I suspect that people who earn 150K and call themselves middle class do so because they compare themselves with very wealthy people. I also suspect that many or most think of themselves as UPPER middle class.
Yes, $150K affords a nice standard of living, but it's likely that nearly everyone in this income category depends on a paycheck, unlike the very wealthy. Also, people in the former group with two kids still have to budget their money, can only dream of flying in a private jet and can't even afford to fly the family in business or first class and have basically no extra sway over the political process. So they aren't truly "rich."
But they can afford to buy a house, can put the whole family on a jet in economy class and maybe afford private school tuition on a monthly payment plan. So this makes them upper middle class.
Last edited by Val; 08/14/13 09:19 AM. Reason: Clarity
