According to Forbes, the net worth of the top 10% of Americans is between $970,900 and $1.9 million.
Because the US is demographically very different, states like California and New York require a higher net worth to be in the top 10% in those states.
As such, I’d say that having a $1.5 million net worth is a good estimate of what someone needs to qualify, regardless of where they live.
Amassing a $1.5 million nest egg is not easy. Excluding money received from inheritance, the typical upper-class household saves a lot of money. If employed, they automatically contribute the maximum allowed to their retirement plans, plus save at least $2k a month in addition to that. Their investment portfolio is usually a mix of stocks and bonds. The percentages in both vary depending on their time horizon, risk tolerance, and specific financial situation.
Some upper-class households have rental real estate aside from owning their own primary residences. The only debt they have is mortgages. Others have successful small businesses or side businesses.
If someone aspires to be in the upper class, it will take a lot of time and hard work. The steps I recommend to get there are:
1) Increase your income through getting a promotion, starting a business, renting real estate, or having a smart investment allocation to stocks and bonds.
Additional Reading: Smart Financial Investment Strategies
2) You need to save at least 25% of your income. Ideally, if you can live extremely frugally, you can bump this up to 40%. Spending less is extremely key to increasing your savings rate. Here are some tips that helped increase my savings rate:
a. Shop at Costco.
b. Eat out less.
c. Travel less.
d. Only buy necessities.
e. Find free or cheap forms of entertainment.
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