Money Crashers: What Does It Mean to Be Rich?

For some time now, I've been puzzling over the whole idea of wealth as the American Dream. Back when Mitt Romney was running for president, I took issue with the idea expressed in the Washington Post that everyone, deep down, wants the kind of lifestyle that he has—"We want the pony. We want the Jet Ski. We want the big house on the beach"—and countered that my idea of wealth, otherwise known as financial independence, was easier to achieve by spending less rather than more.

So I started asking myself: what does wealth really mean? Is it just having a certain amount in the bank? Is it living a lavish, Romney-esque lifestyle? Is it having enough to quit your job and live on for the rest of your life—or enough to provide for your family for life, as well?

In my latest Money Crashers article, I explore all these different definitions of wealth in detail. I don't reach any conclusions about which is the "right" way to define wealth, but I do explain why it's important to figure out which definition is the right one for you, personally—because you need to know what your "dream of wealth" looks like before you can figure out how to achieve it.

Here's the scoop: What Does It Mean to Be Rich? – Defining Wealth by Income, Net Worth & Lifestyle