Are YOU still part of the shrinking American middle class? Here's how much you have to earn to qualify

  • Most Americans see themselves as 'middle class'
  • Yet, numbers are dropping with more in lower and upper income levels 
  • A study reveals what it takes to live a middle class life in each state
  • Highest paid middle class is in Maryland, Alaska, New Jersey, Hawaii, D.C.
  • Lowest paid in Mississippi, Arkansas, West Virginia, Alabama, Kentucky 

It's becoming harder to stay in America's middle class and, according to the Pew Research Center, more are falling out of the category.

In 2015, middle-income Americans no longer made up the majority of the people in the nation.

Across all 50 states, the percentage of 'middle-class' households, those making between 67 percent and 200 percent of the state's median income shrunk between 2000 and 2013. 

With the election looming, the struggles of middle-class American families and growing income inequality have risen to the top of the national agenda 

But what does it take to be in that category? 

More and more people are falling out of America's middle class, although it depends where you live as incomes vary widely (file photo)

According to Pew, it varies by household size, with smaller households requiring less to support the same lifestyle as larger households.

For example, in a three-person household, the middle-income range is from $42,000 to $126,000.

However, a one-person household needed only about $24,000 to $73,000 to be middle income. 

For a five-person household to be considered middle income, its 2014 income had to range from $54,000 to $162,000   

In all 50 states, the percentage of 'middle-class' households—those making between 67 percent and 200 percent of the state's median income—shrunk between 2000 and 2013

Who is “middle income” and “upper income”?

'The American middle class is now matched in number by those in the economic tiers above and below it. 

'In early 2015, 120.8 million adults were in middle-income households, compared with 121.3 million in lower-and upper-income households combined,' the research stated. 

Of course, it also depends whether you fit into the middle class depends on whereabouts in the country you live. 

Maryland's middle class is the highest paid in the country, with an average income of $72,483.

Alaska is second with $72,237, followed by New Jersey with $70,165.

The top five is completed by Hawaii and the District of Columbia, where middle class citizens are paid an average higher than $67,500.

The shrink in numbers of people termed 'middle class' occurred even as the median income in most states declined, when adjusted for inflation. 

In most states, the growing percentage of households paying 30 percent or more of their income on housing illustrates that it is increasingly difficult for many American families to make ends meet. 

Incomes have been rising , particularly among those earning higher levels, while middle and lower incomes have barely risen over the last 30 years, and sometimes decreased

The median household has steadily risen over the last 40 years

With an average income of $37,963, Mississippi's middle class is the lowest paid in the country.

It is followed by Arkansas with $40,511, West Virginia with $41,253, Alabama with $42,849, and Kentucky with $43,399.

New York - home to the financial capital of the United States, New York City - falls 17th in the table.

Middle class can also be comprised of net worth, education, and occupation, however it is household income can be a useful indicator by which to group people. 

Also, the income it takes to be considered middle class varies by household size, Pew noted.

In the 50s, living a middle class life was part of the American dream, but is that dream fading? 

A one-person household needed to earn between $24,000 and $73,000 to be considered middle-income in 2014, while a five-person household needed an income ranging from $54,000 to $162,000 to qualify. 

The lowest paid middle class citizen in New York earns $38,246 and the highest paid takes an annual salary of $114,738. The average is $57,369.

In California, 11th on the table, the average middle class income is $60,190, with a lower limit of $40,127 and an upper limit of $120,380.

According to the study, America's middle class has shrunk significantly in the wake of the financial crisis.

However, whether you earn $20,000 or $250,000, you are still more likely to classify yourself as 'middle class'.

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