4 Reasons Being a Millionaire in 2025 Isn’t What You Think

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Many of us dream of being a millionaire, with visions of lavish vacations, fancy cars and shopping sprees. But the reality for Americans who have achieved this milestone is quite different. A recent Northwestern Mutual study gave an inside look into what it’s actually like being a millionaire in 2025 — and it’s not as glamorous as you might think.

Here are the most surprising realities of being a millionaire in our current economy.

Most Millionaires Are Self-Made

You might feel like the decks are stacked against you if you weren’t born with a silver spoon, but the truth is that most U.S. millionaires (79%) are self-made. John Faircloth, CFP, private wealth advisor at Riverwalk Wealth Advisors, a Northwestern Mutual Private Client Group, believes that reaching millionaire status is achievable with financial discipline and careful planning.

“Millionaires tend to have a clear understanding of their finances — 76% are disciplined planners,” he said.

Working with a financial advisor can be an important step in achieving millionaire status, as they can help provide clarity and guidance along the way. They can also help you make a plan for financial security and risk management, which are just as vital as accumulating wealth, Faircloth said.

Millionaires Don’t Always Feel Rich

Only about one-third (36%) of America’s millionaires consider themselves “wealthy,” the study found. This could be due to several reasons.

“For one, high earners in expensive metro areas face steeper costs for housing, child care, healthcare and more, all of which can dramatically reduce the financial cushion they expected to have,” said Matthew B. Lytell, CFP, private wealth advisor at Riverwalk Wealth Advisors.

There’s also a psychological component, he said.

“As people’s incomes grow, their comparison group tends to shift as well,” Lytell explained. “They may be doing well, but they’re surrounded by others who appear to be doing even better, which raises the bar for what ‘wealthy’ looks like.”

Outliving Their Savings Is the Top Retirement Fear Among Millionaires

You might think once you have $1 million stashed away, you’d be able to retire stress-free. However, the top burning question millionaires have about retirement is whether they will outlive their savings — and this is a legitimate concern.

“With people living longer these days, and healthcare and long-term care costs consistently rising, it’s something that weighs heavily on their minds,” Lytell said. “Many are also concerned about the impact that taxes could have on their nest egg.”

Nearly Half of American Millionaires Don’t Plan To Leave an Inheritance

If you’re the child of a millionaire, you may think it’s a given that a nice inheritance is headed your way — but that might not be the case. The study found that just 53% of American millionaires — those with $1 million or more in investable assets — believe they will leave an inheritance. Among that group, only 12% said that leaving something behind for the next generation was their single-most important financial goal.

The truth is that having a $1 million nest egg may not be enough to support your life in retirement — let alone have extra to leave for heirs.

“[Millionaires] see the rising costs of healthcare and long-term care, they may want to make a charitable gift to a beloved organization, and they’re not sure if they will have funding to leave an inheritance,” Faircloth said.

Millionaire status isn’t the finish line — the study makes clear that planning and adaptability matter more than ever.

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