Is $250,000 middle class?

[Nice Squirrel]

http://money.cnn.com/2016/02/18/news/economy/clinton-sanders-middle-class/index.html

For Hillary Clinton and Bernie Sanders, the middle class extends to those earning up to $250,000 a year. Both have used that figure as the dividing line, raising taxes on those with higher incomes as part of their campaigns to ensure the wealthy pay their fair share.

Those with incomes of $250,000 a year are in the top tier of the nation's earners. A household income of $206,600 was enough to get into the Top 5% in 2014, according the latest U.S. Census Bureau statistics.

The typical middle class American family, meanwhile, made about $53,700 a year.

While there's no set definition for middle class, the Pew Research Center says it encompasses those making two-thirds to two times median income for one's household size. That means a middle class family of three would earn between $42,000 and $126,000 a year.

So what sayth you?

 

[Playball40]

Yes, I would say it is. Especially depending upon your family size and where you live.

http://money.cnn.com/2016/02/18/news/economy/clinton-sanders-middle-class/index.html

For Hillary Clinton and Bernie Sanders, the middle class extends to those earning up to $250,000 a year. Both have used that figure as the dividing line, raising taxes on those with higher incomes as part of their campaigns to ensure the wealthy pay their fair share.

Those with incomes of $250,000 a year are in the top tier of the nation's earners. A household income of $206,600 was enough to get into the Top 5% in 2014, according the latest U.S. Census Bureau statistics.

The typical middle class American family, meanwhile, made about $53,700 a year.

While there's no set definition for middle class, the Pew Research Center says it encompasses those making two-thirds to two times median income for one's household size. That means a middle class family of three would earn between $42,000 and $126,000 a year.

So what sayth you?

 

[Bronzeage]

It would depend upon where you live. A $250K income in Baton Rouge would yield a comfortable lifestyle in Baton Rouge, where that amount of money will buy a very nice house in a desirable neighborhood. There are plenty of places where $250K would be the bare minimum for a middle class living.

 

[ronburgundy]

http://money.cnn.com/2016/02/18/news/economy/clinton-sanders-middle-class/index.html

For Hillary Clinton and Bernie Sanders, the middle class extends to those earning up to $250,000 a year. Both have used that figure as the dividing line, raising taxes on those with higher incomes as part of their campaigns to ensure the wealthy pay their fair share.

Those with incomes of $250,000 a year are in the top tier of the nation's earners. A household income of $206,600 was enough to get into the Top 5% in 2014, according the latest U.S. Census Bureau statistics.

The typical middle class American family, meanwhile, made about $53,700 a year.

While there's no set definition for middle class, the Pew Research Center says it encompasses those making two-thirds to two times median income for one's household size. That means a middle class family of three would earn between $42,000 and $126,000 a year.

So what sayth you?

Depends mostly on how arbitrarily wide or narrow you want to make each "class" (with the emphasis on arbitrary).

 

[Jimmy Higgins]

I feel that we need to split the top tax bracket. People making $150k a year being taxed at the same upper rate seems silly. To be fair, I think taxes on most people need to go up, but we need to fix this ridiculous tax gap for investment income, where people who actually aren't working for the income, get a discount on the taxes.

 

[Playball40]

I feel that we need to split the top tax bracket. People making $150k a year being taxed at the same upper rate seems silly. To be fair, I think taxes on most people need to go up, but we need to fix this ridiculous tax gap for investment income, where people who actually aren't working for the income, get a discount on the taxes.

completely agree.

 

[Jimmy Higgins]

I feel that we need to split the top tax bracket. People making $150k a year being taxed at the same upper rate seems silly. To be fair, I think taxes on most people need to go up, but we need to fix this ridiculous tax gap for investment income, where people who actually aren't working for the income, get a discount on the taxes.

completely agree.

Here is the silliness. The guy who is doing the investment work, is getting his income taxed at a higher rate than the income he is generating for the wealthy.

 

[Elixir]

There is a fallacious assumption underlying all of this, and it bugs me. Over the last couple of decades, I have been AVERAGING somewhere south of $60K/yr income. But one year I reported almost $400k, and got absolutely hammered, having none of the tax-reduction mechanisms in place that someone making $400k/year would "normally" have. Some other years I reported less than $15k. Not knowing what the coming year holds, I don't even know what's good for me and my family. But I don't think that a family that is near the poverty line and experiences a windfall one year that could lift them out of their situation, should be taxed at the same rate as a family that sees that kind of income year after year. Nobody seems to talk about that...
</rant>

 

[dismal]

There is a fallacious assumption underlying all of this, and it bugs me.

The presumption we have a class system?

Does anyone here actually think someone making $251,000 is in a different class than they are?

That someone making $251,000 is in a different class than someone making $245,000?

 

[Jimmy Higgins]

There is a fallacious assumption underlying all of this, and it bugs me.

The presumption we have a class system?

Does anyone here actually think someone making $251,000 is in a different class than they are?

That someone making $251,000 is in a different class than someone making $245,000?

I suppose that may be why the person making $251,000 would have $1,000 of their income taxed at a much higher rate (you know, the whole stepped tax rate thing) and their $250k would be taxed exactly the same as the $249k person would be.

Next ridiculous argument please.

 

[dismal]

The presumption we have a class system?

Does anyone here actually think someone making $251,000 is in a different class than they are?

That someone making $251,000 is in a different class than someone making $245,000?

I suppose that may be why the person making $251,000 would have $1,000 of their income taxed at a much higher rate (you know, the whole stepped tax rate thing) and their $250k would be taxed exactly the same as the $249k person would be.

Next ridiculous argument please.

Your comment has absolutely no relevance to my point hence I assume the argument I did make completely escaped you.

 

[Jimmy Higgins]

I suppose that may be why the person making $251,000 would have $1,000 of their income taxed at a much higher rate (you know, the whole stepped tax rate thing) and their $250k would be taxed exactly the same as the $249k person would be.

Next ridiculous argument please.

Your comment has absolutely no relevance to my point hence I assume the argument I did make completely escaped you.

 

[Nice Squirrel]

Does anyone here actually think someone making $251,000 is in a different class than they are?

Yes, they are far richer than I and will be able to retire.

 

[TV and credit cards]

I can say from personal experience, Cleveland's wealthy is San Diego's poverty stricken.
Pew Calculator

 

[Jimmy Higgins]

I can say from personal experience, Cleveland's wealthy is San Diego's poverty stricken.
Pew Calculator

Phoenix wealth is poverty to San Diego. Southern Cal makes New England look affordable... barely.

 

[dismal]

Does anyone here actually think someone making $251,000 is in a different class than they are?

Yes, they are far richer than I and will be able to retire.

And that in your mind constitutes a "class"?

Do you bow and scrape to people who are able to retire?

 

[Nice Squirrel]

Yes, they are far richer than I and will be able to retire.

And that in your mind constitutes a "class"?

Yes.

Do you bow and scrape to people who are able to retire?

What does this have to do with the price of tea in China?

 

[ZiprHead]

There is a fallacious assumption underlying all of this, and it bugs me. Over the last couple of decades, I have been AVERAGING somewhere south of $60K/yr income. But one year I reported almost $400k, and got absolutely hammered, having none of the tax-reduction mechanisms in place that someone making $400k/year would "normally" have. Some other years I reported less than $15k. Not knowing what the coming year holds, I don't even know what's good for me and my family. But I don't think that a family that is near the poverty line and experiences a windfall one year that could lift them out of their situation, should be taxed at the same rate as a family that sees that kind of income year after year. Nobody seems to talk about that...
</rant>

I thought there was IRS income averaging but apparently that has become a thing of the past. I guess unless you're a farmer your screwed.

http://budgeting.thenest.com/can-average-federal-taxes-over-last-5-yrs-21906.html

 

[dismal]

And that in your mind constitutes a "class"?

Yes.

Do you bow and scrape to people who are able to retire?

What does this have to do with the price of tea in China?

In your mind is the word "class" defined by nothing but money?

If so, why would one not use a precise term like "makes $100,000" and render the entire need for threads such as this completely moot.

What is the value of having a word that means "has a certain amount of money, but we must argue and debate about how much that is because people disagree about how much"?

 

[Nice Squirrel]

Yes.

Do you bow and scrape to people who are able to retire?

What does this have to do with the price of tea in China?

In your mind is the word "class" defined by nothing but money?

It's whatever I want it to be.

If so, why would one not use a precise term like "makes $100,000" and render the entire need for threads such as this completely moot.

You did not ask that. You asked if I though somebody making $250k was in a different class than me.

What is the value of having a word that means "has a certain amount of money, but we must argue and debate about how much that is because people disagree about how much"?

What is the value of the sunset on a summer eve?