The shrinking middle class and I'm one of them

[theking]

How Americans define a middle-class lifestyle — and why they can’t reach it

A poll from The Washington Post finds widespread agreement among Americans on what it means to be middle class. But just over a third of U.S. adults have the financial security to meet that definition, according to a Post analysis of data from the Federal Reserve.

Americans also underestimate the income required for that lifestyle, suggesting that the popular image of middle-class security is more of an aspiration than a reality for most Americans.

About 9 in 10 U.S. adults said that six individual indicators of financial security and stability were necessary parts of being middle class in the Post poll. Smaller majorities thought other milestones, such as homeownership and a job with paid sick leave, were necessary.

“Middle class-ness and predictability are very tied in the American imagination,” said Caitlin Zaloom, an anthropology professor at New York University. “Sometimes that is about security in the present, but it also means feeling secure about where life is going.”

Just over a third of Americans met all six markers of a middle-class lifestyle. While about 9 in 10 Americans had health insurance, only three-quarters had health insurance and a steady job. With each added measure of financial security, more Americans slipped away from the middle-class ideal.

Researchers often define the middle class based on income, in part because income data is frequently collected and easy to access. But that income doesn’t guarantee a middle-class lifestyle.

One commonly used definition from the Pew Research Center sets a middle-class income between two-thirds and twice the national median income, or $67,819 to $203,458 for a family of four in 2022. Most Americans consider the lower end of that range, $75,000 and $100,000, to be middle class, according to the Post poll.

Even when looking at middle-income Americans using Pew’s more expansive range, the majority did not have the security associated with the middle class.

Those that did tended to be older, had higher incomes and were more likely to have a college education and own their homes. While the Post poll found 60 percent of Americans considered homeownership essential to being middle class, homeowners over age 30 were more likely to be financially secure even when comparing people with similar ages and incomes, according to a Federal Reserve survey.

The most common barrier was a comfortable retirement, something that about half of middle-income Americans over 35 felt they were on track to achieve.