New data shows what Americans now need to be "middle class" (2024)

FAQs

What is happening to the middle class in the United States? ›

The share of Americans who are in the middle class is smaller than it used to be. In 1971, 61% of Americans lived in middle-class households. By 2023, the share had fallen to 51%, according to a new Pew Research Center analysis of government data. As a result, Americans are more apart than before financially.

What is the average middle class income? In 2024, a large U.S. city's middle-class income averages between $52,000 and $155,000, with the median household income across all 345 cities at $77,345, making middle-class income limits fall between $51,558 and $154,590, SmartAsset noted.

In a large U.S. city, a middle-class income averages between $52,000 and $155,000. The median household income across all 345 cities is $77,345, making middle-class income limits fall between $51,558 and $154,590.

WASHINGTON, D.C. -- Fifty-four percent of Americans identify as part of the middle class, including 39% who say they are “middle class” and 15% “upper-middle class.” Another 31% consider themselves “working class” and 12% “lower class.” Just 2% of U.S. adults characterize themselves as “upper class.”

These cost increases mean that even families classified as middle class are struggling to keep up with expenses, especially as the costs of basic necessities are rising faster than the overall rate of inflation, says Stephanie Hoopes, national director of United For ALICE, the research arm of United Way of Northern New ...

Lower class: This is defined as the bottom 20% of earners. Those in the lower class have an income at or below $28,007. Lower middle class: This is defined as individuals in the 20th to 40th percentile of household income. Earnings among this group are between $28,008 and $55,000.

“A salary range of $80,001 to $95,000 is more reasonable for living comfortably, this aligns more closely with the reality in high-cost living areas.”

In 2021, the median household income is roughly $68,000. An upper class income is usually considered at least 50% higher than the median household income. Therefore, an upper class income in America is $100,000 and higher.

The lower middle class is often made up of less educated people with lower incomes, such as managers, small business owners, teachers, and secretaries. The upper middle class is often made up of highly educated business and professional people with high incomes, such as doctors, lawyers, stockbrokers, and CEOs.

Are lawyers middle class? ›

Most people in the upper-middle class strata are highly educated white collar professionals such as physicians, dentists, lawyers, accountants, engineers, military officers, economists, business analysis, urban planners, university professors, architects, stockbrokers, psychologists, scientists, actuaries, optometrists ...

The middle class is a socio-economic strata that falls in between the working class and the upper class. Those in the middle class have enough disposable income to afford minor luxuries like vacations or restaurants but also rely on borrowing for big-ticket items like homes and cars.

More than a quarter of US adults are struggling financially. While 72% of Americans reported “living comfortably” or “doing okay,” according to December 2023 data from the Federal Reserve. The remaining 28% were either “just getting by” (19%) or “finding it difficult to get by” (9%).

The 'new middle class' in India refers to the socio-economic group that emerged in the post-liberalization era of the 1990s, characterized by rapid economic growth, globalization, and the rise of the service sector.

When the middle class disappears, society becomes more unequal and unstable. There is no easy fix for this problem, but it is clear that something needs to be done to help support the middle class. Otherwise, we risk losing one of the most important foundation stones of our society.

Asia is expected to have accounted for most of the shrinking of the global middle class in 2020, with the middle-class population falling by 32 million in South Asia and by 19 million in East Asia and the Pacific.