Wealthy

Wealthy is a descriptive term used to refer to individuals or groups whose net worth is substantial in relation to a given society or context. It denotes possession of significant financial assets and other valuables, such as real estate, businesses, and investments, resulting in a high overall net worth. The exact threshold that qualifies someone as wealthy varies across countries and over time.

Wealth differs from income. Wealth is the stock of assets minus liabilities at a point in time, whereas income is the inflow of money over a period. Wealth can be accumulated through saving, investing, entrepreneurship, inheritance, and property ownership, and it can be transferred across generations.

Common measurements include net worth and wealth per adult. Household wealth includes financial assets (stocks, bonds, cash), real estate, occupation equity, pensions, and other capital. National wealth aggregates private and public assets, natural resources, and productive capital of a country.

Wealth distribution tends to be unequal within most economies. The concentration of wealth can influence opportunities, savings, and political influence. Policy discussions frequently address taxation of wealth, inheritance, and the role of philanthropy in redistribution or social investment.

The term encompasses a range of social strata, from affluent or upper-middle-class segments to the ultra-wealthy, who hold a large share of assets compared with the general population. In everyday use, wealthy can refer to a lifestyle or standard of living enabled by high net worth, but in economic analysis it is a quantitative measure reflected in net assets.