The salary you need to be considered middle class in every U.S. state—it's close to $200,000 in 2 of them (2024)

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The salary you need to be considered middle class in every U.S. state—it's close to $200,000 in 2 of them? ›

In two states — Maryland and New Jersey — the high end of the middle-class income range edges close to $200,000. In Maryland, you're considered middle class if your income falls between $65,641 and $196,922, according to GOBankingRates. In New Jersey, a middle-class income ranges from $64,751 to $194,252.

Is Earning $200,000 A Year Considered Rich? At $200,000 a year, you are considered upper middle class in expensive coastal cities and rich in lower cost areas of the country.

According to the latest Census Bureau data from 2022, the median household income in the U.S. was $74,580. Based on that number, if you earn between $50,000 and $150,000 a year, you qualify as middle class.

The middle class is commonly defined as households earning between two-thirds and double the median income, which is $128,151 in the San Francisco-Oakland-Berkeley, California metro area, the Census Bureau reports. That means middle class households there earn between $85,434 and $256,302 a year.

A $200,000 household income is more than most people earn across the U.S. In fact, just 12% of U.S. households earn $200,000 or more annually, according to Census Bureau data.

The Pew Research Center defines the middle class as households that earn between two-thirds and double the median U.S. household income, which was $65,000 in 2021, according to the U.S. Census Bureau. 21 Using Pew's yardstick, middle income is made up of people who make between $43,350 and $130,000.

According to the Census Bureau's Income in the United States: 2022 report, the median household income is $74,580 (a 2.3% decline from 2021), while household income levels for each class level are as follows: Lower class: less than or equal to $30,000. Lower-middle class: $30,001 – $58,020.

Many have graduate degrees with educational attainment serving as the main distinguishing feature of this class. Household incomes commonly exceed $100,000, with some smaller one-income earners household having incomes in the high 5-figure range.

What's a good salary in 2024? ›

The average annual average salary in the U.S. is $63,795. The median annual salary, which is often less skewed by outlying numbers, is $59,384.

If you make $75,000 a year, you're earning more than half of all workers in the U.S. And in fact, many people would probably consider the salary as good pay. After all, a $75,000 salary works out to around $6,250 per month, $1,442.31 per week, or $36.06 an hour.

Based on that figure, an annual income of $500,000 or more would make you rich. The Economic Policy Institute uses a different baseline to determine who constitutes the top 1% and the top 5%. For 2021, you're in the top 1% if you earn $819,324 or more each year. The top 5% of income earners make $335,891 per year.

Interestingly, California, despite being known for its high cost of living, ranks lower on the list with 10% of households earning over $250,000. This highlights the disparity within states, where certain regions or metropolitan areas may have significantly higher incomes compared to others.

In 2024, a large U.S. city's middle-class income averages between $52,000 and $155,000, with the median household income across all 345 cities at $77,345, making middle-class income limits fall between $51,558 and $154,590, SmartAsset noted.

If you had an income of $200,000, that would put you in the top 12% of household incomes or the top 5% of individual incomes in 2022. What is this? Though I prefer household income over individual income, no matter how you cut it, $200k a year puts you on the higher end of the income spectrum.

Here's how much you have to earn in California to qualify as middle class, study says — between $ 61,270 to $183,810. I feel like this highlights the cost of living discrepancy found in CA.

You might think people in this income bracket spend all their extra cash on fancy cars, vacations and designer clothing, but that isn't necessarily the case. Generally speaking, a household income of approximately $150,000-$250,000 is considered upper middle class.

Tax bracket example

For example, if you are single and have taxable income of $200,000 in 2023, then you are in the 32 percent "bracket." However, you won't pay 32% on your entire taxable income.