Can You Be a “Common Millionaire”?

In March 2026 Washington State Legislature passed a “Millionaire’s Tax”. This is the first income tax plan for Washington that has passed despite repeated denials over the decades and was done without a vote by the people. The function of this tax, as portrayed by news and social media, was to dig into the deep pockets of the mega-rich Washingtonians to fund their fair share of education and health care. If you read SENATE BILL 6346 the actual intent is to add the new tax money to the state’s general fund which in turn pays for all essential government services in Washington State.

While this bill sounds good in theory, since the mega-rich have so many dollars, it could impact the “Common Millionaire” more, especially as the mega rich move away. But who are the common millionaires?

In 2023 a National Study of Millionaires by Ramsey Solutions conducted the largest survey of millionaires ever with 10,000 participants. The study showed that only 2% of participants came from an upper-income family while 80% were from levels at or below middle-income. This derails the idea that millionaires are born. Digging deeper into the family money concept, 21% of the millionaires received some type of inheritance that added to their wealth, but only 3% got $1million or more. So, the inheritance did not make most of them millionaires either.

The study found these shared traits amongst the “common millionaires”:

• 88% of them graduated from college

• 52% of them earned advanced degrees

• 75% of them invest regularly and consistently over their lifetime

• 80% of them invest in their company’s 401(k) plan

• 75% of them invest in plans away from their company

• 75% of them never carry a balance on their credit cards

• 95% of common millionaires live on less than they make

• 93% of common millionaires use coupons and discounts when shopping

The common millionaire is not necessarily in a high-power job or earning a ridiculous salary either. For example, the study found Vice presidents or C-suite roles (CEO, CFO, COO, etc.) were only 15% of the total demographics. One third of the participants never even made $100,000 in any single working year of their career.

The top five careers of the “common millionaire” are attorneys, engineers, accountants, management, and teachers. Not doctors… teachers. The Ramsey Solutions Survey found teachers ranked third amongst professionals most likely to produce millionaires. The 2026 national average salary of a teacher according to NEA is $48,112 for a 1st year and $74,495 for the profession overall. Teachers tend to have higher education, lower financial debt, disciplined saving habits, expense control, and patience in investing as they stick with the same career path for life. Teachers tend toward a more modest living style with less pressure to purchase big houses or luxury cars.

Millionaires come in many varieties. They might be a small business owner or your neighbor down the street. Being worth a million bucks does not mean they make a million dollars every year, but they are still millionaires and taxing them to a burdensome level won’t make anyone else happier. Whether common or mega rich, millionaires should not be demonized because of the money habits they developed. Lying, cheating, exploiting behaviors can be criticized, but generational wealth, innovation, and investment are honest methods of creating a retirement plan. May you become the next “common millionaire” using slow and steady wealth-building ideas. Good Luck!