Upper middle class

[Anonymous]

Our situation is unique in that I have a trust, so while I SAH and my husband makes $300K (which maybe would be UMC?) our annual gifting creates a different set of circumstances. The kids have trusts set up as well, so we don't have to save for their college, which removes a huge burden. Because we receive an annual gift of $56,000 (tax free) it changes a lot about our lifestyle. He travels quite a bit, so we are able to take free vacations with mileage to their homes in two different vacation destinations, which is extremely helpful. While his salary and ESPP and stock/bonuses alone would make our life comfortable (for sure!) its really the annual gifting that puts things into a different category for us. Also, the knowledge that ~ at some point, god willing, assuming we stay in good health, we will inherit a huge amount of money, is a sort of safety net. That said, he still maxes out his 401K and we save as aggressively as we can.

I know that we are extremely fortunate to have such circumstances, we routinely donate a flat 20% of what we are gifted to charity as well as run an annual fundraiser, and try to give back in as many ways as we can, as well as raise our 2 kids to be civic minded from their (young) ages. We live nicely but humbly (house is 750K inside beltway) and below our means, our friends would never guess we have this trust.

Because of this I would consider us upper middle class.

[Anonymous]

Anonymous wrote:Our situation is unique in that I have a trust, so while I SAH and my husband makes $300K (which maybe would be UMC?) our annual gifting creates a different set of circumstances. The kids have trusts set up as well, so we don't have to save for their college, which removes a huge burden. Because we receive an annual gift of $56,000 (tax free) it changes a lot about our lifestyle. He travels quite a bit, so we are able to take free vacations with mileage to their homes in two different vacation destinations, which is extremely helpful. While his salary and ESPP and stock/bonuses alone would make our life comfortable (for sure!) its really the annual gifting that puts things into a different category for us. Also, the knowledge that ~ at some point, god willing, assuming we stay in good health, we will inherit a huge amount of money, is a sort of safety net. That said, he still maxes out his 401K and we save as aggressively as we can.

I know that we are extremely fortunate to have such circumstances, we routinely donate a flat 20% of what we are gifted to charity as well as run an annual fundraiser, and try to give back in as many ways as we can, as well as raise our 2 kids to be civic minded from their (young) ages. We live nicely but humbly (house is 750K inside beltway) and below our means, our friends would never guess we have this trust.

Because of this I would consider us upper class.

[Anonymous]

Anonymous wrote:Our situation is unique in that I have a trust, so while I SAH and my husband makes $300K (which maybe would be UMC?) our annual gifting creates a different set of circumstances. The kids have trusts set up as well, so we don't have to save for their college, which removes a huge burden. Because we receive an annual gift of $56,000 (tax free) it changes a lot about our lifestyle. He travels quite a bit, so we are able to take free vacations with mileage to their homes in two different vacation destinations, which is extremely helpful. While his salary and ESPP and stock/bonuses alone would make our life comfortable (for sure!) its really the annual gifting that puts things into a different category for us. Also, the knowledge that ~ at some point, god willing, assuming we stay in good health, we will inherit a huge amount of money, is a sort of safety net. That said, he still maxes out his 401K and we save as aggressively as we can.

I know that we are extremely fortunate to have such circumstances, we routinely donate a flat 20% of what we are gifted to charity as well as run an annual fundraiser, and try to give back in as many ways as we can, as well as raise our 2 kids to be civic minded from their (young) ages. We live nicely but humbly (house is 750K inside beltway) and below our means, our friends would never guess we have this trust.

Because of this I would consider us upper middle class.

What do you parents do that they can give 56k a year.

[Anonymous]

HHI ~$200k single income, net worth ~$2M including house and retirement. We are on the cusp of upper class. We are able to send our children to any college they desire without financial aid. We will be able to retire where we want and travel as much as we are able/want. We donate 5%-10% of gross.

I think HHI for upper class is starts somewhere between $200k and $300k depending on circumstances (eg one income or two, undergraduate college loan burden, high needs children).

[Anonymous]

http://money.usnews.com/money/personal-finance/articles/2014/04/24/what-it-means-to-be-middle-class-today?page=2

According to this middle class would be 50% higher and lower than the median income. In the US that means: $25-76K. So those of you making $350K or 800K etc should accept that you are rich. I appreciate that you may not feel like what you think rich feels like because you don't have as big of a house or have luxury cars or something but seriously...you are wealthy.

Here's why you may not think you're wealthy--from the article: "As you work your way up the income ladder, inequality grows," he says. "If people make $104,096 per year, which puts them in the richest 20 percent of the population, they feel ‘relatively’ poor because they compare themselves to people in the top 1 percent of the income distribution – people making over $500,000, but primarily millionaires."

[Anonymous]

Anonymous wrote:

Anonymous wrote:Our situation is unique in that I have a trust, so while I SAH and my husband makes $300K (which maybe would be UMC?) our annual gifting creates a different set of circumstances. The kids have trusts set up as well, so we don't have to save for their college, which removes a huge burden. Because we receive an annual gift of $56,000 (tax free) it changes a lot about our lifestyle. He travels quite a bit, so we are able to take free vacations with mileage to their homes in two different vacation destinations, which is extremely helpful. While his salary and ESPP and stock/bonuses alone would make our life comfortable (for sure!) its really the annual gifting that puts things into a different category for us. Also, the knowledge that ~ at some point, god willing, assuming we stay in good health, we will inherit a huge amount of money, is a sort of safety net. That said, he still maxes out his 401K and we save as aggressively as we can.

I know that we are extremely fortunate to have such circumstances, we routinely donate a flat 20% of what we are gifted to charity as well as run an annual fundraiser, and try to give back in as many ways as we can, as well as raise our 2 kids to be civic minded from their (young) ages. We live nicely but humbly (house is 750K inside beltway) and below our means, our friends would never guess we have this trust.

Because of this I would consider us upper middle class.

Well no you're wealthy but sounds like you're trying to stay grounded and living within your earned means even though you will likely continue to be given extra money. Your charity donation in particular is great!

[Anonymous]

We make much less and feel very fortunate and wealthy.Just think that even people who make 50k a year still top 1% of the world

[Anonymous]

Anonymous wrote:http://money.usnews.com/money/personal-finance/articles/2014/04/24/what-it-means-to-be-middle-class-today?page=2

According to this middle class would be 50% higher and lower than the median income. In the US that means: $25-76K. So those of you making $350K or 800K etc should accept that you are rich. I appreciate that you may not feel like what you think rich feels like because you don't have as big of a house or have luxury cars or something but seriously...you are wealthy.

Here's why you may not think you're wealthy--from the article: "As you work your way up the income ladder, inequality grows," he says. "If people make $104,096 per year, which puts them in the richest 20 percent of the population, they feel ‘relatively’ poor because they compare themselves to people in the top 1 percent of the income distribution – people making over $500,000, but primarily millionaires."

Wealth and riches are assets. A high income doesn't mean you have or are building wealth.

[Anonymous]

250k is UMC. HHI for us is $325k. We're both lawyers (DH is 31, I'm 28).

[Anonymous]

We're 37, 270k HHI. I considered us upper middle class until I read all the lawyers on this thread in their dick measuring contests.

[Anonymous]

Anonymous wrote:We're 37, 270k HHI. I considered us upper middle class until I read all the lawyers on this thread in their dick measuring contests.

If you read relationship board you will understand why.

[Anonymous]

Late 30s, early 40s, dual govies with $225k HHI ... both from blue collar / military families. My starting salary out of college was more than either of my parents ever made (but they donated 10% and sent two kids to private 1-12). I don't think anyone really appreciates UMC if they didn't grow up with every purchase being a financial decision.

[Anonymous]

This.

[Anonymous]

OK, OK. We are ALL middle class. If you earn more than several times the median for our (very high HHI) region, then you can be "upper" middle class. But that's it. No American will ever fess up to being higher than that.

It's interesting to see the same thing happen at the bottom of the ladder where people are "struggling" or "going through a rough time" but are still some flavor of "middle class."

Whatever your income, you are middle class in America.

[Anonymous]

Anonymous wrote:

Anonymous wrote:http://money.usnews.com/money/personal-finance/articles/2014/04/24/what-it-means-to-be-middle-class-today?page=2

According to this middle class would be 50% higher and lower than the median income. In the US that means: $25-76K. So those of you making $350K or 800K etc should accept that you are rich. I appreciate that you may not feel like what you think rich feels like because you don't have as big of a house or have luxury cars or something but seriously...you are wealthy.

Here's why you may not think you're wealthy--from the article: "As you work your way up the income ladder, inequality grows," he says. "If people make $104,096 per year, which puts them in the richest 20 percent of the population, they feel ‘relatively’ poor because they compare themselves to people in the top 1 percent of the income distribution – people making over $500,000, but primarily millionaires."

Wealth and riches are assets. A high income doesn't mean you have or are building wealth.

Fine. But it does mean--at the time you are earning that high income, you are upper class, 1% whatever. NOT middle class or upper middle class. Why can people not just admit it when they are upper class or rich? To say you make $350K or $500k or even $800k and claim to be in the middle class is insulting to people actually in the middle class. You may be spending all of your half a million on stuff so think you're not rich because you're saving X for retirement and Y for college and spending x on your big mortgage but you have that money to do those things. You don't have to be a billionaire to be rich in this country.