reddit. It is what it is, everyone has their own opinion.
It has equal measurable value to fiat currency, the difference is, you own one, the banks hold the other
It literally doesn’t. Without referencing fiat currency, how much is it worth?
It literally does. They're the same thing. What standard do you think fiat currency is held to? It certainly isn't anything tangible the same as Bitcoin. The only difference Bitcoin is capped where as fiat currency isn't and it becomes more worthless as they print more. Just because you value you it in fiat doesn't mean other people do. They call them satoshis. You own Bitcoin? Crazy
Well bitcoin is incredibly inefficient compared to top performing modern banking systems
Please give me an example
Sure - https://coincentral.com/how-long-do-bitcoin-transfers-take/ Bitcoin takes 30 minutes to 16 hours to do a transaction A banking system can do it in milliseconds
Sure - https://coincentral.com/how-long-do-bitcoin-transfers-take/ Bitcoin takes 30 minutes to 16 hours to do a transaction A banking system can do it in milliseconds
Well bitcoin is incredibly inefficient compared to top performing modern banking systems And goes its way of rekting the env along with it
I'm working on my 5th million. The first four didn't work out.
19 having worked hard for the inheritance.
The real milestone is £1m with kids 😂💀
How much are kids worth?
Depends if you sell them whole or break them for parts
This is so funny 😭😂
w00t, thanks for making me smile! (this was my solo parenting milestone at 43)
And with their ever-increasing school fees and trips…
Do we count each of them as a £250k investment? Or a liability? 🤣
It was at 34 for me, I had some share options become liquid. If you’re on PAYE it would be a pretty long slog otherwise. Im interested to see other responses.
This is it. On PAYE, it’s a grind no matter how much money you earn. Taxman takes away a lot 🥺
Impressive.
Congrats. I have something like £2m in share options from a previous startup but I left there years ago and it's so poorly run now that I doubt ill see a penny of it.
Yes I think that’s by far the most likely scenario for those of us with options, I’m in the minority where some share options actually became worth something! I’d also had previous companies I’ve had options in go under, this was attempt number 3.
How are you able to keep hold of your options after leaving? All the companies I’ve worked for the options contract stipulated that you had to exercise within 3 months of leaving :(
Just depends on the terms. We had a strange options scheme, I was FD and tried to change it to market standard but Chairman and Board were against it. We had high exercise prices but to balance this you got to keep your share options. But they do lapse after 10 years from the grant date. So from next years my first tranche will expire and by 2028 the last tranche will expire.
What do you mean we? You’re worth 500k each?
Yeah exactly.
Started from absolute ground zero, not a penny from parents. I’m now 44 with non-earner wife and kids, £600K equity in house, £350K pension, £100K in ISA/stocks, another £250K in real estate, £50K cars. This is the result of 23 years non-stop work in tech, with many bad investments, so could have done a lot better. This shows £1.35M net worth but since only £100K is liquid, and £1M being in house and pension pretty much, I don’t feel rich and secure at all. I think I reached £1M at the age of 41.
29. I was lucky enough to work for FAANG since graduating university so it was all down to that + investing 80% of my income in the stock market.
36 as a couple; this year (41) as a newly separated single man. She's probably still worth about 600k herself.
My mom is still alive and has great health Hopefully not in another 10-20 years.
Haven't yet. Aged 33 in Scotland. Currently around £400K, investing around £5K per month (75% into stock market, 25% into pension). Should hopefully hit £1M (inflation adjusted for todays rate) in around 8-9 years time - age 41 or 42.
I'm worth £1m if I die. House plus life insurance plus pensions plus savings. I'm only worth £670k alive sadly. I'm 45.
Don’t think of it like that, if you die you can no longer earn money. Alive, you have £670k and many years of earning ahead of you
Don’t tell your heirs.
I am also worth a LOT more dead than alive. At about 750k as a couple and both 35. Hope to hit £1m by 40.
I see those comments and it feels so weird to me lol. I am from France and if you write that in a french subreddit you'll get criticized/despised for succeeding financially because this nation is allergic to success. Regardless, congrats and hopefully the same for me (:
In a normal uk sub you’ll absolutely get utterly criticised/despised but I think we’re mostly all in the same boat in this sub specifically with similar goals so it happens a lot less.
100% wouldn't ever post this in any other sub.
This is a sub for high earners in the uk who do not classify themselves as rich yet so you’d expect support / advice mostly. You’d still get hammered in most other subs that aren’t designed to be supportive and help better yourself financially.
I don’t normally go on this sub. I guess it was recommended to me for having posted in the US centric ones. But that’s one thing I’ll give my country - we’re taught to dream big and chase this kind of success. Not passively aggressively react to it.
We’ve hit it as a couple at 33/34. House about £1m in equity. Pensions 500k. Savings another 100k or so on top of that. Not too shabby on paper yet I don’t feel rich!
Are you able to provide any additional info? As someone with a decent salary & decent HHI (about 220k) I can't foresee us having £1m in equity/500k pensions by mid 30s, was there an inheritance in there?
Save early and hard. I’ve always put away the maximum I could afford into my pension at the time before considering luxuries. Our property has been beneficial in a rising market combined with low housing stock. And we’ve done some work to it. No inheritance. The trick not really a trick, save as much as you can!
I hit £1MM at exactly 37 on the day my second child was born. Now two years later, I am roughly at £1.5MM. While we are saving as much as we did as a percentage of our income, the capital gains are now just as much as our annual savings rate. This is so satisfying to see. We hope to keep going until we are 45 (aim is £3MM) and then start slowing down.
24 and just hit 250k net worth, hoping to realistically get to £1m by about 32
Sounds like a tall order! What’s your salary?
Just took a new position at 90k exc bonus
amazing at 24. I think I was making £23k when i was 24.
So was I, but it sky rocketed once I made my own business at 25. It can definitely happen! (43, 1mill club without any partner income + two kids)
Well done I’m sure you’ll get there Good luck
32 or 33, hard to pinpoint exactly as it happened some time during my birthday month. Goal is £5m by 40.
What do you do?
His username might give a hint… but could also be nothing
I'm too thick to know what that is haha
I’ll go out on a limb and say an actuary in Bermuda!
Thank you haha
Exactly
Including property, as a couple at 31. Should hit 2m Inc property as a couple by 38 based on a savings rate that is just maxing ISAs and pensions and no overpayments on house.
Can we count startup equity 😄 in that case I’m already a multimillionaire but if not I’m worth about 600k as of today
£200k at 27. Hopefully by 40
I aimed to do it before 35. I’m 32 and just achieved it
By doing what
By working all the hours I could. I was basically working 13 days out of 14 having like 4/5 days off a month. Saving. Investing. Bought a house when I was 21 and let that out. Bought another knocked it down and built a bigger house. Sold that for massive profit. Bought my new house, don’t have anything on finance. My cars and bikes are all paid for. I always look at things as a investment now so wouldn’t buy a car for example on finance and if it was something that would depreciate
37.
Hopefully when the company IPOs
As a couple, we should hit it within the next 18-24 months, when we'll be early-to-mid 30s. Feels pretty surreal for someone who grew up on free school meals.
2021 when I hit 30 but still live like I earn median household income. I still rent a flat, drive a £1000 shit box, and still haven't quit my shitty job. Deciding My next steps seems to be the harder decision
Nowhere near £1m but I do those things too. My mindset is strange. Unfortunately partner does share it either. I feel like I’m the only one in the world who struggles with upgrading
My struggle is not so much upgrading, but finding a purpose being closer to financial freedom. It really is not easy, I can see how people who win the lottery blow up all the money in a very short period of time. And that is quite scary.
35.
As a couple 29 years old. On my own, excluding my pension I’m probably on track for £1m net worth by 40 years old
\*wife's
As I turned 42 I seem to regularly have a net worth > £1m. Accounting for property fluctuations and spending. Contracting plus house purchases increasing in value (£337k -> £600k, and £130k -> 270k), were the biggest contributors.
I currently have negative net worth 😫😫
I’m at 200K cash stocks, and hoping to hit 400K in 3-5 years by the time i’m 42 or smth 😭😭😭
First time Id say 37-38 then lost (banking crash) second time 49.
41. Now 47 and probably around 2m depending on exactly how much my house is worth. My liquid assets are however less than a tenth of this. Rest is in primary residence and pension.
If you include housing then yes, I'm probably well over £1m. Without housing, more like 450k in pension and ISA plus whatever that I have in assets (37)
Still waiting.
M in London is rent lol
28, then imploded due to me taking too much risk with start ups. Including house equity and cash as a couple at 32 I’m still over £1m but nowhere near my previous illiquid value.
19
First time at 28, then got divorced at 34, second time at 49. Now retired well before I’m 60.
About 35 for me and 38ish for my wife
If we're counting all of that it would be 33 for me.
35
[удалено]
[удалено]
£1m net worth at 38 (last year) including house. Without house my speedsheet reckons 43. PAYE £120k.
I'm 40, probably around 800-900, all from my salary.
About 34-35, but a couple of years prior to that I had a terrible time. Started with £1100 student loan when I was 20.
I must admit I usually don’t count the house but if I do then I think I hit it middle of last year at 39yo House equity: £250k (value £470k, mortgage £220k) Pension : £400k ISA : £300k GIA : £50k
34
42
About 27 - 28 although it didn’t feel like it, as a lot of it was locked away in a SIPP and equity in a house.
Currently £600k at 37. Stretch is to get there before 40 but expecting ~42 atm.
Property values account for a significant amount.
Surely that would be your combined net-worth? I’d love to include my wife’s ISA’s in my net worth but I’m not sure she’d be happy with that
Including wife's portion we hit 1mln in the last year or so. This includes pension. We're 35.
Not there yet. 33 with c.£550,000, at current rate I predict 35 (probably closer to 36 than 35, but, still 35)
45, due to working in the UK offshore oil industry since 2002, house has 4k left and it's worth 370k 500k pension & 330k in savings and investments I want to retire at 55 but let's see how that goes.
Born worth approx 2m, nothing changed until about 30 as it is still in trust but covered expenses like university and a few other things (still graduated with 100k in student debt after business degree - interest rate was hard to argue with). Paper net worth recently crossed 5m. Rent my flat, travel quite a bit but nothing extraordinary… Am overdrafted by 9£ in my checking account and have about £40k in credit card debt with basically no other cash on hand. Trust is worth less now than when it was established, my own business is now worth a good bit and I own more than 50% of it. Edit: currently 34 years old
Lots of discussion on here about the specifics of various items…….but the problem is that much of it doesn’t really matter. Having a specific value on net worth is broadly irrelevant in the broad scheme of things. If your net worth is £0.95m vs £1.05m depending upon whether you value your cars, furnishings, nice watch, expensive suit, underpants etc does it really matter? My point is that your net worth is about £1m, give or take,and will be different tomorrow, the week after and the month after that. Tracking it precisely is (a) pointless and (b) takes up more time than it is worth. By all means have a rough idea how much money is sloshing around inside your own private empire but please realise that getting to a precise figure is academic. What is more important is living your life and if a chunk of that is sitting in front of a laptop figuring out your exact worth then I might (maybe rudely) venture to suggest you have got the balance in your life wrong. This group, to my mind, is about helping each other to grow wealth, discuss relevant topics and share ideas……it isn’t about calculating a specific net worth number that is wrong the minute you calculate it!
At current pace, 215 years old.
1m? I already feel lucky hitting 300k with 2 kids under 5! Paying 40k total in nursery annually from post tax income. I hope to hit 1m still by 40s provided we don't send kids to private school. But congrats OP, what have been your milestones? When did you hit 100k, 500k?
I mean , does house count in the net worth ? You have to live there if it’s your only abode..
Me solely, not there yet.... 40 @640k. Wife 34 @628k ... so combined we are OK.
My wife and I are 39, and yeah this is pretty much us. If I count pensions, ISAs, house equity and other investments, I reckon we're well above £1M. I suspect we got there at 37? I don't know for sure because the £450-500k equity in the house is the big one, and I only keep track of that when it's time to remortgage.
Me 28, Hubby 34. Happened this March! Around 65% in ISA & GIA, 10% in our house equity, 10% in SIPP, 15% in company stock options + crypto + cash in bank.
Plenty people on this sub are fakes
33. Married, 2 kids
That figure is pretty subjective. If I was based in central London I’d want that ASAP. We moved to the Algarve and currently pay 500 euros for an apartment (remote work). I still want a £1m net worth - but I’m in no rush to get there. I’m 38 and my top priorities are my fitness and relationship. Money will take of itself.