ECONOMY & CULTURE
The Upper-Middle Class May Seem Comfortable Enough. Are They Really?
High inflation, recession risks, and a stock market downturn have not been kind to any American, but it’s the upper-middle class who is likely feeling cornered by looming economic uncertainty.
a year. They make more money than at least 60% of other households but less money than the top 20% of earners. This may appear to be a relatively comfortable income range, but the reality is that these households are feeling the negative effects of a volatile economy as much as any other sector—especially when you consider a few key points recently presented by Moody’s Analytics:
While high prices and climbing interest rates have put pressure on almost every sector of society and taken a toll on household budgets from every economic background, jumps in gas prices, home utilities, and mortgage rates have disproportionately affected the upper-middle class. 1 According to the Federal Reserve, upper-middle-class households are defined as those earning between $75,301 and $127,300
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Upper-middle-class families lost a bigger chunk of their stock portfolios (mostly retirement savings) than those who make more than them.1
In early 2022, consumers in the upper-middle-class income range took on more debt for auto loans and credit cards than any other group.1
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38 FEBRUARY 2023 | MELALEUCA.COM
These results are not typical. Consult the Annual Income Statistics on page 58 for typical results.
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