>it's nearly impossible to imagine having $100,000 in savings if your net worth is less than $500,000
No, it's not. Envision a two-income professional couple with no dependents, combined annual income pushing 200K, living in the heart of a major metropolitan area and hence don't own a car, residing in a rented apartment (with basic furniture) and hence no home equity. Existing like this for a few years, the couple will accumulate a lot of savings, most of it squirreled away in liquid assets (CD's, gov't bonds, savings accounts) and little of it in the form of tangible assets (remember, no car, no home equity, etc.). Obviously this sort of household is far from the norm but certainly it is also far from "impossible to imagine."
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