By most traditional measures, having a net worth of $1 million should put someone firmly in the “wealthy” category. Yet a growing number of millionaires don’t see it that way.
Just one third (36%) of the nation’s wealthiest citizens — those with at least $1 million in investable assets — consider themselves wealthy, according to Northwestern Mutual’s 2025 Planning and Progress study.
Further, nearly half (49%) of American millionaires say their financial planning needs improvement, citing the possibility of outliving their savings, the impact of taxes in retirement, and potential long-term care needs as their top financial concerns.
This gap may be surprising, but it highlights how rising costs, longer lifespans, and shifting expectations have redefined what it means to feel rich in modern America.
Read more: Millionaires in America: How common is it to have a 7-figure net worth?
One reason most millionaires don’t consider themselves wealthy is because our definition of wealth has changed over time.
“Being a millionaire used to mean you had done really well and ‘made it,’” said Tom Mathews, CFEd, CPA, and author of “How Money Works.” “Today, it really just means you’ve crossed an outdated line.”
Mathews explained the problem isn’t necessarily that people have less money today, but rather, they have less certainty and control around their finances. “Things like inflation, rising taxes, market volatility, and the escalating cost of housing, healthcare, and education have changed what financial security feels like,” he said. “A million dollars on paper doesn’t stretch the way it used to, especially when most of that net worth is tied up in illiquid assets like homes, retirement accounts, or businesses.”
There’s also the issue of longevity. With people living longer, a seven-figure portfolio may not seem substantial when it’s expected to fund decades of living expenses and rising medical costs.
In other words, Mathews said, many people might look wealthy on paper, but that doesn’t mean they feel financially secure.
Read more: What does it mean to be part of the 1%, and how does your net worth compare?
If millionaires don’t necessarily feel wealthy, what does it take to feel rich in today’s economy?
According to Charles Schwab’s 2025 Modern Wealth Survey, Americans need an average net worth of $839,000 to be financially comfortable, and $2.3 million to feel wealthy.
Additionally, 63% of survey respondents said it feels like it takes more money to be wealthy today when compared with last year, citing the impact of inflation (73%), a worsened economy (62%), and higher taxes (48%) as the top reasons.
Read more: How much money is considered rich?
But experts say feeling wealthy isn’t just about how much money you have. The key is achieving true financial security.
“The real takeaway is that wealth is no longer about accumulation. It’s about confidence,” Mathews said. “Confidence comes from education, strategy, and structure.” He added that when people understand how money works, they stop guessing or reacting to headlines and start making more informed decisions. “That’s when wealth finally feels like wealth,” he said.
Reaching true financial security is a personal journey; everyone has their own idea of what that looks like. However, there are financial moves you can make to improve your financial situation and feel more secure.
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Create a clear financial plan: The Northwestern Mutual Study found that millionaires are much more likely to report higher levels of financial discipline, confidence, and clarity than the average American. Having a clear understanding of your budget, financial goals, and long-term wealth-building strategy can make you feel more confident in your future.
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Prioritize paying off debt and saving more: Your net worth is a key indicator of your financial health. And the formula for improving your net worth is fairly simple: Increase what you own (assets) and decrease what you owe (debts). That’s why it’s smart to prioritize paying down debt and increasing your savings to build a higher net worth over time.
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Seek help from a professional: There’s no shame in asking for help. In fact, according to the survey, millionaires are more than twice as likely to work with a financial advisor than the general public (74% vs. 34%, respectively). Consulting a professional can help you better understand your finances and create a plan with your specific goals in mind.
Read more: This is the minimum amount of savings you need to improve your financial well-being