CONNECTICUT | October 12, 2000 -- Regis Philbin would have trouble enticing the nation's wealthy, according to a new study that says a paltry $1 million no longer cuts it.
Half the individuals surveyed nationwide with a net worth of $1 million to $4 million would not consider themselves wealthy until they hit the $5 million mark, according to a study commissioned by Phoenix Home Life Mutual Insurance Co. in Hartford.
"They typically define wealth as being a step or two above where they are today," Walter Zultowski, senior vice president of marketing and market research at Phoenix, said of the 1,275 surveyed.
Although most Americans will never see $1 million, the number of households worth $1 million jumped from 1.8 million in 1990 to 7.2 million in 1999, Zultowski said.
Deep pockets seem to produce their own financial dilemmas, though. Millionaires are divided over whether to use their savings to maintain their high standard of living after retirement or to fortify their family finances over the short term.
And a mere million isn't enough for many of Fairfield County's wealthy to retire comfortably, said financial planner Peter Nagle. Many of his clients expect to live on $5,000 a month, which would require at least $2 million today.
"With the way people spend today and with inflation," Nagle said, $1 million isn't what it used to be. "It's not a lot, that's for sure."
An overwhelming nine out of 10 respondents credit their own hard work and intelligence for their current wealth, although nearly half have received an inheritance or a substantial gift.
But millionaires do feel an obligation to help others. About three-fourths participate in one or more community activities, many through religious organizations.
Not surprisingly, those with lots of money admit they have little free time. In fact, no matter how hard they try, two-thirds say they don't have enough time to do all the things they want or need.
Senior corporate executives in particular complained of hectic lifestyles, Zultowski said.
"A lot of those people are very stressed," he said.
But millionaires are definitely a comfortable group, Zultowski said.
"They're pretty happy with their lot in life," he said.
