What income is poor class?
Where you rank by income. According to the Census Bureau's Income in the United States: 2022 report, the median household income is $74,580 (a 2.3% decline from 2021), while household income levels for each class level are as follows: Lower class: less than or equal to $30,000. Lower-middle class: $30,001 – $58,020.
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.
Breaking Down the Middle Class by Income
One way some researchers divide individuals into economic classes is by looking at their incomes. From that data, they split earners into different classes: poor, lower-middle class, middle class, upper-middle class and wealthy.
In 2020, according to Pew Research Center analysis, the median for upper income households was around $220,000 and the median for middle income households was slightly above $90,000.
By those metrics, American households earning between $47,189 and $141,568 would be considered middle class.
There are three U.S. cities where people making a $150,000 income qualify as lower middle class and two of them are in California, according to recent research from GOBankingRates.
Is $30,000 a Good Salary for a Single Person? No, $30,000 is not a great salary for a single person, but it can be livable depending on the person's location and expenses. The average personal income in the United States is $63,214 per year, which is more than double the $30k mark.
Many have graduate degrees with educational attainment serving as the main distinguishing feature of this class. Household incomes commonly exceed $100,000, with some smaller one-income earners household having incomes in the high 5-figure range. "The upper middle class has grown...and its composition has changed.
Generally, an income that comfortably covers living expenses, allows for savings, and provides for leisure activities is considered good. In the United States, median household income is around $68,700 according to recent data. However, in cities with higher costs of living, a good salary might be considerably higher.
Lower class: The bottom 20% of earners with household incomes not exceeding $28,007. Lower middle class: Those in the 20th to 40th percentile of household income, between $28,008 and $55,000. Middle class: Those in the 40th to 60th percentile of household income, ranging from $55,001 to $89,744.
Is 100k a year upper class?
For a single individual, $100,000 would actually put you in the upper-income level in most places. For household sizes between two and four, $100,000 a year would put you squarely in the middle class.
According to our extensive research: 18% of individual Americans make over $100k per year. 34.4% of US households make over $100k per year.
A salary of $90,000 in California can be considered a decent income, but whether it's considered "good" depends on various factors, including your location, lifestyle, and personal financial goals.
| Annual Salary | Hourly Wage | |
|---|---|---|
| Top Earners | $86,000 | $41 |
| 75th Percentile | $68,500 | $33 |
| Average | $44,910 | $22 |
| 25th Percentile | $24,500 | $12 |
| State | Annual Salary | Hourly Wage |
|---|---|---|
| California | $74,917 | $36.02 |
| South Carolina | $74,476 | $35.81 |
| Pennsylvania | $73,878 | $35.52 |
| New Jersey | $73,726 | $35.45 |
According to Schwab's 2023 Modern Wealth Survey, Americans perceive an average net worth of $2.2 million as wealthy. Knight Frank's research indicates that a net worth of $4.4 million is required to be in the top 1% in America, a figure much higher than in countries like Japan, the U.K. and Australia.
If you had an income of $200,000, that would put you in the top 12% of household incomes or the top 5% of individual incomes in 2022. Though I prefer household income over individual income, no matter how you cut it, $200k a year puts you on the higher end of the income spectrum.
| Annual household income in U.S. dollars | Percentage of U.S. households |
|---|---|
| 75,000 to 99,999 | 12.3% |
| 100,000 to 149,999 | 16.4% |
| 150,000 to 199,999 | 9.2% |
| 200,000 and over | 11.9% |
| Household income in U.S. dollars | Number of households in millions |
|---|---|
| $100,000 to $124,999 | 12.85 |
| $125,000 to $149,999 | 9.09 |
| $150,000 to $199,999 | 11.27 |
| $200,000 or more | 14.88 |
If you make $17 an hour, your yearly salary would be $35,360.
Can you retire on $36,000 a year?
According to the 80% rule, someone who is earning $45,000 at the end of their career would need $36,000 every year in retirement, while someone who is earning $200,000 would need $160,000. If the first person can live on $36,000 per year in retirement, then why can't the second person as well?
Bottom Line. Living on $1,000 per month is a challenge. From the high costs of housing, transportation and food, plus trying to keep your bills to a minimum, it would be difficult for anyone living alone to make this work. But with some creativity, roommates and strategy, you might be able to pull it off.
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.
| Age Range | 75th Percentile Net Worth |
|---|---|
| Under 35 | $153,000 |
| 35-44 | $415,000 |
| 45-54 | $800,000 |
| 55-64 | $1.122 million |
1969 | The annual average income made a nearly $400 jump to $5,168.12 in 1969. 1970 | 1970's individual income saw another increase of nearly $500 to $5,662.60, which roughly equaled $39,500 in 2020. 1971 | In 1971, the average annual income was $5,966.75, which equals $39,308.85 in 2020 money.
