KEY CONCEPTS FROM THE BOOK
What is the book about?
The Influence of Affluence chronicles the evolution of America’s middle-class over the last twenty years. In particular, the book looks at how a portion of the middle-class is pulling away from the rest by amassing significant wealth. At the same time, their middle-class values continue to make them an important bellwether of the middle-class mood in America. The book shows us how this subset of America, which we’ve labeled the Middle-Class Millionaire, manages to thrive with one foot in the world they came from (the middle-class) and one foot in the world they now inhabit (the wealthy).
What are the key concepts of the book?
There are several key concepts in The Influence of Affluence:
Millionaire’s Intelligence: There are four behaviors that middle-class millionaires exhibit that appear to be linked to their success. These qualities have origins in classic middle-class values but they have applied them in uncommon ways.
The Influence of Affluence: Because the middle-class millionaire is both willing and able to try new things (products, services, places and ways to live, etc.) they are an important indicator for how the world might be changing in the years to come. As Milton Friedman, the Nobel-prize winning economist, once suggested, when it comes to innovation, the rich work for the poor.
The Hierarchy of Values: It’s easy to understand where the new rich are going to have the greatest impact when you understand their hierarchy of values. They share them with the rest of the middle class. This book will show you how to understand and leverage the middle-class millionaire outlook in your own decision-making. The Influence of Affluence introduces an entirely new way of understanding why certain trends are gaining momentum and where that momentum will lead to next.
Where did the research for the book come from?
In 2006, Russ Alan Prince, a professional researcher, developed a program to interview 3,714 households in America to understand what distinguishes highly successful families from the rest of the middle class. Of those 3,714 households, 586 had a net worth over $1 million but under $10 million (including their primary residence). Among the remaining 3,128, none had a net worth over $1 million.
The survey was conducted under rigorous academic standards. Prince asked 98 questions about how they lived their life, what is important to them, how they succeeded, their role in the community and more.
Who are the authors, Russ Alan Prince and Lewis Schiff?
Russ Alan Prince is the president of Prince & Associates, Inc., the leading market research firm specializing in private wealth. He is a highly sought consultant on matters relating to the ultra-high-net-worth and financial advisors. Prince is frequently cited as an expert in the national press including The Wall Street Journal, The New York Times and Forbes. He is editor of Private Wealth as well as the author of more than 35 professional development books including Inside the Family Office, The Sky’s the Limit, Fortune’s Fortress, Fame & Fortune and Wealth Management.
Lewis Schiff is a senior managing principal for Advanced Planning Group (www.advancedplanning.org), where he leads a team of private wealth experts who specialize in the needs of high-net-worth clients globally. Schiff has developed education and communication programs for many of the leading financial companies serving high-net-worth clients. He is a contributor to Investment Advisor magazine and TheStreet.com and maintains a blog about the affluent for InvestmentAdvisor.com. Schiff was a longtime contributor to CNNMoney.com and CNNfn. In 2001, he wrote The Armchair Millionaire (Simon and Schuster).
As a business person, will the book help me?
Yes, The Influence of Affluence describes a “tipping point” demographic—one that’s leading the way to great change in this nation. Marketers, policy-makers and researchers will all want to know about and understand the middle-class millionaire and the influence of their affluence.
As an academic, how will the book help me?
The Influence of Affluence offers a new perspective on changes taking place in middle-class America. This once monolithic group is now cleaving into two parts: some are falling back in wealth while others are moving upward. This book, through its original research and analysis, elaborates on this trend and focuses on the segments that are thriving to find out why.
As a person who aspires to be a middle-class millionaire, will the book help me?
Yes. Rather than presenting the reader with a “how-to” recipe for success, The Influence of Affluence illustrates the essential qualities behind the success of many middle-class Americans in a way that you can, with diligence and discipline, reproduce yourself. The respondents to our survey were all brought up in middle-class homes, and they shared the advantages and disadvantages of middle-class life. The book tracks the success of a segment of this group to behaviors and attitudes that enabled them to become Middle Class Millionaires.
As a middle-class millionaire, will the book help me?
Yes. You’re about to find out that you are part of the wealthiest mass demographic category in U.S. history. Never before has wealth been so widespread among a large group of people. It’s easy to get lost between the extremely wealthy and the middle-class. This book re-defines those categories. You’ll see yourself in the book, and you’ll come to understand aspects of yourself that may have eluded you before.
I want to inspire my kids/spouse/employees to reach for financial success. Will this book help?
The Influence of Affluence is not a “how-to” book. It describes changes taking place in American society. However, a reader will see how a family’s or company’s priorities play a huge role in the probability of success for their members.
When it comes to parenting, in particular, middle-class millionaires put a unique spin on their middle-class values—one that manifests itself in their kids’ higher acceptance rates to the country’s top colleges.
Will the book show me how to get rich?
Yes. But, unlike a “self-help” book, The Influence of Affluence will make you ask very serious questions about how important that is to you. This book identifies a path to wealth, but it’s not without its challenges. After you read the book, you can decide for yourself if you’ve got what it takes to be successful in America today.
Why should I read about rich people?
Middle-class millionaires have more in common with the middle class than with the ultra-rich. However, they clearly share some of the ultra-richs’ abilities when it comes to accumulating wealth. If you are middle-class, you’ll see a lot of yourself in the middle-class millionaire. You may even see what’s holding you back from joining them.
Aren’t there more millionaires because a million dollars isn’t what it used to be? How do you define “millionaire”?
The book defines middle-class millionaires as those with between $1 million and $10 million, including their primary residences. Today, less than ten percent of America has a net worth greater than $1 million. The fastest growing middle-class subset is those with net worths between $500,000 and $799,999. But the number of Americans with little or no net worth is staggering by their sheer numbers. Ultimately, you’ll learn that everyone, whether they have $100 or $100 million, wants more.
I would like to follow the book and the authors. How can I do that?
You can follow the authors through their blog here. You can also grab their RSS feed here.
I would like to buy the book. How can I do that?
Beginning in February 2008, you can buy the book at any of these booksellers.
I would like to talk to the authors. How can I do that?
You can contact the authors by clicking here.
