Do you think $250,000/year is wealthy?

[Hen]

for one person or a small family, I would consider that well-off.

 

But for a small family business...no.

 

My husband's family had a small business, and there were years where we had a few million in receivables, but almost all of it went out again to pay employees, materials, taxes, fees, overhead, insurance.

[tristangrace]

I haven't spent much time analyzing it (I don't even have a working definition of what "wealthy" is) . . . but it sounds wealthy!

 

Heck, we live in Chicago, our household income is not quite half that figure, and I think we're wealthy, relatively speaking!

 

Susan

[Renee in NC]

for one person or a small family, I would consider that well-off.

 

But for a small family business...no.

 

My husband's family had a small business, and there were years where we had a few million in receivables, but almost all of it went out again to pay employees, materials, taxes, fees, overhead, insurance.

 

$250,000 would be the profir, so none of the other would matter.

[Jennifer3141]

It would be weathy for us if we didn't have the student loans for DH's medical school and if we weren't paying for my parents' financial mistakes. We pay out more monthly on those two items than we do on own mortages, utilities, taxes, food, etc.

 

And I'm laughing at the poster who thinks no one should ever get student loans. So I guess only the very rich should be educated? Great for my kids I suppose, but what about yours?

 

Jen

[Stacy in NJ]

I'm sorry, but I'm not seeing it. Can you quote directly from the article that put $250,000 at the 7 or 8th percentile?

 

I did see the table at the end but can't see you can arrive at that data from it.

[Renee in NC]

I'm sorry, but I'm not seeing it. Can you quote directly from the article that put $250,000 at the 7 or 8th percentile?

 

I did see the table at the end but can't see you can arrive at that data from it.

 

Okay, looking at the table again, the top 5% earn $268K or more. I guestimated at the other 2-3%, but I guess it's possible that the percentage from $250K to $268K could be 70%, which would make it middle class.

[threeturn]

for one person or a small family, I would consider that well-off.

 

But for a small family business...no.

 

My husband's family had a small business, and there were years where we had a few million in receivables, but almost all of it went out again to pay employees, materials, taxes, fees, overhead, insurance.

 

:iagree:

 

$250,000 is wealthy if that is a family's take home pay. Most people pulling in that kind of money, though, are like my boss. He also pays my salary, my associate's salary, and all of our business expenses, not to mention his own social security and employment taxes out of that. He still does pretty well for himself, but would certainly feel the crunch of a tax hike on the "wealthy". I am just afraid that the crunch he will feel is going to be equal to the amount of my salary.

[8filltheheart]

This thread has proven one thing to me and I am deeply saddened by it.

 

Here are some thoughts......my 19 yr old ds was just offered a co-op job making more money that many of you on this thread proclaim to make. In addition to his salary, he will be provided with full benefits, including health care coverage. He will be a rising senior when he starts the job in the fall and not quite 20. He is not attending a prestigious school. It is a simple, small public state university. He works extremely hard and has a high GPA. He has no full-ride. He has no scholarship money currently at all, except for the state lottery money that all kids with certain GPAs qualify for. He is not from a "wealthy" family. He simply has strong work ethic and is majoring in engineering.

 

Education does have a lot to do with income. Degree choices have even more to do with income. My degrees are in ed and psy; dh's is in chem engineering. When I was going to bed at 10 (we were married in college), dh was up all night doing homework. When I was out running, he was doing homework. When I was doing our laundry, shopping, etc, he was doing homework. His income is way higher than mine would be as a teacher. Guess what......he deserves it. He worked 10x harder getting his degree than I did (and I graduated summa cum laude). He also does things in math and science that I could absolutely never do. Do we live in a country that rewards hard work and achievement or are all equally deserving of the same pay?

 

I find it completely laughable that by Michele's definition we are upper middle class. Gee. We must be the only upper middle class family that drives an 11 yr old van with 200,000 miles one it, goes on vacation at dh's aunt's home or not at all, etc. Raising 7 kids on dh's income is a paycheck to paycheck experience in our world.

 

I think that the entire conversation is meant to cause envy. I can't imagine traveling, having new cars, or wardrobes of new clothes. But these were decisions we made. I would much rather have my children and be at home with them than be single and "wealthy." Or even my working to provide the opportunity to travel.

 

We used to live in the land of opportunity where we could pursue our dreams. As I tell my kids when they start to belittle each other, you don't build yourself up when you tear someone else down. You only hurt both of you. When you praise the other for their success, then you are actually doing something positive for you both.....you make them see that you recognize their worth and your ability to recognize it means you see the world as something larger than yourself.

[Jenny in Atl]

for one person or a small family, I would consider that well-off.

 

But for a small family business...no.

 

My husband's family had a small business, and there were years where we had a few million in receivables, but almost all of it went out again to pay employees, materials, taxes, fees, overhead, insurance.

 

But you are taxed on profit (net) not gross. It's 250k profit we are talking about (take home in the pocket of your pants type of thing). :D

[Deidre in GA]

for one person or a small family, I would consider that well-off.

 

But for a small family business...no.

 

My husband's family had a small business, and there were years where we had a few million in receivables, but almost all of it went out again to pay employees, materials, taxes, fees, overhead, insurance.

 

i think the question assumed $250,000 is income. if $250,000 is your husband's gross before all the expenses you mentioned, that that is not your family income. your family income is what your husband/family draws from the business after expenses are deducted.

 

i'm self-employed and have always done my own taxes. my gross is respectable looking; after expenses though the net is pretty pitiful. i have a number of friends who are wealthy. their net worth is in the millions. to me $250,000 qualifies as very well off.

[Karenciavo]

Let me put it to you this way, $250,000 isn't wealthy enough to be signed on to a wealth distribution program.

[TwinMominTX]

Not really. I think wealthy is so hard to define and is incredibly subjective.

 

We are in the 2% upper income category cited so often as being wealthy. However, my husband owns a business where the average net worth of his customer is in excess of $100 million dollars. To me, this is wealthy. It really does depend on what you do, how you live and where you live.

 

 

We own a nice modest home - nothing large or fancy.

We own two cars - one is 10 years old - the other is a pickup truck.

We watch costs and are careful in what we purchase at the grocery store.

We don't own expensive clothing, jewlery, purses or shoes.

We have little debt, but if we weren't careful we could be swimming in it.

We paid +$50K in income and property taxes last year.

 

I know lots of people who are in a similar income category. They live similarly to how we live. Certainly no one I know is making $250K and rolling in dough. They are, like everyone else, watching costs rise and doing the best they can.

 

Having been in this income cateogry for 10+ years (and living in several different regions) I suspect that the people who are making this amount of money and looking like they make a lot of money are in debt up to their eyeballs.

[Guest janainaz]

Oh, please! That is definitely wealthy. Anyone who says otherwise aught to sit down and do the math. Give me a break.

[Stacy in NJ]

Okay, looking at the table again, the top 5% earn $268K or more. I guestimated at the other 2-3%, but I guess it's possible that the percentage from $250K to $268K could be 70%, which would make it middle class.

 

Okay, thanks. :001_smile:

[Renee in NC]

You are right. We could have done lots of things differently and not be in the position we are in. But we are here. And getting out is going to be lots harder than getting in. I am glad that your ds has such a wonderful job opportunity. We aren't doing something right, because my dh hasn't held a job like that since he left the Army. He has never made more than $28K per year. He has a strong work ethic, but is not college material. He tried that, and it was a flop. He isn't mechanically inclined. His English is not polished enough (too "rednecky") for any kind of professional job.

 

I don't think everyone should be paid the same - not even close. I do think that this land rewards hard work and achievement. However, I do not think that it means that those who do not make comfortable salaries (or even middle class salaries) are there because they didn't work hard. It's just a fact of life.

 

That wasn't the point of the thread. The question is whether we thought $250K was wealthy. Yes, I do.

[GSMP]

I would consider that wealthy or at least upper middle class. I would enjoy seeing what it is like to bring that home.

[Jenny in Atl]

This thread has proven one thing to me and I am deeply saddened by it.

 

Here are some thoughts......my 19 yr old ds was just offered a co-op job making more money that many of you on this thread proclaim to make. In addition to his salary, he will be provided with full benefits, including health care coverage. He will be a rising senior when he starts the job in the fall and not quite 20. He is not attending a prestigious school. It is a simple, small public state university. He works extremely hard and has a high GPA. He has no full-ride. He has no scholarship money currently at all, except for the state lottery money that all kids with certain GPAs qualify for. He is not from a "wealthy" family. He simply has strong work ethic and is majoring in engineering.

 

Education does have a lot to do with income. Degree choices have even more to do with income. My degrees are in ed and psy; dh's is in chem engineering. When I was going to bed at 10 (we were married in college), dh was up all night doing homework. When I was out running, he was doing homework. When I was doing our laundry, shopping, etc, he was doing homework. His income is way higher than mine would be as a teacher. Guess what......he deserves it. He worked 10x harder getting his degree than I did (and I graduated summa cum laude). He also does things in math and science that I could absolutely never do. Do we live in a country that rewards hard work and achievement or are all equally deserving of the same pay?

 

I find it completely laughable that by Michele's definition we are upper middle class. Gee. We must be the only upper middle class family that drives an 11 yr old van with 200,000 miles one it, goes on vacation at dh's aunt's home or not at all, etc. Raising 7 kids on dh's income is a paycheck to paycheck experience in our world.

 

I think that the entire conversation is meant to cause envy. I can't imagine traveling, having new cars, or wardrobes of new clothes. But these were decisions we made. I would much rather have my children and be at home with them than be single and "wealthy." Or even my working to provide the opportunity to travel.

 

We used to live in the land of opportunity where we could pursue our dreams. As I tell my kids when they start to belittle each other, you don't build yourself up when you tear someone else down. You only hurt both of you. When you praise the other for their success, then you are actually doing something positive for you both.....you make them see that you recognize their worth and your ability to recognize it means you see the world as something larger than yourself.

 

I totally disagree... I'm not envious of those who have more. I fully accept my part (many missed opportunities) in my family's current situation. We have had some great years, but our business is tied to construction, and we have an expensive kid (medical needs), self insured... blah blah blah.

 

I just think many Americans have lost sight of how as a whole we are a very wealthy nation, and many of us no matter our pay grade live well beyond our means. I would never tell someone they should not build a 3400 square foot home for two people, but one has to wonder why someone would honestly need a poorly built mini mansion over looking a four lane road. Not sure I would call that a wise investment, but that kind of lust put food on my table. So why so sad when we try to hash out what the meaning of wealthy is? It's all just perception isn't it? I think your son's job sounds awesome, and tell him to save, save, save!!! You never now when your well paying job just might go poof!

[Renee in NC]

Okay, thanks. :001_smile:

 

I was being funny, of course, because the median income for NJ is about $69K which means that the top 50% earn more than that.

 

I won't dispute that it costs more to live in NJ. Accroding to the cost of living calculator, $250K in New Jersey would be equal to $194K-203K here(depending on the metropolitan area in New Jersey.)

[ncmomo3]

It's definitely enough to be comfortable. But, it falls far short of wealthy. A student loan (or 1 for each spouse) can eat up a bunch.

 

My thoughts exactly.

We have several friends who make that 'magic' number. We are not near that number, by a stretch, however our lifestyles are NOT that different from theirs. They take nicer vacations than we do, other than that, all is pretty similar. I would certainly not be rich nor want to be considered rich at that income.

[fractalgal]

Not really. I think wealthy is so hard to define and is incredibly subjective.

 

We are in the 2% upper income category cited so often as being wealthy. However, my husband owns a business where the average net worth of his customer is in excess of $100 million dollars. To me, this is wealthy. It really does depend on what you do, how you live and where you live.

 

 

We own a nice modest home - nothing large or fancy.

We own two cars - one is 10 years old - the other is a pickup truck.

We watch costs and are careful in what we purchase at the grocery store.

We don't own expensive clothing, jewlery, purses or shoes.

We have little debt, but if we weren't careful we could be swimming in it.

We paid +$50K in income and property taxes last year.

 

I know lots of people who are in a similar income category. They live similarly to how we live. Certainly no one I know is making $250K and rolling in dough. They are, like everyone else, watching costs rise and doing the best they can.

 

Having been in this income cateogry for 10+ years (and living in several different regions) I suspect that the people who are making this amount of money and looking like they make a lot of money are in debt up to their eyeballs.

 

:iagree:Wealth is not about your income level, but what you do with that income. You can have a low salary and save much of it and be better off than someone with a larger salary that doesn't invest wisely.

[lovemyboys]

I would consider it wealthy, but I tend to define wealth from more of a global perspective. Regardless of where one lives in the US, most people making $250k will own a home (even if it's not their dream home), eat 3 square meals a day, own one or several cars, have decent clothes to wear, have access to medical care, own at least one computer, have cell phones and cable tv, etc. Even if they are broke by the end of every month, they will have all their basic needs met and most likely a little extra (or a lot extra, depending on where they live).

 

I used to know someone whose husband was making $350,000-$450,000 a year and she thought she was living in poverty. Seriously. It all depends on your perspective.

 

I know this is off on a tangent, but isn't it interesting that by the standards you describe above, most people in the US would fall into this category? You could go further and add game systems and multiple tvs, vacations, recreational items like boats or atvs. I wouldn't begin to describe them wealthy.

 

But from a global perspective, a large percentage of those in the US would be considered well off or even wealthy. Our internal perspective is different, because we have a different baseline -- we consider a washer/dryer, dishwasher, microwave, etc. basic necessities.

[TwinMominTX]

We know a few wealthy people-- they don't hold real jobs. They golf and look in on their investments. This is wealth in my mind.

 

Perhaps that is what they make off of investments, but this implies a whole lot more net worth than is accumulated off of making $250K salar per year.

[Kelli in TN]

 

What do you think? Is $250,000 for a family wealthy or firmly middle-class?

 

 

I hope so. We live on a third of that and it would not matter what part of the country we lived in, that salary would be the same. If that is middle class, then what are we? I thought we were middle class.

[Pamela H in Texas]

If that is middle class, then what are we? I thought we were middle class.

 

According to some, we're poorer than we realized. At least we're not depressed about it :)

[Renee in NC]

According to some, we're poorer than we realized. At least we're not depressed about it :)

 

:lol:

[Starr]

Very well off? Wealthy? It's more than most and that offers more opportunity. The college professors in our community make much less than this! (Don't even ask about clergy salaries, he he he.) :)

[momtolgd]

$250K is most definately wealthy in my opinion...especially when the median wage here is in the 40's.

 

I think it depends on the area you live and the cost of living there...

[bettyandbob]

Anyway, I don't think the point is to say that 250K means you are independently wealthly. You aren't. You have to work for that income. People who have to work have millions and millions invested. The point is at $250 K you have more income than the majority of people--a large majority. You may find yourself living in an expensive area surrounded by others who make a similar amount, but that doesn't mean all of you aren't wealthly. It just means you live near people with similar jobs, income and education levels, which is how people tend to live. Someone with an income of $250K is not going to buy a home in a cheap neighborhood near government subsidized housing. A person with an income of $250 has choices and he will mostly likely choose a different neighborhood. Earning $250 K gives you choices most people don't have. It's to you to decide what to do with the choices. But having choices themselves is a luxury.

[CAMom]

But, it is possible to up and move. We have done just that interstate 4 times now. Because of that we have experienced many different areas in the country. You also have a choice to move further out where housing often costs less. Where you live IS your choice.

 

As I already stated, some people cannot just relocate. My situation has me with three elderly relatives needing constant help and I am the only one here to do it. I can't move right now.

 

Not to this poster in particular, but I do wonder if those who do not see 250K as wealthy have ever experienced low income living themselves? That certainly changes one's perspective.

 

Yes! I have, indeed, lived under the poverty line.

[HRAAB]

I consider us middle class although after reading this thread I'm wondering if I should readjust my thinking. Upper poor class, perhaps. Dh makes $50,000. Most of our married life he made less than this. When I worked I made about $25,000. I quit 12 years ago to be home with my children.

 

I in no way feel poor. My dh provides for us in all that we need. We have been able to pay off our mortgage (I was working for part of that), not incur any debt, raise our 5 children, save for retirement, have enough put away in case dh is out of work, and take an occasional vacation. It's that word I hear thrown around all the time. Choices. I feel we live well. My standards of what constitutes 'living well' is probably lower than what others see as living well. No new cars, no moving up in houses, no brand name clothes, not many techy gadgets, I watch the groceries and we garden. My dh and I eat breakfast out on Sat. mornings (date time) but that's pretty much it for eating out. Neither of us had student loans, thankfully. That is huge. I feel priviledged and am comfortable.

 

My dh works hard and feels he is fairly compensated. He makes $50,000. and his manager makes around $100,000. No jealousy. As my dh says, he has no desire to put in the time his mgr. puts in. He would rather be with his family in the evenings and on weekends. Another choice.

 

I feel no resentment towards people making $100,000., $200,000., $250.000. or more. They put in the time, effort, sweat. They earned it. I don't know that I would want the stress and hours it takes to make that kind of income (short of winning the lottery). But an income of $250,000. is still wealthy to me based on the fact I feel we live well on 1/5 of that. I can think someone is wealthy and not be jealous or feel bitter over it. It's America where opportunity should abound. I'm sad that I see opportunities eroding away. Just as my dh made a decision to not climb that corporate ladder, people should be free to climb away as hard as they want.

 

Janet

[Renee in NC]

As I already stated, some people cannot just relocate. My situation has me with three elderly relatives needing constant help and I am the only one here to do it. I can't move right now.

 

 

 

Yes! I have, indeed, lived under the poverty line.

 

I find that interesting that you don't find an income more than 10 times above the poverty level wealthy. Have you lived below the poverty level as a family with children or was it when you were a child? You don't have to answer, of course, I was just intrigued.

[rafiki]

I find it completely laughable that by Michele's definition we are upper middle class. Gee. We must be the only upper middle class family that drives an 11 yr old van with 200,000 miles one it, goes on vacation at dh's aunt's home or not at all, etc. Raising 7 kids on dh's income is a paycheck to paycheck experience in our world.

 

I think that the entire conversation is meant to cause envy. I can't imagine traveling, having new cars, or wardrobes of new clothes. But these were decisions we made. I would much rather have my children and be at home with them than be single and "wealthy." Or even my working to provide the opportunity to travel.

 

We used to live in the land of opportunity where we could pursue our dreams. As I tell my kids when they start to belittle each other, you don't build yourself up when you tear someone else down. You only hurt both of you. When you praise the other for their success, then you are actually doing something positive for you both.....you make them see that you recognize their worth and your ability to recognize it means you see the world as something larger than yourself.

 

Do you think $250,000 a year is wealthy? And for the average family, yes I do think that is more than wealthy. The average family however, is not raising 7 kids.

 

I'm looking at this from my own personal experience and how we are doing with our family of 5 on much less than six figures, let alone 250K. Our cars are paid for, one 8 years the other 12 years, our vacations are day trips to local parks, museums, or visiting out of town family. I'm not envious of those making 6 figures, but I am confused about their "money problems".

[TwinMominTX]

It's not hogwash. Just a difference of opinion of the definition of wealthy.

[MyThreeSons]

One of the men in our church was leaving the business world to take a pastoral position in our church. The congregation had to vote on the matter. The head of the Deacon Board presented the matter, and made a comment about how this man was taking a big pay cut to serve us. At the time, our family was getting by on 1/3 of what the pastor's salary would be!

[CAMom]

I find that interesting that you don't find an income more than 10 times above the poverty level wealthy. Have you lived below the poverty level as a family with children or was it when you were a child? You don't have to answer, of course, I was just intrigued.

 

Both as a child, as a young married adult (married at 20) and as a family with one child.

 

Someone in an earlier post told me to count myself blessed. I most certainly do! and don't think I've given the impression that I don't. We are very blessed. We live modestly and save for our future. Our lives are most certainly "wealthy" because we are content. The fact that my family has breath makes us blessed. We also hold our $ and possesions with an open hand knowing that it could all be gone at any moment.

 

It seems like the definition of "wealthy" is coming out to be, "Anyone who has a certain percentage more than me is wealthy." In that case, virtually every single person in the US is wealthy. Why draw the line at 250K?

[sassenach]

I haven't read any responses, but I say it depends on where you live. In the majority of this country, yes, $250k a year is wealthy. In places like California, New York city, Washington DC, I think $250k is a comfortable living. I also think that anyone can spend themselves into thinking that 250 is not enough. Earlier this week there was a thread where somebody (sorry, can't remember who!), where somebody was relating that elder expenses for 2 parents, plus other expenses made $250k feel tight. I think that is a rare circumstance, but I absolutely believe that they are feeling the crunch.

[Mama Lynx]

We currently have just over $24K/year of income. It covers our mortgage (2BR 2B full basement condo), car payment, food, utilities, insurances. Health insurance is covered. We pay a little each year (outside of scholarships and financial aid) for the kids' private school and college education.

 

When I'm employed, we'll just barely over double this for a few years, based on job availability and pay for a new grad here in E. Tn.

 

So yeah, for me, I can't even imagine that kind of money in a year. I don't see it as middle class. I think it's probably about perspective, though.

 

I just grabbed my budget and added it up. Our one car payment, food, health/auto/life insurance, utilities add up to $24,500 a year. Oops, I forgot the phone. Note that it doesn't cover rent, either. Or gas for the car.

 

We could not survive in Northern VA on $24K. It might be possible if we moved back to Texas. But we moved here because there was a job here.

[Jane in NC]

I tend to view wealth not as income but as net worth. And here is the scarry thing: most Americans are not worth much. (Documentation from the US Census--2002 dollars--can be found here.) No wonder why those in the top quintile do not feel "wealthy" or "upper middle class". If outgo matches income, higher wage earners may not feel that they have extra cash or great wealth.

 

New question: at what net worth would one be considered wealthy? And should real estate be a factor in calculating that net worth?

Edited October 15, 2008 by Jane in NC
missing paren

[Renee in NC]

Both as a child, as a young married adult (married at 20) and as a family with one child.

 

Someone in an earlier post told me to count myself blessed. I most certainly do! and don't think I've given the impression that I don't. We are very blessed. We live modestly and save for our future. Our lives are most certainly "wealthy" because we are content. The fact that my family has breath makes us blessed. We also hold our $ and possesions with an open hand knowing that it could all be gone at any moment.

 

It seems like the definition of "wealthy" is coming out to be, "Anyone who has a certain percentage more than me is wealthy." In that case, virtually every single person in the US is wealthy. Why draw the line at 250K?

 

What a wonderful way to look at it. I do wish I could be content with what I have, but I'll be brutally honest and say that it is a weakness of mine. I am blessed - I have 6 wonderful children, a dh who adores me, and more than many, many people in the world. However, I am not content with the current circumstances. Every night I lay in bed and think what I would do differently over the last 10 years so that I could spare my family so much heartache.

 

Not being content, though, does have its pros and cons. The good thing is that since I am not content I hope to do something about it. The bad thing is that since I am not content I have to do something about it.:lol:

[lauriep]

I agree, too!

[Tracey in TX]

 

New question: at what net worth would one be considered wealthy? And should real estate be a factor in calculating that net worth?

 

I consider $5,000,000 in assets to be truly wealthy. Well off (comfortable) above $1,000,000. This is a long term view, not what is disposable funds for today. I would count real estate if it is not in a housing bubble or foreclosure prone area. (When I was making $11,000/yr our goal was the $250,000 threshold. It seemed like a comfortable amount, but not wealthy. In today's economy it is definitely NOT wealthy!)

[Pamela H in Texas]

It seems like the definition of "wealthy" is coming out to be, "Anyone who has a certain percentage more than me is wealthy." In that case, virtually every single person in the US is wealthy. Why draw the line at 250K?

 

I don't know that anyone on this thread has said they would draw the line there. The question was if those people were though. I would definitely think that anyone in the very top percentages in the country count though. If about 1 in 50 households bring home that amount, then that amount is most certainly in the top percentages and most certainly indicates one is "well off."

 

It's not about X% more than me or poverty or anything else. If middle class is the middle 25-75%, then $250,000 doesn't come close to qualifying as middle class.

 

However, I'm dumb (as well as poorer than I thought). I just figured out what this topic is REALLY about so will step out now. :)

[JudoMom]

Yes. I would say 250K is wealthy.

It matters not whether a person or a family is willing to spend every last cent on material items and living expenses, or save and invest the bulk of it.

That a person has the ability to earn that amount in the first place is what qualifies him or her as wealthy, in my opinion.

 

:iagree:

[cathmom]

This thread has proven one thing to me and I am deeply saddened by it.

 

 

 

You didn't say what it has proven, unless it was that the thread was meant to cause envy, which I don't think it was.

 

I once knew a girl whose dh made over $100K a year, they had no dc, and she didn't work. She honestly considered them poor!

 

Net (from the $109K figure) is $66,500. And this hypothetical family has retirement savings and health insurance. Even subtracting out the payment on a $500K mortgage, you are left with $25,500 per year.

 

 

So according to her calculations, this family has everything covered out of that salary and STILL has $2000 a month to do what they want with. I can only imagine having that much to do what I want with. We could actually go see my aunt who is about to turn 90. We could have a vehicle we all fit in AND be able to afford the gas. My dc could do all sorts of activities and field trips. I could save for a while and take my dc to Europe. I could get an au pair so I'd have more time to give my dc a fabulous education so they can get the degree they need to not be stuck in this position as adults.

 

If you don't consider that wealthy, they you are probably not recognizing that it is the choices individual families have made that affect whether or not they feel wealthy. But they still are.

[Tracey in TX]

We had some friends who made $2,000,000 every 28 days. This lasted for years. THEY WERE WEALTHY! I don't know many Americans who can hold a candle to that! Seven houses, numerous cars, jewels, vacations...and the demise of a marriage.

I'll take my life sans the boatload of bi-monthly moolah.

[LizzyBee]

I know this is off on a tangent, but isn't it interesting that by the standards you describe above, most people in the US would fall into this category?

 

Exactly, and that was kind of my point.

[Haiku]

What do you think? Is $250,000 for a family wealthy or firmly middle-class?

 

This from Wikipedia:

 

In 2007, the median annual household income rose 1.3% to $50,233.00 according to the Census Bureau.

 

To me, if you make five times the median American income, yes, you are wealthy.

 

Tara

[Carrie12345]

Our current income allows us to live comfortably, with a few perks. We don't take big vacations, no fancy clothes or jewelry, no granite counter tops or fancy cars. We splurge on our cable package, video games, books and electronics.

 

If we had $250k/yr. where we are now, we would feel pretty darn wealthy. Bigger house, landscapers (I never want to plant a lawn by hand again!), more activities for the kids, unlimited curriculum supplies, I would have a new car, I'd visit my parents more often and we would travel regularly. Retirement and college savings would be funded pretty fast. Since I hate to cook, we could eat out whenever we darn well please. Hobbies would never have to be budgeted. Clothes would never need to be handed down... even though they would be b/c I hate shopping for clothes.

 

However, we would go back to NJ with $250k. A shorter commute means more time with dh. We'd have the bigger house and the kids might have more activities. We would probably take an annual vacation, and I would make at least one visit to my family in GA during the year. I could probably get a new car once this one is closer to dying. Retirement and college savings would eventually be fully funded.

 

Fortunate, lucky, comfortable, wealthy, rich, middle class... whatever you want to call it, it would feel very different to us here than it would in NJ. Both wonderful, neither worth complaining about, but definitely different.

[Jumping In Puddles]

:iagree:

 

In NJ $250,000 is middle class.

 

It's funny, because although I don't live in one of the wealthiest parts of NJ, I would consider $250,000 firmly upper middle class. I grew up in (Ridgewood for anyone interested) NJ and my father was a cop, my mom a secretary and I thought we were middle class. If that was compared to $250,000 salary, then I guess we would have been lower middle class or poor by this standard (even though we lived in a nice neighborhood with nice cars, plenty of food, college for my brother and I) and that just doesn't seem right to me.

[CAMom]

I just grabbed my budget and added it up. Our one car payment, food, health/auto/life insurance, utilities add up to $24,500 a year. Oops, I forgot the phone. Note that it doesn't cover rent, either. Or gas for the car.

 

We could not survive in Northern VA on $24K. It might be possible if we moved back to Texas. But we moved here because there was a job here.

 

That same amount would just barely pay my mortgage for the year and my family has a very modest mortgage for our area. You cannot even rent a one bedroom apartment for under $1K per month where I live.:mellow: