How Many Millionaires Are There in Illinois?
Understand the wealth concentration in Illinois. This article explores the criteria for defining a millionaire and positions the state's affluent demographics.
Understanding wealth concentration provides insight into a region’s economic landscape. Illinois, a significant economic hub in the Midwest, is home to a substantial number of affluent individuals. Examining the presence of millionaires within the state helps to paint a picture of its financial health and the distribution of wealth. This exploration delves into how a millionaire is defined, the estimated number residing in Illinois, and how this wealth compares to other areas across the United States.
Defining a Millionaire
The term “millionaire” refers to an individual or household possessing a net worth of $1 million or more. Net worth is a fundamental financial metric calculated by subtracting total liabilities from total assets. Assets typically encompass a wide range of holdings, including real estate, liquid assets like cash and savings accounts, and investment portfolios comprising stocks, bonds, mutual funds, and retirement accounts.
Liabilities include all outstanding debts, such as mortgages, credit card balances, student loans, and other personal loans. While the core definition of net worth remains consistent, some variations can exist in how certain assets, particularly non-liquid ones like a primary residence, are considered in different wealth reports.
The Number of Millionaires in Illinois
Illinois is home to a significant number of millionaire households, reflecting its economic stature. As of 2019 data from Phoenix Marketing International, Illinois had an estimated 346,873 households with a net worth exceeding $1 million. This figure positioned Illinois as one of the top states nationally for millionaire households.
While a more recent statewide figure for 2023 or 2024 is not widely published, cities within Illinois offer a current glimpse. For instance, Chicago, a major economic center, was estimated to have 120,500 millionaires as of 2023, according to Henley & Partners. This indicates a substantial concentration of wealth within the state’s largest metropolitan area.
Contextualizing Wealth in Illinois
Illinois’s millionaire population holds a notable position when compared to other states. In terms of the number of millionaire households, Illinois ranked 5th nationally based on 2019 data. More broadly, looking at average net worth per person, Illinois ranked 8th among U.S. states as of September 2024, with an average net worth of approximately $701,465. This places Illinois as the only Midwestern state within the top ten for average net worth, highlighting its economic strength relative to its region.
Recent trends suggest a dynamic shift in wealth distribution, even within established economic centers like Illinois. From 2013 to 2023, Chicago experienced a 22% growth in its millionaire population. While this represents an increase, it was lower than the national average growth rate of 62% for millionaires during the same period. This indicates some traditional wealth hubs, including Chicago, have seen modest changes in their millionaire resident numbers compared to faster-growing cities elsewhere in the country.