The authors refute the stereotype of millionaires as people with luxurious lifestyles and status symbols. The truth is that the average millionaire does not seem much different from a typical middle-class person. Self-employed people are overrepresented amongst the wealthy, consisting of two thirds of millionaires.

Most millionaires have fairly typical jobs, like contracting or welding, and half are the sole breadwinners for their households. Four-fifths are college graduates, and many work more than full time. Many are aware of the barriers women face in the workplace and are more likely to give financial help to their daughters than their sons.

The authors focus on millionaires with wealth between $1-$10 million because they feel that this is an achievable amount to amass in one generation. They emphasize the value of living below one’s means in order to accumulate savings. They contrast a couple with working-class jobs who saved and invested carefully with a doctor with a high income and more prestigious lifestyle. They claim that the first couple has done a better job because they can live without working for longer. The authors contrast “prodigious” accumulators of wealth (PAWS), with “average” accumulators and “under-accumulators.” PAWS tend to live below their means, allowing them to accumulate wealth faster than the other groups.

Stanley and Danko refute other common misconceptions about millionaires, explaining that most American millionaires did not receive much, if any, of an inheritance, and are not of English ancestry. They claim that America’s fluid economy and culture provide opportunities for everyone, which is why Americans of English descent do not dominate millionaire rankings in spite of being the earliest colonizers of the country.

Their chart of the top 10 millionaire ethnicities includes Hungarian, Russian, German, Irish, and Indigenous Americans. They hypothesize that Russians and Hungarians are overrepresented because of their entrepreneurial culture. Scottish American millionaires, they claim, are particularly exceptional, as they make up for their lower incomes with frugality.

The authors claim that the longer a group has been in America, the less likely they are to effectively accumulate wealth. Stanley and Danko hypothesize that this is because people assimilate to the American lifestyle of high spending and consumption. Americans want their children to have a better life, prompting them to spend on education. This has economic drawbacks.

The authors feel that immigration is beneficial to the country, as immigrants tend to live and work differently from other Americans. They consider self-made millionaires a growing group, while people with inherited old money are “endangered” (25).

Thirty years have passed since the book’s publication. The dated nature of the chapter's statistics weaken it. In that time, there have been huge increases in inflation and the cost of housing, among other changes. Another weak spot is the authors' biased analysis of ethnicity and wealth in America. They believe all Americans have the equal ability to be hired for jobs, establish businesses, and find clients. They ignore how racism limits people’s opportunities.

Nine out of the top 10 millionaire ethnicities in the authors' study are white European nationalities. Stanley and Danko hypothesize why some ethnicities are overrepresented on the chart, but ignore why others do not appear in this category. They offer a limited and potentially distorted understanding of wealth and social mobility.

However, they present a more nuanced understanding of wealth and gender, acknowledging the barriers some women face in entering the workforce and maintaining a career. They summarize the average millionaire’s perspective on the topic, writing, “Our sons, and men in general, have the deck of economic cards stacked in their favor” (11). This adds nuance and realism to the author’s discussion.

Chapter Lessons

• Status symbols and luxury lifestyles use up wealth instead of building it
• Working hard, saving, and investing wisely make average incomes go farther
• Inherited money is less important than work ethic and financial planning

Reflection Questions

• Which “typical” millionaire trait or perspective was the most interesting or unexpected to you?
• Consider your own family’s background. Do you identify with the immigrant story, the assimilated American consumer, or neither?