Top 1% of income in the world is easier to earn than you think.

“The only way to enjoy anything in this life is to earn it first.” – Ginger Rogers

So, you want money. Well, most people do. Lots of it.

However, what do you do once you have it.

According to one of the shark tank sharks Kevin O’Leary aka ‘Mr. Wonderful’, he says there are three basic rules for money “Don’t spend too much. Mostly save. Always invest.”

From what I have learned, the problem is most spend too much, save nothing, and never invest.

First, you have to learn that you do not make money, you earn it.

Second, start putting aside 10% of what you earn.

Lastly, learn how to invest it. This could be by just picking up a few books on investing at your local library.

Boom, you just made the impossible possible. You earned money and saved it. From what I have seen most people cannot even do that. Let alone invest. Investing is how the rich stay rich, but earning a good living is how they get rich.

You have to know where you stand financially (what you earn), gather your resources (savings) and then you can plant your feet (invest).

Or put it this way, gather your acorns (earn money), plant your seeds (save money), enjoy the harvest (earned interest on money invested).

So, where do most Americans stand.

Most Americans are in the top 1% of income globally

You are in the top 1% of income worldwide with an annual salary of…drum roll please…$34,000.

Yep. You read correctly.

A recent study has shown that you do not need to earn six figures to be considered top of the heap in terms of income.

That means if you are working an entry-level job earning $35,000 a year, you are in the top 1% of income in the world.

Pour yourself a glass.

You should celebrate landing that job.

Considerably, that the average income in America is $50,000, it is safe to say that more than 50% of Americans are at the top when it comes to salary on a global scale.

Since, average means 50% are higher or lower than $50,000 on the pay scale meter, this could equate to roughly 75% of Americans making at least $34,000 or more annually. If we divide 50 in half, as we know there is a wide range that could be making between $34,000 to $50,000 or above.

That means if you are American, it is likely that you are already a one percenter in regards to income.

It doesn’t matter if you’re a gym teacher or a celebrity. Your income is top in the world in America. Cheers!

The top wealthiest in the world

In regards to wealth, you only need to have less than $3,500 in assets to be amongst the wealthiest in the world or around $760,000 to be in the top percentile, per Credit Suisse.

The Federal Reserve stated a median American family has over $80,000 in net worth in 2013, where the average family had net assets of $535,000 or higher.

Therefore, if you have less than $10,000 in wealth; which is the bulk of the global population, then you still have more wealth than those unfortunate souls at the bottom of the economic pyramid.

Wealth acquired globally

However, even though it does not take much to be at the top of the global wealth pyramid the way wealth is obtained varies greatly.

For instance, in many high-income nations; the United States for one, there is a massive amount of debt.  Whereas in many European nations or middle and low income countries the debt is considerably lower.

The approximate four billion at the bottom of the economic pyramid may lack money, but they also do not have the resources to help them acquire crippling and debilitating debt with easy credit access.

Debt is a destroyer of wealth.

Meaning that someone who lives on $5 a day in other parts of the world and has managed to save up $3,500 in assets is wealthier than a Manhattan doctor pulling in $500,000 annually, spending $510,000 a year; which is minus (-) $10,000 more than they earn, and carrying student loans of $250,000.

The doctor would have a net worth in the negative (-) $250,000 and climbing higher in debt. Sinking further below the wealth distribution chart with every year.

Unless they pay off the debt and stopping spending more than they earn, they will never experience true wealth or the freedom that comes with it.

You just have to do the numbers.

More going out than coming in and no savings = debt.

More coming in than going out and keeping it = wealth.

Ultimately, only you can decide which category you want to be in.