Latest news with #uppermiddleclass
Yahoo
4 days ago
- Business
- Yahoo
This Was the Salary Required To Be Upper Middle Class in 2015
Many people aspire to join the upper middle class and make enough money to cover their expenses while keeping up with regular monthly investments. The bar has steadily gotten higher due to inflation, and it's a testament to how fiat currencies lose purchasing power over time. Explore More: Read Next: For instance, data from Pew Research suggests that you had to earn more than $169,800 per year in 2022 to be a part of the upper middle class. That's $194,149.55 in today's dollars using the CPI Inflation Calculator provided by the U.S. Bureau of Labor Statistics. We can use this same calculator to determine how much people had to earn each year to be a part of the upper middle class in 2015. The CPI Inflation Calculator indicates that a $142,622.89 salary was enough to be considered a member of the upper middle class in 2015. That comes to $11,968.57 per month. Expenses are always lower if you look back a few years due to regular money printing. That's why a salary that was good enough a decade ago may no longer be sufficient. However, it's important to note that the pandemic resulted in record money printing, which led to significantly higher inflation for a short period of time. Check Out: Inflation wasn't too bad before the pandemic, as it mostly hovered between 2% and 3% each year. However, 2021 to 2023 made living costs significantly higher. Here's the breakdown of how much buying power $169,800 in 2022 had in the following years: 2015: $142,622.89 2016: $145,086.87 (reasonable inflation growth rate) 2017: $147,807.07 2018: $151,947.17 2019: $154,667.37 2020: $154,849.76 (notably low inflation due to lockdowns reducing how much we spent, but this is an anomaly) 2021: $162,580.96 2022: $169,800 (the original figure used in this calculation) 2023: $183,678.22 (substantial increase) 2024: $189,682.72 (still a big increase that starts to moderate) 2025: $194,149.55 (further moderation in the growth rate) Higher living costs have been the norm for decades. The best way to deal with inflation is by investing in assets that grow at a faster rate than inflation. Other strategies involve working harder and smarter, which require short-term and maybe even long-term sacrifices, depending on your financial situation. Some people may have to work longer hours or consider weekend shifts. Developing career skills that can help you get a higher-paying job can help you earn more money while working less. A side hustle may also be necessary. You can eventually turn some side hustles into full-time career opportunities if you stick with them. It may also be worth job hopping. You can get a higher salary with a different company, and if you like your current company, you can use a new job offer as leverage to get a higher salary. Cutting costs is another great strategy, but there are limits to how much you can cut. Focusing on income growth is the best way to combat rising inflation. More From GOBankingRates 3 Luxury SUVs That Will Have Massive Price Drops in Summer 2025 6 Hybrid Vehicles To Stay Away From in Retirement 8 Common Mistakes Retirees Make With Their Social Security Checks This article originally appeared on This Was the Salary Required To Be Upper Middle Class in 2015
Yahoo
6 days ago
- Business
- Yahoo
8 Key Signs You've Made It to the Upper-Middle Class
There's a distinction between the lower, middle and upper classes, but did you know there's also a category between them called the upper-middle class? Learn More: Trending Now: While the middle class is often considered fairly financially stable, the upper-middle class tends to have a higher net worth and even more financial security — though not quite as much as the truly wealthy. As you start improving your income and building your net worth, you may when you've gone from the middle to upper-middle class. While there's no one-size-fits-all definition, and monetary amounts tend to vary, there are certain signs that you've made the jump. Here's what the upper-middle class is and the top signs you're there. People in the middle and upper-middle classes both benefit from a higher standard of living, less financial stress and more financial freedom or stability. However, there are some differences between the two tiers. Here's how Nicole Nicolet, owner of Let's Make Life Great, defined the two categories. 'The middle class can be defined as anyone who can afford a reasonable standard of living, including owning a home, going on yearly or bi-yearly vacations, and being able to support future investments like part of a college education for their children,' she explained. 'In most cases, they will have to work up to the expected retirement age. The upper-middle class can afford a little above the standard of living of the middle class.' The upper-middle class often gets to enjoy more vacations, has minimal to no debt and is on track to retire — and live comfortably once retired — without issue. Jeff Rose, a certified financial planner (CFP) and the founder of Good Financial Cents, added to this definition. 'Middle class typically involves stable income and some savings, with incomes between $50,000 and $125,000, according to the U.S. Census Bureau,' said Rose. 'Upper-middle class might mean earning 15-50% above the median with a comfortable financial cushion, while the upper class generally refers to the top 1-3% earners with substantial wealth and investment-derived income.' Other sources define the upper-middle class as anyone making a lot of money but that hasn't crossed the threshold to become truly wealthy. These individuals often have a net worth of at least $500,000 to $2 million. Read Next: In addition to having a high income and net worth, here are eight other key signs that you've made it to the upper-middle class. People in the middle class often have disposable income. Those in the upper-middle class have money left over even after maxing out their retirement account contributions and taking care of their other major investments and expenses. They're also far less concerned or stressed about using said money since they're more financially secure. 'Cracking into the upper-middle class? You'll probably notice a few key things,' said Rose. 'First off, you've got some wiggle room in your budget for the fun stuff — think vacations and regular nights out. You're not just socking money away for retirement, but you've got a mix of investments like stocks or maybe even a rental property.' When you're in the upper-middle class, you have more than just cash at your disposal. You also have a diversified portfolio with assets such as stocks and rental properties that can boost your income and enhance your financial security. Even if your total net worth is distributed across multiple assets, it still adds up to a significant amount. You may also have fully paid off your mortgage, though this isn't necessarily required. 'One sign that you are in the upper-middle class may include being able to pay off big investments, like a mortgage, years early, without restricting your lifestyle,' said Nicolet. If you do have a mortgage, it's one that you're very comfortable with and that isn't dragging you down financially. Another way to see if you've made it to the upper-middle class is to simply look at where you live. According to Rose, if 'your home is in a ZIP code where folks want to live,' that's a good sign that you're there. Keep in mind that it's not all about appearances. People in the middle class might try to keep up with the Joneses — that is, they might compare themselves with their neighbors and try to match their level of wealth or status. Those in the upper-middle class, however, do not. They don't need to worry about whether their house is big enough or their car is luxurious enough. They can afford many of these high-end things without stretching their financial means. One of the biggest indicators that you've made it to the upper-middle class is if you have little to no stress when faced with an unexpected bill or expense. If a financial emergency comes up, you can cover it without a problem. 'If an unexpected bill popped up, you could cover it without panicking,' said Rose. Having significantly more disposable income and a higher net worth often comes with major lifestyle changes. This doesn't mean you're suddenly living above your means. Rather, it means you can afford more than you ever could before, including goods and services that you used to view as being a luxury or out of reach. It also means you can afford medical expenses, travel and more expensive hobbies or interests. 'Being in the upper class means almost no restrictions on lifestyle. Not billionaire rich, but certainly without any limitations to enjoy most standards of living,' said Nicolet. 'Additionally, being in the upper-middle class means you can easily afford more leisure purchases like recreational vehicles, sporty cars and maybe even a small vacation home in popular vacation spots.' This is similar to what you might experience in the upper class, but perhaps a tier lower. 'If you are in the upper class, then you will be able to afford essentially any purchase you want, without ever having to choose a payment plan or worry about future financial deficits,' added Nicolet. 'The upper class is an interest-free and interesting life.' The cost of higher education is high, and many people who go to college or university end up with student loan debt. Those in the upper-middle class can afford to attend college — or send their children to college — without having to take on this debt. 'You can swing the better educational opportunities for your kids (or yourself!) without sweating over the price tag,' said Rose. 'These are all little financial wins that hint you're sitting pretty in the upper-middle class.' Retiring early is the dream for many people, but it might not feel that achievable if you're struggling with debt or everyday expenses. For the upper-middle class, this isn't as much of an issue due to factors like diversified investments, passive income and overall financial security. 'In most cases, being in the upper-middle class also signifies that you can retire early, without much concern for financial troubles down the road,' said Nicolet. While those in the lower and middle classes may only have one source of income, wealthier individuals almost always have two or more income streams. These income sources could include a working a high-paying job, owning a business or having a passive income source — like dividends from investments or rental property income. By no means is this a comprehensive list of signs that you've made it to the upper-middle class. Everyone's situation is different, and the definitions of class vary broadly. What one person might consider as upper-middle class could be a tier higher or lower than someone else's definition of it. What matters is determining where you're at right now financially and where you want to be. If there are still things that stress you out financially, you might still have some work ahead of you. But if you're living comfortably and enjoying the lifestyle of your dreams, chances are you're already where you want to be. More From GOBankingRates Mark Cuban Warns of 'Red Rural Recession' -- 4 States That Could Get Hit Hard 6 Popular SUVs That Aren't Worth the Cost -- and 6 Affordable Alternatives The 5 Car Brands Named the Least Reliable of 2025 This article originally appeared on 8 Key Signs You've Made It to the Upper-Middle Class Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
6 days ago
- Business
- Yahoo
This Was the Salary Required To Be Upper-Middle Class in 2005
Life was different 20 years ago. YouTube, Google Maps, the iPod Nano and the Xbox 360 all made their debuts that year. The upper-middle class also looked quite different. The prices of goods and services weren't as high, but paychecks weren't as high either. Trending Now: For You: Per the most up-to-date Pew Research, your income has to exceed $169,800 per year to be considered upper-middle class. If you wanted to be in the upper-middle class in 2005, you had to earn $117,408.34 per year in 2005. This calculation comes from the U.S. Labor of Bureau Statistics' CPI Calculator. Below is a glimpse into how the dollar's purchasing power has dwindled over the years and what this looks like for the upper-middle class moving forward. Some people who were in the upper-middle class in 2005 still enjoy that status to this day. However, it also means this group had to go from earning at least $117,408.34 in 2005 to surpassing $194,149.55 this year. That's an average inflation growth rate of 2.55% throughout those 20 years. However, it featured elevated inflation shortly after the pandemic, with 2022 producing the highest inflation in more than 40 years. Check Out: Wages may not keep up with inflation and if that's the case for you, it may be time to job hop. Switching from one company to another can result in a higher salary. Staying with the same company risks settling for low raises or not getting a raise at all unless you ask for it. You may also have to pick up a side hustle to get closer to an upper-middle class lifestyle. While cutting expenses can help, there is a limit to how much you can cut. Focusing on income growth is a better long-term solution than cutting costs, but it's still good to track your expenses and see how much you can save. Although inflation has steadily climbed over several years, it hasn't kept up with many assets. For instance, the S&P 500 has delivered an annualized 8.4% return over the past 20 years, according to SoFi. That's a 5.7% annualized return if you adjust it for inflation. Corporate earnings usually go up alongside inflation unless inflation spikes suddenly. This trend gives investors the opportunity to outpace inflation and build wealth faster. While a high income is the starting point to joining the upper-middle class, it's more important to build your nest egg with regular investments so you can retire with less financial stress. The biggest financial milestones take several years to achieve. You will have to contribute to your portfolio and make good investments for many years before achieving a seven-figure net worth. While patience is usually directed toward investing, it's also important to be patient with your career. The amount you earn right now doesn't have to be the same amount that you earn a decade from now. Developing new skills, negotiating raises and job hopping can help you climb the corporate ladder faster. You may even use your skills to start a side hustle that becomes a vibrant business. Thinking in years instead of days and weeks about your investments and income can help you reach the upper-middle class. This type of thinking can also help you achieve major financial milestones sooner than your peers. More From GOBankingRates How Far $750K Plus Social Security Goes in Retirement in Every US Region This article originally appeared on This Was the Salary Required To Be Upper-Middle Class in 2005
Yahoo
29-06-2025
- Business
- Yahoo
12 Cities Where You Can Really Get Rich Right Now
Regular GOBankingRates readers may recognize the 12 cities in this article as those that ranked as the top cities where the upper-middle class is growing the most. Considering that the upper-middle class has grown by 80% or more in these places, Americans building their wealth may consider making a move to one of these 12 cities. View More: Read Next: Take a look at the top cities for upper-middle class growth along with insight as to how the upper-middle class population is becoming increasingly wealthy in these metros. Number of upper-middle class households: 7,795 % increase in upper-middle class households (2018 to 2023): 125.1% % of population that is now upper-middle class: 16% Over a five-year span, North Charleston has seen a staggering increase of 125% in its upper-middle class households. According to a 2024 SmartAsset report on the nation's richest counties, Charleston ranked No. 1 in South Carolina. The median household income in this city is $62,789 while the investment income is $146,964. Be Aware: See More: Number of upper-middle class households: 16,463 % increase in upper-middle class households (2018 to 2023): 122.2% % of population that is now upper-middle class: 21% If Port St. Lucie's upper-middle class population is booming, it may be thanks to the city's strong local economy. Named one of the best places to live in 2024 by Money, Port St. Lucie anticipates job growth increasing by more than 10% over the next three years, Moody's Analytics data shows. Check Out: Number of upper-middle class households: 10,525 % increase in upper-middle class households (2018 to 2023): 114.3% % of population that is now upper-middle class: 14% Number of upper-middle class households: 8,020 % increase in upper-middle class households (2018 to 2023): 100.7% % of population that is now upper-middle class: 18% Number of upper-middle class households: 7,314 % increase in upper-middle class households (2018 to 2023): 98.9% % of population that is now upper-middle class: 16% Americans angling to become wealthy sooner than later may decide to move to Palm Bay. In addition to our in-house study showing a 99% increase in upper-middle class households over a five-year period, SmartAsset ranked Palm Bay as the top city for high-income household growth in 2025. Find Out: Number of upper-middle class households: 11,079 % increase in upper-middle class households (2018 to 2023): 95.2% % of population that is now upper-middle class: 13% Knoxville, which ranked among Money's best places to live in 2024, may hold its steady economy accountable for the sizable increase in upper-middle class households. According to data from Moody's Analytics, Knoxville is predicted to experience a 4.4% job growth in the next three years. Number of upper-middle class households: 45,486 % increase in upper-middle class households (2018 to 2023): 93.5% % of population that is now upper-middle class: 23% Number of upper-middle class households: 11,107 % increase in upper-middle class households (2018 to 2023): 92.6% % of population that is now upper-middle class: 16% The wealthy are not only increasing in Rhode Island, but they are making strategic choices as to where to reside. The Providence Journal shared a ranking of the state's richest towns and cities in 2023 and Providence ranked in 37th place. (North Providence and East Providence ranked in 33rd and 34th place, respectively.) Learn More: Number of upper-middle class households: 7,953 % increase in upper-middle class households (2018 to 2023): 91.6% % of population that is now upper-middle class: 17% Pompano Beach might not be flying under the radar for much longer as a top Florida city for growing wealth. The massive 92% increase of upper-middle class households over five years indicates the wealthy are coming to Pompano Beach and staying there. According to The Mastropieri Group, an impending revitalization to downtown and high-end beachfront condos in development make the city's real estate one to watch. Number of upper-middle class households: 24,992 % increase in upper-middle class households (2018 to 2023): 86.5% % of population that is now upper-middle class: 13% Will Miami never not be a hotspot for wealthy Americans? Beyond the nearly 87% increase of its upper-middle class households, millionaires are increasingly Miami-bound. A study from Henley & Partners revealed Miami's millionaire population is now at 39,000 residents, increasing by 94% from 2014 to 2024. Number of upper-middle class households: 126,665 % increase in upper-middle class households (2018 to 2023): 85.5% % of population that is now upper-middle class: 16% Discover Next: Number of upper-middle class households: 50,518 % increase in upper-middle class households (2018 to 2023): 80.7% % of population that is now upper-middle class: 17% In 2025, The Palm Beach Post reported West Palm Beach is considered one of the five fastest-growing 'wealth hubs' according to a report from Henley & Partners. West Palm Beach isn't just a haven for the upper-middle class or millionaires either. As of 2025, Forbes data revealed 68 billionaires have residences in Palm Beach. Methodology: For this study, GOBankingRates analyzed cities with at least 40,000 households, according to the U.S. Census American Community Survey, to find the cities where the upper-middle class has grown the most. Households that earn between $100,000 and $149,000 are considered upper-middle class. Using the American Community Survey, the total population, total households, household median income, households in 2018 that earned $100,000 to $149,000, and households in 2023 that earned $100,000 to $149,000 were all sourced. The percent change in upper-middle-class households was calculated and the cities were sorted to show the largest increase in upper-middle-class households. All data was collected on and is up to date as of April 1, 2025. More From GOBankingRates 6 Hybrid Vehicles To Stay Away From in Retirement This article originally appeared on 12 Cities Where You Can Really Get Rich Right Now Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
29-06-2025
- Lifestyle
- Yahoo
People Who Grew Up Wealthy Are Sharing The Moment When They Realized They Were Privileged, And It's Eye-Opening
The lifestyle you grow up in is often the one you become accustomed to, and for those who grew up wealthy, sometimes it's the one you assume everyone has as well. Recently, BuzzFeed Community members who grew up rich shared the "epiphany" moments when they realized they were privileged, and it's incredibly insightful: 1."I was leaving work (a job I did because I was bored), and a coworker asked why I was changing clothes. I said, 'Oh, we're buying another home and signing paperwork.' He looked at me and said that he and his mom have never lived in a house. I didn't tell him that we owned five houses at the time. I didn't learn my lesson, though. Years later, at a new job, I rented an apartment nearby so that I didn't have to commute every day. When speaking to a coworker, I said I was shocked that three beds could fit in 1,000 square feet. He looked at me and said that his family lived in an 850-square-foot home. Then, he said very kindly, 'You were raised a little differently than most people, weren't you?' Humbled. I was completely humbled." —shaysmith3 2."I grew up solidly upper-middle class. I remember going to my friend's home, and she had to sleep in the same room as her mom. I found that so weird." —kmpbnjelly 3."When the guy I was interested in said he finally owned his car. I knew he'd had the car for 8–10 years. I didn't realize that not everyone went into the dealership and paid for a new car in full." —Anonymous 4."When I was a kid, I thought we were poor because our maid only came over three times a week, and I had friends who had live-in staff." —Joe, 68, New York 5."I can't pinpoint when in my adult life I realized I was privileged growing up, but I remember as a child, I'd innocently asked my grandparents, 'Which family is that?' whenever I saw airplanes with names on them. I thought all families had private jets." —Anonymous 6."I had a private garage with all the high-end tools to fix my hot rods when I was 14." —Anonymous 7."I was going to have a sleepover at my friend's house, but I didn't have any clothes or things, so her mom drove us to my home to go pick some things up. My friend came in with me and loudly exclaimed, 'Wow! Your house is so big! That TV is so big! You guys are rich!' I'd never once considered that we were upper-middle class before that moment. I'd always just thought we were in the solid middle. It really opened my eyes to how privileged we were growing up. I still don't feel like our house was wildly fancy or anything big, but it was definitely nicer and newer than many of my friends' houses at the time." —Anonymous 8."When I was in college, we were visiting Florida as part of our swim team winter training. A friend of mine invited me over to visit an aunt who lived nearby. We went out for a boat ride, and I mentioned in passing, 'Oh, this reminds me of Puerto Rico, when my family went there on vacation.' They gave me a surprised look and made a comment that I must be wealthy to have been able to go to Puerto Rico as a kid (this would've been in the '80s). Up until that point, it never occurred to me that people didn't just go on vacation to warm places during the winter. My friend had never even seen a real palm tree in her life." —Anonymous 9."My public elementary and middle schools in the San Francisco Bay Area offered a winter break that was officially called 'Ski Week.' During that week, all of our families would take us skiing or on other vacations during the week of President's Day. Many of us had second homes in Lake Tahoe or other resort towns. The lore was that the school district started offering it because so many parents were taking their kids out during that time. It was kind of an 'if you can't beat 'em, join 'em' situation. It wasn't until I got to college that I learned that nobody else got Ski Week growing up. Now, in my 40s, I mention Ski Week sometimes, and nobody who didn't grow up in Marin County knows what I'm talking about!" —jennerator 10."My dad would take his plane and fly my mom and some friends to El Paso from our West Texas town to go out to eat." —Anonymous 11."I always knew that our family had enough money, and I am so grateful for the home that I've grown up in. The first time I realized our family was well-off was when we bought a nice house during the pandemic. It really sank in that I was very privileged when I was talking to a friend, and she told me that her family would be rich when her brother joined the army." —Anonymous, Oklahoma 12."We live in a nice 2,500 square-foot home that we built 27 years ago. I still remember the first Halloween we lived there. One trick-or-treater asked how many people lived here. I told him it was my husband, our daughter, and me. He said, 'Wow, you must be rich.' Now, mind you, I grew up lower-middle class. We didn't take big, fancy vacations or anything. However, it struck me when this kid said that." —blissbednar 13."I thought it was normal that my family went on vacation four times a year, but many of my friends haven't been on a vacation in years. I'm married now, and my parents take my husband and me on trips with the whole family still. My grandparents did that for them, and they want to pass down the tradition." —heyitsmadsss 14."I grew up in an upper-middle-class family, but I didn't realize we were doing better financially than many people. My brother and I went to private schools, and my mother made it very clear that we weren't 'in the league' of other students, whose families were really wealthy. Still, we had a vacation house in a resort town, went to premier summer camps, took private horseback riding lessons, etc. When I was 10, my parents wanted to get out of the city, so we moved to a farm about an hour out of town. It so happened that this was a couple of miles from the summer camp we'd always attended. I remember telling my new friends about how cool it was that camp was so close now. They looked at me incredulously and said that nobody local could afford to go to camp, but that many parents and siblings worked there. That was a big wake-up call for me. I realized that many people didn't have the privilege I did as a kid." —Anonymous 15."A friend in college told me they'd never flown on an airplane before. I straight-up did not believe her. Another person had to break it to me." —ORD2414 "I went to treatment for my alcoholism more than once. One time, the state didn't pay for it, so my parents did. It was around $6,000. My parents are middle-class but good with money and investments. My entire family is supportive. I've heard stories about other people's parents, and it really put me in my place. Some people were completely abandoned, or had to abandon their parents to be safe and sober. I never went hungry, and I never had to worry about the condition my parents were in when I had my friends over. I had stability, which isn't guaranteed to anyone, no matter their socioeconomic situation. Without my family, I might've been unhoused, dead, or in prison." —princesscansuelabananahammock *Cries in broke.* If you grew up wealthier than most, when did you realize you were privileged? Let us know in the comments, or you can anonymously submit your story using the form below! Note: Some submissions have been edited for length and/or clarity.
