What defines middle class?

From what I hear, the middle class is declining so fast that we don%26#039;t even know what it is anymore. But what exactly defines middle class?

Here%26#039;s two easy comparisons. One person lives in a semi-wealthy neighborhood. They obviously make a decent living. One would automatically consider them middle class. But they have a lot of credit card debt. They literally don%26#039;t own the clothes they are wearing. They pretty much live paycheck to paycheck, but everything goes on credit, so they have that to fall back on in emergencies.

Then you have a family living in a neighborhood a step below semi-wealthy. Not a poor neighborhood, but definitely not a wealthy area. They do not have credit card debt, but they live paycheck to paycheck. But they own everything they have, except maybe the house and cars. They literally live on their means.

How can you say that one family is really wealthier than the other? Is it better to have everything on credit, or own everything you have?

What defines middle class?

Middle class is largely based on income level and standard of living. You dont have to necessary own a home to be middle class. Some single people earn $60,000.00 per year and yet rent an apartment. They have a decent car, dont have to buy clothes at second hand stores, eat well, and can travel a few times a year. That is not poor. So it has to be middle class (Actually they would be in the %26#039;working class%26#039;).

You mentioned debt in your example. Anybody can have debt, and still be middle class. In fact, debt is in practically every middle class household. Yes, they have a lot of debt, but they have %26quot;THE INCOME%26quot; to maintain those bills. As the saying goes, they are struggling on their own level. Now if they lost their jobs (income), and have no savings, then they would drop down to a different class, at least temporarily.

Middle class applies to %26quot;working class%26quot; people who earn a comfortable income. Unlike the rich, the middle class %26#039;must work%26#039;. They are not rich, but they are not poor. However, the upper class, known as the rich, dont have to work if they dont want to. They can live off of the interest they earn from savings and investments or income from the company they own, yet pay someone else to run. They usually pay cash for cars and sometimes pay cash for a home. The rich dont run up credit card debt because they usually have more than enough money to pay cash for everything. If they do have a credit card, they can pay off their purchases every month. I hope this helps.

What defines middle class?

I really wouldnt be one to comment but I will say this. We as americans need to do what we can to keep white trash in the lower class.

What defines middle class?

I think the middle class is actually a term meant to divide people. The middle class is a group that can afford to live without public assistance, but not wealthy enough not to work.

What defines middle class?

What defines middle class? It definitely depends on what city, state and neighborhood you live in. Someone middle class in Detroit would be considered almost impoverished in California because it is so damn expensive.

What defines middle class?

I believe the Government has a definition of this but they go strictly by income. I cant recall now but think they consider middle class somewhere between 35-60 thousand dollars a year for a family of four.

Debt and possessions really dont figure in the process. It makes a big difference to standard of living but living within ones means has always been a good idea. But how many people do you know that spend only on fourth of their net income on housing? That used to be considered a standard for living within your income.

People want more %26quot; stuff%26quot; and then have no money for what they really need. It%26#039;s sad but its a fact.

What defines middle class?

Both of those families are middle class. Pretty much anyone living above the poverty line, and anyone who has to work to support his/her life. Anyone in between those lines is Middle class to me.

What defines middle class?

It is based on net worth. The schmuck that has a $400,000 note on a 1800 sq ft dump in faux luxury and owes another 200k on stuffings for his dump and has to defraud his tax returns to make the credit card payments and only makes 100k/year is a fraud and pauper.. I own a small house, a small farm, and several cars and trucks that I paid cash for. I live well but not rich, and I feed the Pig .. The democrats who hate Bush%26#039;s tax cut think I am rich-- because before i got That tax cut, I was not doing as well. And we all know that it was a tax cut just for the rich!