However, millionaires are likely to bank with institutions that offer private banking to those who meet specific financial requirements. Private banking may include wealth planning services, waived fees, dedicated bankers, and additional perks.
Millionaires have many different investment philosophies. These can include investing in real estate, stock, commodities and hedge funds, among other types of financial investments.
The richest Americans have, on average, $111,600 in their bank accounts. That's around 29% of what they make in a year. On the other hand, the bottom 20% of Americans have around $900 in their accounts, about 4% of their income.
The $250,000 limit applies per depositor, per FDIC-insured bank and per ownership category. This means that by opening different accounts, you can end up with much more than just $250,000 in insured funds. Insurance limits apply to the entire depository institution – not individual branches.
Several popular banks, like JP Morgan, Bank of America, Wells Fargo, Citi Bank, and Goldman Sachs, offer private banking options that provide millionaires with wealth management advice and services.
Although it may seem sketchy, it is perfectly legal to travel with any amount of cash — even very large amounts. You could cram $1 million dollars into your purse if you wanted because there is no cash limit for travel in the U.S.A., as far as domestic flights are concerned.
Millionaires can insure their money by depositing funds in FDIC-insured accounts, NCUA-insured accounts, through IntraFi Network Deposits, or through cash management accounts. They may also allocate some of their cash to low-risk investments, such as Treasury securities or government bonds.
Elon Musk is the wealthiest person in the world, with an estimated net worth of US$426 billion as of January 2025, according to the Bloomberg Billionaires Index, and $416 billion according to Forbes, primarily from his ownership stakes in Tesla, Inc. and SpaceX.
Regarding net worth, having $1 million in liquid assets often puts you in the 'high net worth' category. But if you want to be considered very high net worth, you might need anywhere from $5 million to $10 million. For those aiming even higher, ultrahigh net worth status could mean having $30 million or more.
More rich people are using 'secret' trusts and LLCs to hide money from their spouses. Secret trusts and LLCs are increasingly common ways wealthy people are shielding assets in divorce. Trusts and offshore accounts controlled by a shadowy company.
Millionaires are more likely to have a credit card from nearly every major issuer than less wealthy Americans, with Capital One being the only exception. This is likely due to rich Americans simply having more credit cards than the average American.
Musk's best investments include PayPal, SpaceX, DeepMind Technologies, Tesla, and The Boring Company. Elon Musk is an engineer, industrial designer, and technology entrepreneur known for disrupting multiple industries. Musk holds the distinction of being the world's richest person as of January 2025.
While preferences differ, many millionaires choose banks that offer private banking services tailored to high-net-worth individuals. Institutions like J.P. Morgan Private Bank, Citi Private Bank, and Bank of America Private Bank offer perks like personal bankers, waived fees, and wealth management services.
Generally, there is no limit on deposits. However, there are limitations on the amount of funds the Federal Deposit Insurance Corporation (FDIC) will insure. Please refer to the Understanding Deposit Insurance section of the FDIC's website for more information on FDIC deposit insurance.
Alternative long-term investments: Billionaires often hold stakes in other companies or industries as part of their investment strategy. Additionally, they may invest in tangible assets such as art or collectibles that might not be easily liquidated.
Cash and cash equivalents are common places where billionaires keep of some their money. Though not often thought of as an investment, cash is a liquid asset, meaning you can use it in a variety of ways as needs or desires arise. In a crisis, having cash on hand gives you the flexibility to respond.
To handle that, he has credit cards and debit cards on bank accounts. He can also write checks against his bank accounts. He does not use such cards or checks to buy things like Twitter; big purchases are done with bank loans, more like mortgages for a house.
Many ultra-high-net-worth individuals choose to conduct their banking at the same institutions that are frequented by average consumers.
The FDIC insures up to $250,000 per account holder, insured bank and ownership category in the event of bank failure. If you have more than $250,000 in the bank, or you're approaching that amount, you may want to structure your accounts to make sure your funds are covered.
It's important to have a savings account with a bank that's insured by the Federal Deposit Insurance Corp. (FDIC). This way, you won't lose your funds should the bank fail. The FDIC insures up to $250,000 per depositor, per FDIC-insured bank, per ownership category.
While it is legal to keep as much as money as you want at home, the standard limit for cash that is covered under a standard home insurance policy is $200, according to the American Property Casualty Insurance Association.
Givers, not receivers, pay the federal gift tax, but you can give away up to $13.61 million in cash or other assets during your lifetime (tax year 2024) without triggering the gift tax.
When it comes to depositing the check, you can only deposit so much into a single account—and it's not a million dollars. However, if you have multiple accounts, you can deposit so much into each account until the check is fully deposited. This is perfectly legal, but it will take some time to accomplish.