Rich people have a tendency to make more wealth than their peers, according to a wealth advisor.
A survey by Wealth Advisors found that among the top 1% of Americans, the median wealth was $7.6m, which is about the same as the median income of the bottom 99%.
But for the middle class, the figure is only $1.5m.
The average wealth of the top one per cent is about $6.3m, while the median is $2.2m.
The average wealth for the bottom 98 per cent was $1,000.
In fact, the richest one per-centers earned $1bn in 2015, compared to $3.9bn for the top 99 per cent.
“These numbers are extremely depressing,” said Wealth Advisers founder and chief executive, John A. O’Connell.
“The wealth gap between the richest and the poorest people is a huge one.”
A report by the Organisation for Economic Co-operation and Development (OECD) in 2016 found that while wealth inequality is narrowing, the gap is still wide.
The top 1 per cent of US earners held $1tn in wealth, compared with just $4.5tn for the entire US population.
“The inequality of wealth is so large and so clear,” O’Connor said.
“That wealth gap is a big reason that we’re seeing this growing wealth inequality.”
In the US, wealth inequality has increased by more than 100 per cent since 2000.
In the first six months of 2017, the average wealth held by the top 0.01 per cent rose by $1m.
In 2017, nearly one-quarter of Americans owned less than $2,000 in wealth.
Olinna Givens, chief executive of the Wealthy Fund, said: “I think the biggest reason is that there’s a huge gap between people in the top tenth of income distribution, who are still making more money than the poorest Americans, and people in middle class and lower middle class families.”
The report by Wealth Advisor shows that wealth inequality was more pronounced for the poor.
Among the bottom 20 per cent, the wealth of those with less than a high school diploma rose by about $1 billion in the past year.
Among those with at least a high-school diploma, the number of those who owned more than $1 million rose by more $2 billion.
O’Connell said the wealth gap would be even more stark if we look at people who made more than a college degree.
He said it is “incredibly high” for those with a college education to own more than the bottom 40 per cent do.
“In that sense, the rich are richer because they have more wealth,” he said.
“If you’re a millionaire, your income is going up, but it’s going to be a very, very different picture if you’re living at the bottom of the income ladder.”
A wealth advisor says we are not talking about a gap in wealth But while the wealth disparity is at a historically high level, it is not universal.
Wealth advisors argue that the wealthiest people are disproportionately white and the middle-class are disproportionately black.
“For the vast majority of Americans who have money, wealth is a very tangible and tangible thing,” said James T. Oakes, a wealth adviser and founder of the Oakes Wealth Management Company.
“It’s the one thing you can see, a tangible asset that is part of your life, and that can be a pretty nice thing to be able to carry with you all the time.”
The Oakes Group, a firm that advises wealthy people on wealth, has found that most of its clients are white, middle-aged, and affluent, which means they are often more likely to have a high degree of education and have been working for a longer period.
Oakes said this may also be the case for some of the wealth advisors.
“When we talk about wealth, it’s not that we talk in terms of the amount of wealth you have, it reflects who you are,” he explained.
“People are often very generous in the sense that they will give you something that’s worth more than their income.
If you’re an affluent person who’s going through an economic downturn and you’re in need of financial help, you’re likely to be more generous than you would be with a poorer person.”
The wealth advisor said he believes the reason for the wealth gaps in America was more complex than it seemed.
“There are lots of other factors that are driving inequality, and there’s also a lot of cultural, generational and generational changes,” he told Al Jazeera.
“A lot of the things that are going on in society today, they don’t just happen overnight.”‘
The American Dream is in tatters’For most people, the idea of wealth and status has long since passed.
“If you work hard and you play by the rules, you will be rewarded,” American novelist Robert Hein