Hacker News new | ask | show | jobs
by druvisc 2101 days ago
That's not true.

"On a global scale, an individual must have upwards of $744,400 in combined income, investments, and personal assets to rank in the top 1% of the world’s wealthiest individuals."

https://www.investopedia.com/articles/personal-finance/05061...

2 comments

What does "combined income, investments, and personal assets" even mean? Income is money earned over some time period, how does one "combine" that with investments and assets?
>Income is money earned over some time period, how does one "combine" that with investments and assets?

Because the combination of all that is what capital is?

If I earn $10 per month, have $20 in capital, and $15 in personal assets, how do you combine those numbers into a single number? What does that single number represent?
The number is called "net worth" and is slightly complicated if you're married or own a lot of illiquid assets. It also has debt and other liabilities subtracted so a house on mortgage or leased car, or company owned assets do not count, for example.

It does not count control of corporations and political power, which can be important as well. (But tend to go hand in hand to a degree.)

There's also gross worth which is a total lifetime worth. This would be high if you used for example expensive education. But then this one is much more nebulous.

"Net worth" is perhaps capital + personal assets, but I don't think it includes anything like "yearly income" or "monthly income"?
Net worth is only assets and liabilities. Income doesn't get factored in to that until it's earned.
But what's the formula?
You are talking about wealth (net worth), not about income.